Friday, April 22, 2016

Sony Writes-Off its Camera Module Assets

Sony records an impairment charge in operating income of 59.6 billion yen related to long-lived assets in its camera module business.

Due to a decrease in projected future demand, Sony has revised its Mid-Range Plan for the camera module business in the Devices segment from the period beginning with the fiscal year ending March 31, 2017. Given the decrease in projected future demand, Sony performed an impairment analysis during the quarter ended March 31, 2016 and determined that future cash flows would not be sufficient to recover the entire carrying amount of the long-lived assets, leading to the recording of an impairment charge of 59.6 billion yen.

The earthquake of April 14, 2016 and subsequent earthquakes in the Kumamoto region have no impact on the consolidated financial results forecast for the fiscal year ended March 31, 2016. The impact on the consolidated financial results forecast for the fiscal year ending March 31, 2017 is currently being evaluated.

No comments:

Post a Comment

All comments are moderated to avoid spam.