Sony has issued a press release that explains how the company is being affected by the global pandemic. It’s possible that photographers could see stock run low and there may be delays of the release of products — such as the a7S III — that was due to come to market this year.
In a detailed press release, Sony runs through the various strands of its business, explaining how they are currently being disrupted by coronavirus and what further problems could arise. Its digital cameras fall under its “Electronics Products & Solutions Segment,” which reports that “the flow of resources from suppliers in Asia has become unstable, having a wide-ranging impact on the manufacturing of goods.” It seems logical that products that were due to be announced soon might have to be pushed back as a result.
Regarding its sensors, Sony reports that there has been “no material impact” thus far, though having many customers that are smartphone makers reliant on Chinese supply chains means that it expects sales to be affected.
The announcement notes that Sony has closed “a portion of its offices” around the world. Manufacturing plants in China were closed for several weeks but have since reopened, though perhaps not at full capacity. “Supply chain issues remain, but operations are returning to the level they were before the spread of the virus,” Sony explains.
The announcement notes that its “consolidated financial results will continue to be impacted by the spread of infection from COVID-19.” Also worth noting is that its plans to report its financial results for the year ending March 31, 2020 may be disrupted. While this may seem like a small matter, such announcements and their timing can have effects on share prices, and with investor Daniel Loeb already using the drop in share value to leverage his influence over the huge company, such a delay may have consequences.
Sony may be trying to avoid a yo-yoing of its share price to try and ensure stability: “Sony cautions investors that several important risks and uncertainties could cause actual results to differ materially from those discussed in the forward-looking statements, and therefore investors should not place undue reliance on them.”
(Culled from FStoppers)
