Sony Ericsson continued to post better financial numbers in 3Q 2010, reporting third quarter income before taxes of €62 million and an improved operating margin, despite selling fewer devices.
In the third quarter if 2010, Sony Ericsson generated a net income of €49million, whereas in the same quarter of 2009 it lost €164 million. Its average selling price also took a hike over the same period, from €114 to €154, and its operating margin moved from -12% to 4%.
The numbers also show sequential improvement on 2Q 2010. Units shipped in the quarter were 10.4 million, a decrease of 26% year-on-year and down 5% sequentially. Average selling price (ASP) in the quarter remained at a high level of Euro 154, a 34% increase year-on-year and a decrease of 4% sequentially, due to product and geographical mix. As a result, sales for the quarter were Euro 1,603 million, essentially flat year-on-year and a 9% decrease sequentially.
Bert Nordberg, President & CEO of Sony Ericsson commented, “Our third consecutive quarter of profitable results illustrates that Sony Ericsson’s overall performance is stabilising. Our strategy to focus on the smartphone segment is succeeding and smartphones now comprise more than 50% of our total sales. During the quarter, we launched our Android-based Xperia models in new markets, such as China and the U.S., and it is our ambition to become the global number one handset provider on the Android platform.”