Sony Corp. slashed its annual outlook to a loss, and said it would sell its struggling personal-computer unit, as it fights to stem red ink at its core electronics business.
In its second downward revision in just three months, the Japanese tech giant said Thursday it now expects to lose $1.1 billion in the full year through March — a grim reversal from a previously forecast profit of $3 billion.
The company also confirmed it is in talks to sell its Vaio PC business to turnaround fund Japan Industrial Partners Inc., adding it hopes to complete the transaction by July 1.
Sony also is splitting off its TV business and operate it as a subsidiary. For the full year, Sony now expects to log losses from the TV business totaling $2.5 billion.
Sony said it would trim 5,000 jobs — 1,500 in Japan and 3,500 overseas — by March 2015.
The moves underscore the Japanese media conglomerate’s continuing struggle to turn around an electronics business that is bleeding cash — in particular its big TV and PC businesses. The Japanese tech giant achieved global fame — and decades of profits — with innovative devices like the Walkman portable music player and Trinitron TV.
But in recent years, such devices are losing billions per quarter, forcing Sony to cut jobs and close plants. Under Chief Executive Kazuo Hirai Sony has sold off noncore assets while shifting the firm to focus on specific growth areas including mobile devices, videogames and digital cameras.
This article originally appeared on MarketWatch.com.Â