Sony Corp. warned that its operating profit could fall 30 percent or more in the current fiscal year because of the impact of the coronavirus pandemic on consumer sentiment and global supply chains.
The company sounded the note of caution as it reported operating profit of ¥35.45 billion ($331 million) for the quarter ended in March, down 57 percent from the same period a year earlier. Revenue also fell to ¥1.75 trillion. Sony declined to provide a full forecast for the current fiscal year for the first time since 2016 after the Kumamoto earthquake disrupted its operations.
Chief Executive Officer Kenichiro Yoshida has overhauled the technology icon in recent years to focus on franchises such as sensors for smartphone cameras and the PlayStation games business, yet many of its operations remain vulnerable to people getting stuck at home. Consumers can’t go out to buy phones or electronics, or watch Sony movies, while factories that make its products are struggling to return to full capacity.