Sony India to hire 500 in 2012-13

In contrast to its loss making Japanese parent, Sony India today said it is registering "healthy profit" and even plans to increase its headcount by 500 people in the current financial year.

"The situation in India is different from the other global markets, where Sony is witnessing pressure. We are having strong growth and healthy profits," Sony India Managing Director Masaru Tamagawa told reporters here.

Stating that Sony India expects to continue good growth, he said the company plans to ramp up its manpower strength in the near future.

"Considering both permanent and contract workers, we are at present employing a total of 3,300 people in India. This number will go up to 3,800 by March, 2013," Tamagawa said. This is contrary to the parent, Sony Corporation reported to have decided to cut 10,000 jobs, probably by the end of this year to reduce loss.

In February this year, the Japanese electronics goods major had forecast a consolidated net loss of 220 billion yen for the financial year ending March 31, 2012.

"Currently the Indian market is contributing 5 per cent of the global revenue and it may rise up to 6 per cent in the next one year. Sony India had a revenue of Rs 5,400 crore in 2010-11," Tamagawa said, adding the company will announce the results for FY'12 in the next few weeks.

He said the Indian operations is the fifth largest for Sony globally after Japan, the US, China and Brazil.
"We are closer to Brazil than the other three markets, which are very large. In the next two years, we may overtake the Brazilian market," he added.

Sony India's growth is primarily led by three divisions -- Bravia range of televisions, Vaio branded computers and digital imaging products like Cyber-shot cameras.
In order to push its growth further, Sony India today launched a series of 34 new digital cameras in the country, priced between Rs 5,490 and Rs 27,990.

"With 45 per cent growth last fiscal, we outperformed the digital camera market's rate of 40 per cent. We are targetting to increase our share in the market to 45 per cent in this fiscal from 42 per cent in last fiscal," Tamagawa said.

According to Sony India, the digital still camera market in the country stood at 33 lakh units in FY'12 and is expected to increase to 42 lakh units by 2012-13.

The company is aiming to sell 14 lakh units of these cameras in FY'13 compared to last fiscal's 11 lakh units.

Tamagawa said the company will invest Rs 50 crore in its marketing strategy and different brand promotional activities.

Besides, the company plans to increase its sales points to 3,000 outlets by the end of this financial year from 2,500 in FY'12, he added.

In contrast to the growth in its Indian operations, Sony Corporation is bleeding at its home market and other developed nations like the US.

For the third quarter ended December 31, 2011, Sony Corp's net loss stood at 159 billion yen compared to a net income of 72.3 billion yen in the year-ago period.

The company's sales and operating revenue also declined by 17.37 per cent to 1.82 trillion yen from 2.21 trillion yen in the third quarter ended December 31, 2010.

The decrease in consolidated sales was attributed to the impact of the devastating flood in Thailand, unfavourable market conditions in developed nations and adverse foreign exchange rates.