Sharp Could Post $5.1 Billion Loss; Shares Slide
Sharp, Japan's leading maker of liquid crystal displays posted a worse than forecast 500 billion yen ($5.1 billion) net loss in the year that ended March 31 as panel plants asset write offs crimped its bottom line, two sources with knowledge of the earnings result said.
Lower than anticipated production levels have left the company with excess capacity, the sources said on condition they were not identified. Sharp will also book charges to put aside cash to cover possible fines stemming from a panel cartel investigation in Europe, they added.
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The expanded loss was first reported in the Nikkei business daily.
Sharp's operating profit for the second half of its business year was 20 billion yen compared with the company's forecast for 13.8 billion yen, the sources said.
Shares of Sharp sagged more than 4 percent on the news in Tokyo trade.