Sales and profits are down, but Sony Ericsson's still happy

Sales and profits are down, but Sony Ericsson's still happySony Ericsson's calculated shift last year to pin its smartphone fortunes to Google's coat-tails has been fairly effective, it's safe to say, with Android sales now representing 60 per cent of the phone maker's business.

But overall sales are down, and given the slim margins in Android-land because of just how many manufacturers are involved in dividing up the pie, it's no surprise to hear that profits have taken a tumble too.

In total Sony Ericsson sold 23% fewer phones in the first three months of 2011 versus the same period last year, while sales also fell 28% over the three months ending in December – no surprise there given how Christmas fell during that period.

Still, SE top man Bert Nordberg chose to focus on the positives: “Sony Ericsson’s profitability continues as we accelerate our shift towards an Android-based smartphone portfolio, with smartphones comprising over 60 per cent of our total sales during the quarter,” Nordberg revealed.

“Towards the end of the quarter, we introduced the highly anticipated Xperia Arc and Xperia Play, which have been well received by both operators and consumers around the world.

“However, the Japan earthquake made it a challenging quarter operationally and we are experiencing some disruptions to our supply chain. We will continue to evaluate the situation.”

Profits came out at a modest, but respectable, €11m – not bad considering some analysts were talking about losses upwards of €20m.

Given the company's prospects around the end of 2009, Nordberg and Co won't be too disappointed at how things have been going, and with the likes of the Xperia Arc and Xperia Play heading up its smartphone portfolio, there's every reason to be optimistic going forward too.

Read more about: Android

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3 comments

JanSt / MOD  Apr. 19, 2011 at 18:14

Isn't it funny though? SE have consistently failed the most loyal fans; they killed UIQ, messed up WinMo, delivered 'flagship' musicphones with proprietary earphone sockets; stuck the first X10 with a donut; sales have been 'disappointing' for years, customer satisfaction is down (just check the hardcore SE fans on esato etc)... But they don't get half the beating of Nokia or RIM. Meanwhile RIM' BBM is THE surprise hit with tweens and Nokia sell more phones than the nearest 3 competitors COMBINED! BUT, hey.... Poor SE. Chin up - we heart you. Nokia, you're dead coz you suck old donkey toe OS.
How do you say 'discrepancy' in liar-lese?
#justthinking

lumoruk  Apr. 19, 2011 at 19:16

It's funny that you say about Nokia being dead for sucking old dead donkey, SE must be sucking sloppy seconds of an old dead donkey after using Nokia's symbian operating system on their mid market phones including the Vivaz and Sasiso thing.

JanSt / MOD  Apr. 19, 2011 at 19:40

yeah, and they managed to make it worse :p

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