Walkman handsets again boost Sony Ericsson profits

The remarkable success of Walkman-branded handsets continues to push Sony Ericsson along on the crest of a wave.~ ~ The company has reported that profits just about doubled in Q2. Net income for the quarter to June 30 was € 143 million, up dramatically on the € 75 million booked in Q2 last year. Total revenues for Q2 hit € 2.3 billion, a rise of 41 per cent on Q2, 2005.~ ~ Sony Ericsson shifted a remarkable 15.7 million mobile handsets in Q2, a rise of 33 per cent on the 11.8 million devices shipped in Q2 last year.~ ~ The only tiny cloud on the horizon is that the average selling price of the company’s handsets fell slightly (from € 150 to € 145) but this was because Sony Ericsson dispatched a greater number of lower-priced, entry-level products over the accounting period.~ ~ Behind all this is the phenomenal success of the Walkman handsets.

Three new models were shipped over the quarter as was the quad-band EDGE W710, the company’s first Walkman to come complete with a pedometer and jogging/exercise functionality and applications.~ ~ Miles Flint, the president of Sony Ericsson, says the handset market continues to outstrip expectations and forecasts that in excess of 950 million mobile handsets will be shipped globally over the course of this year. That’s up 50 million from previous predictions.~ ~ Mr. Flint added that of the 15.7 million Sony Ericsson handsets shipped during Q2 almost 4 million were Walkman phones. “In total we have now sold 10 million Walkman-branded handsets since we launched the series”, he says.~ ~ Not bad for a brand that, at the time it was re-introduced, was lambasted by some critics as being an out-of-date 1980’s name that harked back to old technology.~ ~ If you listed closely you can hear distant chomping. It is the sound of large wodges of humble pie being eaten - and quite right too.~