Sony Ericsson reports profits bounce, but short of estimates
Mobile phone manufacturer Sony Ericsson reported a second quarter running of net profits today after a period of loss last year, saying it had pushed up prices by focusing on the top end of the market.Updated: Jul 16, 2010 15:01 IST
Mobile phone manufacturer Sony Ericsson reported a second quarter running of net profits on Friday after a period of loss last year, saying it had pushed up prices by focusing on the top end of the market.
The Japanese-Swedish group, the fifth-biggest player in the global sector, said that in the three months to the end of June, it had made a net profit of 12 million euros (15.5 billion dollars) in contrast to a loss of 213 million euros for the same period last year.
Sales rose by 4.0 per cent to 1.76 billion euros, the company said.
But the outcome fell short of the figures expected by analysts who had forecast a net figure of 50 billion euros and sales of 1.79 billion euros, on the basis of a poll by Dow Jones Newswires.
Sales and the net outcome had plunged in 2009. Last year the company launched a programme to reduce costs involving an extra loss of jobs amounting to nearly 2,000 cuts.
The group decided to focus on the high end of the market for handsets.
Chief executive Bert Nordberg saiod: "We are now well positioned for long-term growth."
First Published: Jul 16, 2010 14:42 IST