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Sony Ericsson breaks even in Q3 financials, focusing on smartphones only in 2012 |
Tsepz_GP
Joined: Dec 27, 2006
Posts: > 500
From: Johannesburg, South Africa
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Just a day after Google reported about there being 190 million Android phones manufacture, Sony Ericsson has announced its quarterly financials and 22 million, or around 11.5% of those, were handsets mady be the Swedish-Japanese JV.
Now, 80% of the company’s sales come from smartphones, while the remaining 20% are from feature phones. With this in mind, Sony Ericsson reaffirmed its commitment to make smartphones only in 2012:
"We will continue to invest in the smartphone market, shifting the entire portfolio to smartphones during 2012," SE's CEO Bert Nordberg confirmed.
Sales in the quarter amounted to 9.5 million units, a recovery from the 7.6 million sold in the summer quarter, but still down 9% when compared to Q3 of last year.
Results for the third quarter also slightly beat analysts' expectations as the company swang back into operating profit, after a disappointing second quarter. Looking at net results, the SE broke even. The average price of a Sony Ericsson handset surged $10 to $166.
The company didn’t comment on the latest rumor claiming that Sony is about to buy Ericsson’s 50% stake in the phone maker. Analysts have pointed out that the move would be welcome for SE’s smartphones as they’d be able to fully integrate Sony’s services. Ericsson’s stake is estimated at around $1.5 billion.
http://phonearena.com/news/So[....]artphones-only-in-2012_id22993
http://sonyericsson.com/cws/c[....]ncialpressrelease2011-20111014
[ This Message was edited by: Tsepz_GP on 2011-10-14 12:48 ] Phone: iPhone 15 Pro Max Black Ti 512GB
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Aivar
Joined: Jan 14, 2003
Posts: > 500
From: Estonia
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I still hope that SE will make some good classic phones also with keyboard and non-toch screens.
I really dont like smartphones and I dont need them!
So far my everyday phone is K610i. |
Bonovox
Joined: Apr 13, 2008
Posts: > 500
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They already said they are moving away from feature phones next year.
Phone?? What phone?? |
Aivar
Joined: Jan 14, 2003
Posts: > 500
From: Estonia
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As I read they are focusing on smartphones, not stoping classical phones. But maybe "focusing" means that they abondon classical phones at all... |
Dups!
Joined: Sep 24, 2006
Posts: > 500
From: GMT +2
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'' We will continue to invest in the smartphone market, shifting the entire portfolio to smartphones during 2012,'' SE's CEO Bert Nordberg confirmed.
That says it all, Aivar. The feature phones have reached the end of the line at SE.
It's not what you do or even how you do it but in what state of mind you do it: Dups! 2009 |
goldenface
Joined: Dec 17, 2003
Posts: > 500
From: Liverpool City Centre
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Not a bad set of results which should set them up for 2012. Q4 will be a bumper season for them now that more phones are available like the Active, Mini and Neo.
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Bonovox
Joined: Apr 13, 2008
Posts: > 500
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Well,O2 today put the price of the Play down to £149  according to Rookwise
[ This Message was edited by: Bonovox on 2011-10-14 15:03 ] Phone?? What phone?? |
masseur
Joined: Jan 03, 2003
Posts: > 500
From: Sydney, London
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didn't he say "Play" rather than "Ray"?
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Bonovox
Joined: Apr 13, 2008
Posts: > 500
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Yes my mistake  So that's even cheaper for the Play then. It's also on O2 website. I would also like to say that  despite the Japan quake has still delivered pretty well.
[ This Message was edited by: Bonovox on 2011-10-14 15:05 ] Phone?? What phone?? |
masseur
Joined: Jan 03, 2003
Posts: > 500
From: Sydney, London
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If it was £150 I'd definitely have a "play" with a "ray"!
I wonder how these results will affect any split?
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max_wedge
Joined: Aug 29, 2004
Posts: > 500
From: Australia
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Interesting news. I guess SE are looking at consolidating their resources into something that makes a reasonable margin.
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Bonovox
Joined: Apr 13, 2008
Posts: > 500
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On 2011-10-14 16:08:05, masseur wrote:
If it was £150 I'd definitely have a "play" with a "ray"!
I wonder how these results will affect any split?
Well,I love my Ray but so far all the websites i have seen the Play come down under £200 have sold out fast.
Phone?? What phone?? |
Dups!
Joined: Sep 24, 2006
Posts: > 500
From: GMT +2
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The next two quarters are going to be tricky for them. They are basically going to rely on volume rather than pricing. Their recent phones are cheaper and their high-ends have fallen in price and so the profit margins are going to be eroded.
It's not what you do or even how you do it but in what state of mind you do it: Dups! 2009 |
mustafabay
Joined: Sep 27, 2004
Posts: > 500
From: Egypt
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In a way if they can maintain profitability I'd go with the more volume route. Their market share is a little too low.
I don't want a signature anymore. |
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Posted: 2011-10-14 13:42
