Toshiba cuts sales targets on continued weakness

Underlying global economic weakness will likely hit full-year forecasts

Toshiba cut its full-year sales predictions on Friday as a result of continued weakness in the global economy.

The Tokyo-based maker of products as diverse as computer chips, televisions and nuclear power stations said it now expects net sales in the year to March 31 to be ¥6.4 trillion (US$71 billion), down 6 percent from its previous forecast of ¥6.8 trillion. Toshiba reported sales of ¥6.7 billion for the previous financial year so the revision means it now expects overall business to decline rather than expand this year.

It kept other key forecasts unchanged and still expects to lose ¥50 billion in the current financial year.

"Toshiba's overall consolidated sales have been strongly influenced by the global recession, which has proved to be more persistent than expected in all segments," it said in a statement.

Sales forecasts were reduced in each of the company's five main business areas and as a result the digital products division is now expected to be the largest of Toshiba's business areas by sales during the year.

The unit, which includes Toshiba's TV and laptop computer operations, had its sales forecast cut by 3 percent to ¥2.4 trillion yen. The operating profit forecast for the unit was cut to ¥5 billion from ¥20 billion but that still represents a reversal of losses seen last year.

Toshiba's social infrastructure division, which includes its nuclear business, is expected to see sales of ¥2.3 trillion, which is down 9 percent from the prior prediction. It also means the will see sales drop and not climb as previously forecast. The operating profit prediction was also trimmed to ¥140 billion but that's still up on last year.

The third-largest business, the electronic devices and chips unit, is predicted to see sales of ¥1.3 trillion, down 4 percent from its previous goal and a slight drop on last year's sales. But it's not all bad news as Toshiba halved loss forecasts for the unit to ¥30 billion. Last year the business lost more than ten times as much money.

Toshiba said the chip sector was benefiting from improved demand for NAND flash memory, which is the type of memory chip used in digital cameras, cell phones and removable memory cards.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags toshibaflash memory

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Martyn Williams

IDG News Service
Show Comments

Cool Tech

Breitling Superocean Heritage Chronographe 44

Learn more >

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?