Finally Toshiba managed to get close to the breakeven point after battling two years of losses and financial injuries. Did it occur to Toshiba that they need to make good products work hard at their marketing strategy? I guess not, but anyways, the net loss from April 2009 to March 2010 was almost $212 Million.
The sales also dropped down significantly and Toshiba applied some new strategies according to their new business model. For now, there has been an improvement in the overall sales and after cutting costs; there have been better results this time.
Toshiba gained the leverage by enjoying a high level of sales through rechargeable batteries, memory chips and notebooks. Their LCD business didn’t go so well, because of giant competitors like Philips, Sony and Samsung but Toshiba hasn’t given up yet.
Another big contributor to Toshiba’s ever growing profit was the social infrastructure division that includes the nuclear power division/business. Order for the maintenance of nuclear plants, installation of top level security protocols and service contracts, really increased the profits for Toshiba. For this fiscal year, Toshiba is expecting a profit of 70 Billion Yen on the net sales of 7 Trillion Yen.
They are expecting their sales to rise up and the demand for the electronic devices is expected to become normal again. But it is a fact, that Toshiba doesn’t have that much influence on international market. but as long as the Japanese are alive and functioning, Toshiba doesn’t have anything to fear.
