Sony Ericsson reports €23m Q3 losses

Sony Ericsson has revealed lower than expected losses of €23 million in Q3, despite sales dropping and the company investing heavily in restructuring.

Sales dropped 10 per cent year-on-year and €35 million was spent on restructuring in the quarter, but losses were much lower than the forecasts which predicted a loss of €72 million.

“As expected the third quarter has continued to be challenging for Sony Ericsson,” said Sony Ericsson president Dick Komiyama (pictured).

“As previously announced, our target remains to reduce operating expenses by €300 million annually by the end of the second quarter 2009, with the full effects expected to appear in the second half of 2009. These plans are progressing in line with expectations.

“We are committed to executing our alignment plan as speedily as possible to ensure we have the right size and organisational structure to return the business to healthy profitability.”

A slowdown in the global economy is thought to have affected sales for all manufacturers with Nokia previously revealing their sales had dipped five per cent from last years third quarter.