Sony shares slump after profit-forecast cut, Q2 loss

Tokyo

SONY Corp lost US$2.2 billion in market value yesterday after chief executive officer Kazuo Hirai cut his earnings forecast and posted a loss because of stalling demand for Bravia TVs, Cyber-shot cameras and Hollywood movies.

The stock slumped 11 per cent in Tokyo trading, the biggest drop in five years, after Mr Hirai slashed his full-year net income projection by 40 per cent to 30 billion yen (S$378 million). Sony also unexpectedly posted a second-quarter loss, missing analyst estimates for a return to profit.