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Sony Ericsson reports record shipments, sales and profits |
whizkidd
Joined: May 14, 2004
Posts: > 500
From: India
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Sony Ericsson reports record shipments, sales and profits
• Record Year due to strong 2H 2005
• 3 million Walkman® phones shipped since launch
• Further strengthened portfolio with 3G and entry level handsets
The consolidated financial summary for Sony Ericsson Mobile Communications AB (Sony Ericsson) for the fourth quarter ended December 31, 2005 and full-year 2005 are as follows:
Q4 2004 Q3 2005 Q4 2005 2004 2005
Numbers of units shipped (million) 12,6 13,8 16,1 42,3 51,2
Sales (EURO m.) 2005 2055 2310 6525 7268
Income before taxes (EURO m.) 140 151 206 486 514
Net income (EURO m.) 55 104 144 316 356
Units shipped in the quarter reached 16.1 million, a 28% increase compared to the same period last year and a 17% increase sequentially, in-line with the sequential growth in the market. Sales for the quarter were Euro 2,310 million, representing a year-on-year increase of 15%. Income before taxes was Euro 206 million and net income was Euro 144 million, which represents a year-on-year increase of Euro 66 million and Euro 89 million respectively.
The fourth quarter witnessed very strong sequential market growth which Sony Ericsson matched, resulting in a record quarter in terms of volumes, sales and net income for the company. The second half of 2005 was particularly strong due to the success of hit model phones in both the imaging and music product categories. A highlight of Sony Ericsson’s year was the global success of Walkman branded music phones such as the W800, W600, W550 and the W900, which have established Sony Ericsson at the forefront of expanding consumer choice in how people enjoy digital music on the move. Since the first Walkman phone was launched in volume in August, Sony Ericsson has shipped 3 million Walkman branded units.
“This was another solid quarter for Sony Ericsson, and has enabled us to finish the year with great momentum. We are now seeing the benefit of our earlier investments in R&D which have enabled us to expand the product line-up and successfully appeal to new consumers with products like the Walkman phone series. At the same time, investment in developing the Sony Ericsson brand during 2005 is increasingly supporting our position in the market place,” said Miles Flint, President of Sony Ericsson. “In the fourth quarter we continued to announce exciting new products at a variety of price points; from high-end 3G products like the new W900 3G Walkman phone to attractive mid-tier clamshell phones like the Z520 model to lower-priced essential phone models such as the J230, J210 and Z300 that will appeal to consumers who want a simple and stylish handset.
During the fourth quarter Sony Ericsson announced an approximately $14 million investment to purchase a controlling 64.5% stake in Beijing Suohong Electronics Co, Ltd (BSE) from Sony China, in order to strengthen its in-house manufacturing processes. Sony Ericsson’s majority ownership in BSE will be consolidated into Sony Ericsson from the first quarter of 2006.
Press Release
T230 >> T610 >> Ngage QD >> N73 >> N85 >> Omnia HD >> And countless other review units |
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blackspot
Joined: Sep 06, 2004
Posts: > 500
From: Philippines
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Way to go SE! I can smell a Nokia fan coming with his own set of figures. 
resistance is futile. |
rockygali
Joined: Nov 21, 2005
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hahahaha! nice one! 
"Darkness is the absence of light.. and not the opposite..." |
curmurdar
Joined: Dec 04, 2005
Posts: 109
From: Constanta , Romania
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That's good news |
masseur
Joined: Jan 03, 2003
Posts: > 500
From: Sydney, London
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I guess its not surprising to see these figures now that  have a much wider portfolio of products compared with previous years
good sustained growth at a pace that makes some sense
its looking good for the future!
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PeterKay
Joined: Jul 08, 2003
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From: The Ummah
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Congrats & well done.
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vigants
Joined: Aug 23, 2005
Posts: 35
From: Latvia
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Walkman is wery good marketing trick... next step can be = PSeries rename as VAIO  ? |
whizkidd
Joined: May 14, 2004
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From: India
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"Further strengthened portfolio with 3G and entry level handsets"
Atleast we have official confirmation from that they consider entry level phones a major factor in their growth.
A fact i've been reiterating over the last year.
Good job !
T230 >> T610 >> Ngage QD >> N73 >> N85 >> Omnia HD >> And countless other review units |
blackspot
Joined: Sep 06, 2004
Posts: > 500
From: Philippines
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Good thing SE listened to you @whiz,
resistance is futile. |
whizkidd
Joined: May 14, 2004
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From: India
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Quote:
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On 2006-01-18 10:23:11, blackspot wrote:
Good thing SE listened to you @whiz,
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@ blackspot, they better do!
Jokes apart....
I've always been saying this infact, one of my first posts here on Esato was this:
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On yadayadayyada whizkidd wrote:
I still think that the emerging markets hold a key to SE's future. If they ignore these markets i dont think SE would ever pose a challenge to Nokia
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That was posted when i was only four days old on Esato...
"Emerging markets" means more entry level phones!
Btw, now i dont agree with my own statement posted back then about competing with NOKIA part..
T230 >> T610 >> Ngage QD >> N73 >> N85 >> Omnia HD >> And countless other review units |
PeterKay
Joined: Jul 08, 2003
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From: The Ummah
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All i can say is: Bring on the P990i
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jmcomms
Joined: Mar 12, 2002
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From: Jonathan Morris
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Quote:
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Btw, now i dont agree with my own statement posted back then about competing with NOKIA part..
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Give it time and they might be a serious threat. SE are seeing tremendous growth, but the next thing will be brand and reputation. A lot of people will be looking to switch to the 'next big thing', if only because they've become bored with each new Nokia being essentially the same (although the new Series 40 and 60 interfaces will inject a little new life). Looking at how many people have K750i's proves that people are making the change already, and I also see a lot of W800i's and W550i's (but not a W900i as yet!).
Of course, the same will then happen to SE in time. It happens in any industry. It may even happen to Apple and the iPod!!
The success of the WALKMAN phones could be a blessing for Sony Ericsson, and indeed Sony, and if they do things right (including making some decent standalone players) then they could do a lot of harm to the iPod.
_________________
Jonathan Morris
Technology Editor,
What Mobile magazine
www.whatmobile.net
Comments expressed may not reflect those of the magazine!
[ This Message was edited by: jmcomms on 2006-01-18 09:52 ] |
goldenface
Joined: Dec 17, 2003
Posts: > 500
From: Liverpool City Centre
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Good news, and if the W810 is a sign of things to come then 2006 should be equally headline making. They have wiped the floor with the competition as far as music-phones are concerned - very well marketed.
Well done!
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S4k1s
Joined: Mar 09, 2005
Posts: > 500
From: Sweden
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Yeah good results!
Having said that...
Market shares dropped from 7% to 6.9%
have really big problems produsing phones in big volumes!!!
had almost no phones in the shops during the chrismas holidays and I belive that hurt sales a lot :/
I hope the new factory in china will help. Also I would like to see some manufacturing in sweden again.
This have been a problem since the start with every phone. I hope they calculate things right for the p990 and the k750 successor so that there are phones out in the market during the whole year.
Anyway looks good :] |
c96sthl
Joined: Mar 31, 2002
Posts: > 500
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the quarter report season is not over so where on earth did we found news about SE having a drop in market share?
or is it refer to comparison of q2 with q3?
btw, when samsung is having a far in profit margin even with higher sales and most of the market analyst is not expecting nokia to have good profit margin
the result from SE is enormous!!! in fact reuters have report it beat all market consensus target...this is second time in a row tht SE manage to beat market expectation on their profit.
I just hope they keep on beating the profit margin.....because only with more profit tht they have more $ to invest and produce design with is cutting edge just like they used to during the glory days of E///.
[ This Message was edited by: c96sthl on 2006-01-18 10:20 ] |
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Posted: 2006-01-18 09:54
