Sony says U.S. electronics sales remain strong despite the economy

Fears of a slowdown in the U.S. economy may be rising, but holiday sales of electronics products have been strong, Sony Corp. Chief Executive Howard Stringer said Tuesday, reports The Wall Street Journal.

"So far, the electronics sales seem to be holding well," said Stringer. Though he warned that the U.S. economy was "dodgy" and the situation could change in the New Year. Stringer, speaking to reporters in a roundtable interview, also said the company was on track to achieve an operating profit margin of 5 percent for the business year ending next March.

Sony is finishing up a three-year turnaround plan under Stringer, in which it has cut jobs, exited unprofitable businesses, and closed down some factories in order to meet this goal. Its electronics business has already exceeded its target for an operating profit margin of 4 percent, helped by strong sales of Cybershot digital cameras and Vaio computers, reports The Wall Street Journal.

But investors and analysts have been worried that a slowdown in the U.S. economy could derail the company's momentum, says the article. Sony would be vulnerable to a slowdown in the U.S. economy because it is a major exporter and makes nearly a quarter of its electronics revenues from there. Overall, more than 80 percent of its electronics revenues come from outside of Japan.