Sony Ericsson reports net loss of €50 million, 11% Android market share
Sony Ericsson revealed in its most recent filing it sold 16 million Xperia smartphones to date
Sony Ericsson today reported earnings for the quarter ended June 30. Revenues topped €1.19 billion, a 68 percent annual decline from €1.76 billion a year ago. Smartphone sales accounted for more than 70 percent of the company’s total sales during the quarter and they estimated their share of the Android market at eleven percent by both volume and value. The company shipped 7.6 million handsets during the June quarter, 31 percent less units on an annual basis and well below the low-end consensus of eight million units.
However, they reported a net loss of €50 million, which is especially troubling given a more modest loss of €11 million in the previous quarter and a net profit of €12 million in the year-ago quarter. Moreover, Sony Ericsson’s cash position has gone from around $2.2 billion prior to the iPhone launch to -250 million now. On a brighter note, Sony Ericsson said it shipped more than sixteen million Xperia smartphones to date, with eight new models rolled out in this year alone, including the Xperia Active pictured above. President and CEO Bert Nordberg attributed the declining business to the Japan earthquake in a statement accompanying the earnings report:
Sony Ericsson’s second quarter profitability was affected by the March 11 earthquake in Japan. We estimate that the impact of earthquake-related supply chain constraints on our portfolio was close to 1.5 million units, with most of the effect in the early part of the quarter.
The full press release is right after the break.
