Deathwatch: Panasonic announce record loss
Do you own any Panasonic gadgets? Hardly anyone does anymore, as the world seems to have forgotten the company exist at all. With that, it isn't really surprising that the Japanese electronic giant is having a tough time, posting a record annual $10.2 billion net loss.
Panasonic's forecast loss of 780 billion yen ($10.24 billion) for the year to March dwarfed expectations, leaving Panasonic President Fumio Ohtsubo apologising at a press conference for the unprecedented loss. "I feel the responsibility for the huge amount," he said.
Sony are also struggling, with big cheese Howard Stringer stepping down after a bigger-than-expected annual loss. Of course, the Panasonic chief is doing no such thing. Instead, the company will "accelerate our profit structure reform and make sure we achieve a V-shaped performance improvement in the next business year." Whatever that means.
"They don't seem like a company that's progressing towards a particular goal," said Yuuki Sakurai, CEO and president of Fukoku Capital. "What exactly is this company good at? What does it want to do? They don't have answers to these questions."
One thing Panasonic won't be doing, is ditching the TV business, with Ohtsubo noting: "I don't think it's a business that has lost its growth potential. [Panasonic want to] develop TV in a different manner."
Will sales of television sets falling sharply, things are looking pretty grim for Panasonic.