Sony Ericsson sees profit margins fall
AFP - [email protected]
Published: 11 Oct, 2007 CET.
Updated: Thu 11 Oct 2007 10:54 CET
Swedish-Japanese mobile handset maker Sony Ericsson, which has changed tack to target the mid-range market, announced Thursday a more than 10 percent fall in net profit in the third quarter.
The group said that net profit totalled €267 million ($379 million dollars) in the three-month period, a 10.4 percent drop over 12 months.
Sales increased by 6.6 percent to €3.1 billion, with the new strategy leading to a 31 percent jump in the number of handsets sold, but with a sharp fall in profit margins.
Sony Ericsson was previously focused on the sale of high-end handsets and the group said the average sales price of one of its phones had fallen to €120 in the third quarter from €147 12 months earlier.
Comments
See Also
The group said that net profit totalled €267 million ($379 million dollars) in the three-month period, a 10.4 percent drop over 12 months.
Sales increased by 6.6 percent to €3.1 billion, with the new strategy leading to a 31 percent jump in the number of handsets sold, but with a sharp fall in profit margins.
Sony Ericsson was previously focused on the sale of high-end handsets and the group said the average sales price of one of its phones had fallen to €120 in the third quarter from €147 12 months earlier.
Join the conversation in our comments section below. Share your own views and experience and if you have a question or suggestion for our journalists then email us at [email protected].
Please keep comments civil, constructive and on topic – and make sure to read our terms of use before getting involved.
Please log in here to leave a comment.