This Tech Giant Doesn't Age Wellhttp://www.fool.com/investing/general/2012/02/02/this-tech-giant-doesnt-age-well.aspx Evan Niu (TMFNewCow)
February 2, 2012
The tech powerhouse has just put up third -quarter results, and red continues to be the primary color. Revenue declined to $23.4 billion, generating an operating loss of $1.2 billion and a net loss of more than $2 billion. The company attributed the shrinking top line to the floods in Thailand last year, deterioration in market conditions in developed countries, and pesky foreign exchange rates.
When people think Sony, they think consumer products and services. While that segment brings in the most revenue, $12.8 billion in the quarter, it also bleeds the most. The division generated an operating loss of $1.1 billion, the vast majority of the $1.2 billion consolidated operating loss. Its best-performing segment? Financial services.
Sony Financial Services includes its life insurance and bank subsidiaries, among others, and generated $418 million operating income, or a 15% operating margin. That tops its next-best music segment's $196 million in operating income, or 12% operating margin.
Sony expects to generate a $2.9 billion n