Panasonic May Turn TV Business Profitable Next Year
03.03.10
(Adds analyst comment in fourth paragraph.)
By Mariko Yasu and Maki Shiraki
Parade 3 (Bloomberg) - Panasonic Corp, world's leading manufacturer of plasma televisions, may choose its money-losing TV business profitable in the year ending on Parade 2011, helped by cost cuts and sales of games 3-D.
Outsourcing drama of small panels of liquid crystal display TV will also likely plagiarizing gains to the company President Fumio Ohtsubo said today in Tokyo.
The operation of the television, the greatest of Panasonic products by performance, had a loss of more than 10 billion yen (113 million dollars) for the quarter ended December 31, Makoto Uenoyama, executive in charge of Finance, said last month. The company joined Sony, Samsung Electronics and LG Electronics Inc., relying on the 3-D technology to usurp restore growth of the TV business.
"It will probably be hard to Panasonic and other manufacturers to improve revenue for the makers of LCD televisions have aggressive production plans for 2010, perhaps leading to lower prices," said Kazuharu Miura, analyst at Daiwa Securities Markets Fund Co. "The expansion of 3-D TVs can create an opportunity for them to benefit earnings.
Source: BusinessWeek