7/16/2009 11:00:00 AM
Sony Ericsson reports steep loss of £25m
Sony Ericsson has reported steep losses of £25m and a 40% drop in revenue to £14.8bn. It reported its results for the quarter ended 30 June today (16 July).
The number of phones shipped by the struggling manufacturer fell by 43% year-on-year to 13 million, confirming its previous predictions that demand for handsets will decline.
Sony Ericsson CEO, Dick Komiyama, said the second quarter was ‘challenging’ and admitted that the remainder of the year will be ‘difficult’ for Sony Ericsson.
He added: ‘Our focus remains on bringing the company back to profitability and growth as quickly as possible, and our performance is starting to improve due to our cost reduction activities.’
The fifth-largest handset manufacturer embarked on a cost cutting programme in 2008 and since then, the global workforce has been reduced by 2,350 people.
The company said it will continue to focus on communications and entertainment, but it will also turn its attention towards smartphones.