Sony chief Kazuo Hirai's apology flags another year of losses
Chief Kazuo Hirai's projection of a sixth loss in seven years brings vow to hasten restructuring
Sony chief executive Kazuo Hirai apologised to investors yesterday after the maker of PlayStation consoles and Xperia smartphones projected a sixth loss in seven years.
"Sorry that we failed to meet shareholders' expectations," Hirai said at the company's annual meeting in Tokyo.
"We will bear responsibility to complete restructuring in fiscal 2014, with a strong sense of crisis and without further delay."
Sony has lost 85 billion yen (HK$6.46 billion) since Hirai became chief executive in 2012 and predicts a further 50 billion yen in loss this year as he struggles to revive the television business. The 53-year-old is counting on more restructuring, a slate of Amazing Spider-Man films, new Xperia smartphones and potential sales of the PS4 on the mainland to revive its fortunes.
"It's a win-or-lose year for Hirai," said Naoki Fujiwara, chief fund manager at Tokyo-based Shinkin Asset Management. "If he cannot meet his committed numbers, he will lose force as a leader."
Hirai was promoted in April 2012, taking the helm of a firm that had lost money at its television unit since 2004. He failed to deliver on promises to turn the unit profitable and the business has now lost more than 790 billion yen in the past 10 years.