Manufacturer blames significant drop in smartphone sales for £120 million losses during the latest quarter
Sony Mobile saw its sales and operating revenue fall 16.3 per cent to £1.4 billion during the three months ending June 30.
The Japanese manufacturer blamed falling smartphone sales due to a strategic “not to pursue scale” for the decline.
It reported losses of 22.9 billion yen (£120 million) during its Q1 results, down more than £83 million more than in the same quarter last year.
The manufacturer said the decline in smartphone sales had contributed but also pointed to 25.4 billion Yen lost due to the negative impact of exchange rate fluctuations.
The results came as the wider company saw its net profit triple to 82.4 billion yen (£425 million) – almost triple the previous quarter.
Operating profit also rose, by 39 per cent, to 96.8 billion yen (£499 million), although sales were flat on the previous year at 1.8 trillion yen (£9.5 billion).
Sony’s struggles in its smartphone business were in stark contrast to its games and network services division which, spurred on by the PS4, jumped 12 per cent year-on-year.