Sony’s losses ballooned to 136 billion yen ($1.2 billion) last quarter as the Japanese electronics and entertainment company’s troubled mobile phone division reported huge red ink.<\/p>\n
The Tokyo-based maker of the PlayStation 4 video game machines, Spider-Man movies and Xperia smartphones had reported a 19.6 billion yen loss for the same July-September period a year earlier.<\/p>\n
The poor result released Friday was despite a 7% increase in quarterly sales to 1.9 trillion yen ($17.3 billion) as performance improved in cameras, TVs and game businesses.<\/p>\n
It follows reports Sony South Africa is restructuring and will close its consumer audio\/visual (CAV) business unit.<\/p>\n
The CAV unit looks after Sony products such as cameras, televisions, and home audio.<\/p>\n
Other divisions such as PlayStation (distributed by Ster-Kinekor) and Sony Mobile will not be affected, according to a Htxt report<\/a>.<\/p>\n A Sony spokesperson stressed that the brand is not withdrawing from the country, while the company is looking into a new business model for some of Sony\u2019s CAV products.<\/p>\n Sony told Htxt however, that up to 57 jobs could be lost during the restructuring process.<\/p>\n Last month, Sony wrote down the value of its mobile phone business by 176 billion ($1.6 billion). The mobile communications unit recorded a 172 billion yen ($1.6) operating loss for the quarter.<\/p>\n Sony stuck to its forecast for the year through March 2015 of a 230 billion yen ($2.1 billion) loss.<\/p>\n Sony has lost money in six of the seven past years, struggling amid intense competition from Apple Inc. of the US, Samsung Electronics Co. of South Korea and a host of other cheaper Asian rivals.<\/p>\n It has repeatedly promised turnarounds but failed to deliver, partly because even if one part of its sprawling business empire recovers, another area usually falters.<\/p>\n Under an overhaul announced earlier this year, Sony sold its Vaio computer business and is splitting off its TV division to run as a wholly-owned subsidiary.<\/p>\n Sony’s TV division has lost money for 10 years straight.<\/p>\n In Sony’s movie business, its lower theatrical revenue for the quarter was partially offset by higher home entertainment and TV licensing income, such as the home entertainment release of “The Amazing Spider-Man 2.”<\/p>\n Sony had a profitable fiscal first quarter, but that had been from the sales of its Tokyo property and its stake in a Tokyo game maker.<\/p>\n Reporting with Sapa<\/em><\/p>\nMore on Sony<\/h3>\n