Olympus, the Japanese camera and medical equipment manufacturer, has been in turmoil since it emerged in October of last year that the company had been hiding losses of over £1 billion for 20 years and faces further woes as it predicts a full year loss of £261 million for the 2011 financial year.
The company has announced its latest financial results for the nine month to the end of 2011, reporting a loss of £269m for that period blaming the strong yen and the floods in Thailand. This compares poorly with a £47m profit in the same period the year before.
Olympus’ medical equipment arm is still a profit making division, however the company has lower it expected operating profits from £69m to £53m. While the camera side of the business is still a loss making section, Olympus is predicting it will make less of a loss in the financial year 2011 (£73m) compared to 2010 (£122m).
Since the financial irregularities were uncovered thanks to the whistle blowing of former CEO Michael Woodford, Olympus’ share price has fallen 50 per cent.
Only last week, Olympus launched its latest flagship mirrorless camera, the new OM-D and the company will be hoping this will help turn the fortunes of the company around in the next 12 months.