Sony Corp lost $1.3 billion during its fiscal year after being hit by the costs from selling is business of personal computers. The company is forecasting continued losses as it attempts to execute a turnaround that has now been long-promised.
The company, based in Tokyo, Japan and the maker of the Walkman player, Bravia TVs and the world-renowned PlayStation 4 console, reported the loss for the year ended March 31, 2014.
The loss was nearly three times the loss it suffered for the previous year.
Earlier in May, Sony announced it was going to report an annual loss that was bigger than had been forecasted due to its expenses from the sale of Vaio, like dealing with the excess inventory and restructuring charges.
The losses that are related to PCs are expected to continue through the current fiscal year and total $784 million, as well as the $900 million for the March 2014 fiscal year end.
Sony experienced a fall in its disc manufacturing unit overseas and its battery company.
Kazuo Hirai, the CEO at Sony and some other 40 senior executives will return all of their bonuses and reduce annual pay for themselves by as much as 50%.
Executives at Sony have taken pay cuts over the last few years as a way to accept responsibility for the poor performance of the company.
Sony no longer is on the cutting edge of the electronics market for consumers. Recently, the company has lagged behind in flat television and digital recorders, while facing bigger competition from a number of old and new players that are able to make appliances that are less expensive.
In gadgetry, rivals Samsung Electronics and Apple have being dazzling with new innovations while Sony has not.
This past February, Sony said it would be withdrawing from its personal computer business despite the Vaio brand being very popular amongst some fans of Sony, especially inside Japan.