TOKYO -- Four years after an ugly fight broke out between the founder and his daughter over the direction of the Japanese furniture chain, Otsuka Kagu is at a crossroads. Faced with dwindling sales, the company faces a stark choice between cultivating overseas markets and diversifying into new fields.
The company on Tuesday reported a net loss of 2 billion yen ($18 million) for the six months ended June 30, for a third straight year of first-half red ink. With sales significantly down, Otsuka warned investors of "events or circumstances" that raise doubts about its ability to continue as a going concern.
