3GScottishUser
15th April 2005, 10:18 AM
From BBCi (15/04/2005):
Sony Ericsson has reported a drop in quarterly profits and sales amid subdued demand for the Japanese-Swedish mobile phone company's products.
Pre-tax profit in the three months to 31 March fell 28% to 70m euros (£48m) from 97m euros a year earlier. Sales fell to 1.29bn euros from 1.34bn euros. The earnings were below expectations and are the latest technology industry figures to disappoint the market.
Sony Ericsson said demand suffered because of a "mature" product range.
The company said it expects profit growth to benefit in coming quarters from the launch of its own new phones.
New products
The company said it sold 9.4 million units in the first quarter, less than expected, but up from 8.8 million in the same period a year earlier.
Sony Ericsson has performed well in previous quarters, winning market share and establishing itself as the world's sixth-biggest mobile phone maker.
The products we announced during the first quarter have been well received and will give us a stronger portfolio during the rest of the year
Sony Ericsson boss Miles Flint
Rivals like Nokia and Samsung, however, have recently stepped up competition, cutting prices and introducing new products such as camera phones.
Last month, Sony Ericsson launched three third-generation (3G) mobile phones, including the Z800, a multimedia phone with a 1.3 megapixel camera, and the K600, a successor to the non-3G T610.
The K600 is aimed at the business market and can use the same mobile accessories as the T610, chief executive and president Miles Flint said.
One keenly-anticipated handset in production is a phone walkman that lets you listen to music as well as make calls.
"The exciting and innovative products we announced during the first quarter have been well received and will give us a stronger portfolio during the rest of the year," said Sony Ericsson's Mr Flint.
http://news.bbc.co.uk/1/hi/business/4447241.stm
Sony Ericsson has reported a drop in quarterly profits and sales amid subdued demand for the Japanese-Swedish mobile phone company's products.
Pre-tax profit in the three months to 31 March fell 28% to 70m euros (£48m) from 97m euros a year earlier. Sales fell to 1.29bn euros from 1.34bn euros. The earnings were below expectations and are the latest technology industry figures to disappoint the market.
Sony Ericsson said demand suffered because of a "mature" product range.
The company said it expects profit growth to benefit in coming quarters from the launch of its own new phones.
New products
The company said it sold 9.4 million units in the first quarter, less than expected, but up from 8.8 million in the same period a year earlier.
Sony Ericsson has performed well in previous quarters, winning market share and establishing itself as the world's sixth-biggest mobile phone maker.
The products we announced during the first quarter have been well received and will give us a stronger portfolio during the rest of the year
Sony Ericsson boss Miles Flint
Rivals like Nokia and Samsung, however, have recently stepped up competition, cutting prices and introducing new products such as camera phones.
Last month, Sony Ericsson launched three third-generation (3G) mobile phones, including the Z800, a multimedia phone with a 1.3 megapixel camera, and the K600, a successor to the non-3G T610.
The K600 is aimed at the business market and can use the same mobile accessories as the T610, chief executive and president Miles Flint said.
One keenly-anticipated handset in production is a phone walkman that lets you listen to music as well as make calls.
"The exciting and innovative products we announced during the first quarter have been well received and will give us a stronger portfolio during the rest of the year," said Sony Ericsson's Mr Flint.
http://news.bbc.co.uk/1/hi/business/4447241.stm