Shocking Sales: Sony on Disaster Course

Sony’s mobile Department crash bleed. Latest quarterly result reporting a decline of 57 percent in units sold.
Latest quarterly performance results are grim reading for Sony’s Mobile Division. The number of units sold has plummeted from 7.9 million units sold in the first quarter 2015 to just 3.4 million smartphones in the last quarter-a decline of 57 percent. It writes Xperiablog.com.
Sony presents its weakest quarterly result thus since summer 2010. A development that explains the company’s downgraded his forecast back in January.
A small bright spot in the company’s latest set of accounts is an increased focus on larger margins. Earnings are therefore not dropped nearly as dramatically on the smartphone Department, if the result is only dived with 38 percent, while annual profits falling by 20 percent.
Latest result means according to Research Institute Juniper Research, that Sony smoking down to a ninth place, just below the global crisis hit the HTC.
The overall result for the entire Sony group is more positive, but notes the ever-for a small decline in turnover on 1.3 percent, while earnings are more than tripled.
 

What went wrong?

The slack sales figures come in the wake of a global downturn of the smartphone market, which by 2015 crimped with 6 percent.
Sony’s timing of the launch of key products, such as the upcoming X-series of flagships, also seems to have affected sales of their current top serie of Z5-topmobiler. Loyal Sony customers had therefore to either wait until sales start in May/June or instead look towards smartphones from competing producers.
Increased competition from Chinese producers as Huawei, ZTE and Vivo has at the same time, Oppo eroded the company’s margins, forcing the manufacturer to bet on lower volume with higher margins.
The crisis at the Japanese manufacturer are sharpened by April monthly earthquake in Kumamoto region, where parts of the company’s production facilities had to be stopped temporarily.
 

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