Consumer electronics company, Sony, has today announced that it has made an annual profit for the first time in 5 years.
According to the report, Sony has made a net profit of 43bn yen, which equates to £280m, up considerably on last year’s 457bn yen loss.
It has been said that the company’s profits come as a result of a weakening yen- which has decreased by 20% against the US dollar- making Sony product cheaper for foreign markets.
The firm, which is best known for its televisions and game consoles, has suffered from a fall in market share due to increased competition and a weakening currency, Sony has said.
However, it is expected that this year will see the company experience a significant turnaround, with a predicted profit reaching 50bn yen by the end of this financial year.
On the other hand, critics have suggested that Sony’s annual profit figures aren’t accurate because the company has sold some of its key assets, including its US headquarters in New York, which has freed up considerable funds.
Although a breakdown of Sony’s profits has not been released, the company’s latest smartphone, the Sony Xperia Z, has been introduced as an attempt to put Sony back in the game within the smartphone arena. However, with the likes of Samsung and HTC releasing the Samsung Galaxy S4 and HTC One this year, it is unclear whether the Sony Xperia Z will even get a look in.
So while it may look as though the Japanese firm is on its way up, critics are eager to rain on Sony’s parade today.
Written by Charlotte Kertrestel