Mobile phone maker Sony Ericsson Mobile Communications shipped a total of 9.5 million units in Q3 2011, down 9 percent from 10.4 million a year earlier due to a decline in feature phone shipments, partially offset by an increase in smartphone shipments. Android-based Xperia smartphones now account for more than 80 percent of sales and Sony Ericsson has shipped 22 million Xperia smartphones to date. Average selling price (ASP) for the quarter was Euro 166 for Q3 2011, up 8 percent from Q3 2010 and up 6 percent from Q2 2010. The year-on-year rise was due to the shift to smartphones and geographic mix. Sales for Q3 2011 were around EUR 1.6 billion, essentially flat year-on-year. Income before taxes for the quarter was EUE 31 million, compared to income before taxes of EUR 62 million for Q3 2020. Loss before taxes for the previous quarter was EUR 42 million. The sequential improvement was reflective of higher sales and lower operating expenses, while the year-on-year decline was due to lower gross margin percentage offset by lower operating expenses. Net income during the quarter improved by EUR 50 million sequentially, while net income decreased by EUR 49 million year-on-year. Sony Ericsson estimates that its share of the global Android-based smartphone market during Q3 2011 was around 12 percent in volume and 11 percent in value. President and CEO Bert Nordberg said that it would continue to invest in the smartphone market, shifting the entire portfolio to smartphones during 2012.
