Long-struggling Japanese electronics maker Sharp has warned this week that they may not make it barring a large turnaround or alliances with other companies.The company posted a full-year net loss forecast of $5.6 billion, almost double what they expected months ago.
With a press statement, the company noted they are seeing "serious negative operating cash flow. This raises serious doubts about (our ability) to continue as a going concern." A going concern notice is usually the kiss of death for a company unless they can find some sort of funding.
Hon Hai Precision has been in talks to become the biggest shareholder for Sharp for months, but a deal is not expected until March.
Sharp, just like other Japanese TV makers, has seen its fortunes turn in recent years as other Asian companies, like Samsung, use lower costs and lower margins to squeeze them out of the industry. Sony, Panasonic and Sharp have lost $20 billion combined over the last two years, and been forced to fire 60,000 employees.TweetMore newsMan hit with massive fine for pirating gay porn filmsPreviousNextRelated newsLG settles LED patent dispute with SiemenNBC sites temporarily defaced by hackersPanasonic to lose nearly $10 billion this yearWrite a comment8 user comments 14.11.2012 16:07MorrealeSend private message to this userSenior MemberQuote:Sony, Panasonic and Sony have lost $20 billion combined over the last two years, and been forced to fire 60,000 employees. Sony's lost so much money they deserve to be mentioned twice.
This is too bad though... I hope Sharp can turn things around. I've only ever bought Sharp LCDs and LEDs over the past 5 years or so and they've never disappointed me.
This message has been edited since its posting. Latest edit was made on 04 Nov 2012
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