Sony Ericsson impresses with third quarter profits
Mobile phone makers Sony Ericsson have come out with their third quarter results. And they have managed to impress with higher than expected profits. The company potentially outpaced the fast-growing global mobile handset market to post impressive figures. Sony Ericsson posted a profit figure of 104 million euros (126 million dollars) for the three months to September 30.
This is an increase from a figure of 90 million euros in the same period of the previous year. The company also announced that its pretax profit increased to 151 million euros from 136 million as the average selling price for mobile phones rose. The market had expected this figure to hover around 104 million euros.
Sony Ericsson reported sales of 2.05 billion euros from 1.67 billion on the back of 13.8 million units shipped. This is pretty impressive compared to the figures of 10.7 million units in the third quarter of 2004. Sony Ericsson said in a released statement: “The Company grew faster than the market during the quarter with the popularity of higher-end phones having a positive effect and raising the profile of more affordable, volume models.â€
The company credits its performance on their increased spending on marketing, research, and development to expand its model portfolio.