Sony Ericsson 2Q Net Profit EUR75 Million Vs EUR89 Million
STOCKHOLM -(Dow Jones)- Mobile telephone maker Sony Ericsson Mobile Communications, the joint venture of Sony Corp. (SNE) and Telefon AB LM Ericsson (ERICY), Friday reported a 2005 second-quarter net profit of EUR75 million, down from EUR89 million a year earlier, reflecting continued investment in research and development.
Some 11.8 million units were shipped in the quarter, up 14% from 10.4 million in same period last year and was a 26% increase sequentially.
Sales for the quarter, rose to EUR1.614 billion, representing a year-on-year increase of 7% from EUR1.504 billion.
Income before taxes was EUR87 million, down from EUR113 million in the year-ago period.
Sony Ericsson said it has upgraded its global market outlook for 2005 to over 720 million units.
The company said it gained momentum and market share during the quarter as new products started shipping. The higher unit shipments reflected the broadening of the product portfolio to appeal to a wider range of price segments in the market.
Average Selling Price remained stable in line with expectation, the company said. The global handset market grew faster than expected during the quarter, primarily because of increased demand in the lower price segments in both mature and emerging markets.
(END) Dow Jones Newswires"
Posted to the site on 15th July 2005
