High HDTV sales not equating into higher profits
As sales of high-definition televisions continue to soar, profits for the HD manufacturers are soaring as well, right? Apparently not, based on various companies expected financial reports this quarter. In fact, Sony may be reporting their first consecutive quarterly loss in four years.
Clearly, not all of an electronics manufacturers profits or losses are tied to just one product, such as HDTVs. Although falling prices are spurring sales, it sounds like falling profits are close behind as component prices are falling as well. The issue appears to be hitting the industry as a whole. The world's largest seller of plasma TV's, Matsushita, is expected to show a 66% profit loss this year also. Watch for Sharp and Sanyo to report tomorrow, while other key manufacturers follow suit later this week. We'll try to pick out the HDTV relevant numbers for later this week, so c'mon back!
