-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, BF6UnHG6hVXfwNdizlgvjNam3edkDDwiOh3eXjhNGS6gl6BZqEuYdPw+rzpqaNbS Xgh+8No6NztBTnt9knDYzg== 0001191638-08-000077.txt : 20080116 0001191638-08-000077.hdr.sgml : 20080116 20080116060718 ACCESSION NUMBER: 0001191638-08-000077 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20080116 FILED AS OF DATE: 20080116 DATE AS OF CHANGE: 20080116 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SONY CORP CENTRAL INDEX KEY: 0000313838 STANDARD INDUSTRIAL CLASSIFICATION: HOUSEHOLD AUDIO & VIDEO EQUIPMENT [3651] IRS NUMBER: 000000000 STATE OF INCORPORATION: M0 FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-06439 FILM NUMBER: 08532378 BUSINESS ADDRESS: STREET 1: 7-1, KONAN STREET 2: 1-CHOME, MINATO-KU CITY: TOKYO STATE: M0 ZIP: 108-0075 BUSINESS PHONE: 0367482180 MAIL ADDRESS: STREET 1: 7-1, KONAN STREET 2: 1-CHOME, MINATO-KU CITY: TOKYO STATE: M0 ZIP: 108-0075 6-K 1 son200801166k.txt SONY ERICSSON Q4 RESULTS Form 6-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D. C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 For the month of January 2008 Commission File Number: 001-06439 SONY CORPORATION (Translation of registrant's name into English) 1-7-1 KONAN, MINATO-KU, TOKYO, 108-0075, JAPAN (Address of principal executive offices) The registrant files annual reports under cover of Form 20-F. Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F, Form 20-F X Form 40-F __ Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934, Yes No X If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):82-______ SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. SONY CORPORATION (Registrant) By: /s/ Nobuyuki Oneda (Signature) Nobuyuki Oneda Executive Vice President and Chief Financial Officer Date: January 16, 2008 List of materials Documents attached hereto: i) Press release announcing: 'Sony Ericsson sells over 100 million handsets in 2007' SONY ERICSSON PRESS RELEASE January 16, 2008 Sony Ericsson sells over 100 million handsets in 2007 Q4 Highlights: - 18% increase in volume year-on-year - Continued market share gains and profitable growth - Continued investment for the future 2007 Highlights: - Over 100 million units sold - more than double global market growth rate - Margins remain strong as company shifts to broader portfolio - Unit growth underpinned by increased sales of lower priced phones - 145 million music enabled phones sold to date, of which 57 million were Walkman(R) phones - maintaining leadership in music The consolidated financial summary for Sony Ericsson Mobile Communications AB (Sony Ericsson) for the fourth quarter ended December 31, 2007 is as follows:
Q4 2006 Q3 2007 Q4 2007 2006 FY 2007 FY _______ _______ _______ _______ _______ Number of units shipped (million) 26.0 25.9 30.8 74.8 103.4 Sales (Euro m.) 3,782 3,108 3,771 10,959 12,916 Gross Margin (%) 29.0% 30.7% 31.8% 29.1% 30.6% Operating Income (Euro m.) 484 393 489 1,257 1,544 Operating Margin (%) 12.8% 12.7% 13.0% 11.5% 11.9% Income before taxes (Euro m.) 502 384 501 1,298 1,574 Net Income (Euro m.) 447 267 373 997 1,114 Average Sales Price (Euro) 146 120 123 146 125
Units shipped in the quarter reached 30.8 million, a 18% increase compared to the same period last year, generating continued sequential and year-on-year market share gains. Sales for the quarter were Euro 3,771 million, in line with sales a year ago reflecting a strategic shift to a greater proportion of lower priced handsets in the product portfolio. Income before taxes for the quarter was Euro 501 million in line with a year ago. Net income for the quarter was Euro 373 million. Sony Ericsson gained market share during the quarter due to the continued success of such products as the K550 Cyber-shot(TM) and the W200, W300 and W580 Walkman(R) phones in the Americas and Europe. Although Average Selling Price (ASP) increased slightly sequentially during the quarter, as a result of the introduction of new flag-ship Walkman(R) and Cyber-shot(TM) phones such as the W910 and K850 models, the trend for falling ASPs year-on-year reflects the company's direction to broaden its product portfolio. "Sony Ericsson finished a very good year, which highlighted how the company has strategically positioned itself to capture market share with an expanded product portfolio. Investments are being made in both R&D and brand building, to deepen the portfolio and strengthen Sony Ericsson's presence in new and developing markets around the world. Our target remains to become one of the top three players in the industry, and the momentum we established in 2006 and 2007 makes this a realistic and achievable ambition," said Dick Komiyama, President of Sony Ericsson. Sony Ericsson estimates the 2007 global handset market as being over 1.1 billion units, in line with previous forecasts. On this basis the company believes it grew market share around 2 percentage points to reach approximately 9% for the full year 2007 compared to full year 2006. During the fourth quarter Sony Ericsson announced that it had entered into a series of agreements with Motorola, Inc. whereby Motorola acquired 50% of the share capital in U.I. Holdings BV, the Dutch owner of the Swedish software company UIQ Technology AB, which was acquired by Sony Ericsson from Symbian Ltd. earlier in the year. The transaction was ratified by the appropriate competition authorities during the quarter. Sony Ericsson announced a number of new products during the quarter including high-end W890 Walkman(R) and the K630 and the K660 HSDPA web phone. The company also announced its strategy to expand Sony Ericsson's PlayNow(TM) digital content distribution application into a full service proposition during 2008. On November 1, 2007 Sony Ericsson's president Miles Flint stepped down and Hideki 'Dick' Komiyama joined the company to replace him. Dick Komiyama joined Sony Ericsson from Sony Corporation where he was Director, Chairman, Sony Electronics Inc., USA, and Executive Vice President of Electronics Marketing and Sales Strategies of Sony Corporation, Japan. WALKMAN(R) and Cyber-shot(TM) are trademarks or registered trademarks of Sony Corporation. PlayNow(TM) is a trademark of Sony Ericsson. EDITOR'S NOTES: Financial Statements and Additional Information: Financial Statements: Consolidated Income Statement Consolidated Income Statement - Year-to-Date Consolidated Income Statement - Isolated Quarters Consolidated Balance Sheet Consolidated Statement of Cash Flows Consolidated Statement of Cash Flows - Year-to-Date Consolidated Statement of Cash Flows - Isolated Quarters Additional Information: Net Sales by Market Area by Quarter - - ENDS - Sony Ericsson Mobile Communications was established as a 50:50 joint venture by Sony and Ericsson in October 2001, with global corporate functions located in London. The company serves the worldwide communications market with innovative and feature-rich mobile phones, accessories and PC-cards, and it has R&D sites in Europe, Japan, China, India and America. Sony Ericsson is the title sponsor of the Women's Tennis Association, and works with the Association to promote the Sony Ericsson WTA Tour in over 80 cities during the year. For more information, please visit www.sonyericsson.com CONTACTS: Investors/Analysts Ericsson Investor Relations Gary Pinkham (Stockholm) +46 8 719 0858 Sony Investor Relations Shinji Tomita (London) +44 207 444 9713 Tatsuyuki Sonoda (Tokyo) +81 3 6748 2180 Press/Media Sony Ericsson Corporate Communications & PR Aldo Liguori (London) +44 208 762 5860 Merran Wrigley (London) +44 208 762 5862 This press release contains forward-looking statements that involve inherent risks and uncertainties. We have identified certain important factors that may cause actual results to differ materially from those contained in such forward-looking statements. For a detailed description of risk factors see Sony's and Ericsson's filings with the US Securities and Exchange Commission, particularly each company's latest published Annual Report on Form 20-F.
Sony Ericsson CONSOLIDATED INCOME STATEMENT Oct-Dec ___________________________________ EUR million 2007 2006 Change ____________________________________________________________________________ Net sales 3,771 3,782 0% Cost of sales -2,573 -2,686 -4% _____________________ Gross profit 1,198 1,096 9% Gross margin % 31.8% 29.0% 3% Research and development expenses -349 -256 36% Selling and administrative expenses -375 -367 2% _____________________ Operating expenses -724 -623 16% Other operating income, net 15 10 43% _____________________ Operating income 489 484 1% Operating margin % 13.0% 12.8% 0% Financial income 19 19 3% Financial expenses -7 0 - _____________________ Income after financial items 501 502 0% Taxes -118 -43 176% Minority interest -10 -12 -18% _____________________ Net income 373 447 -17% Number of units shipped (million) 30.8 26.0 18% ASP (EUR) 123 146 -16% Sony Ericsson CONSOLIDATED INCOME STATEMENT Jan-Dec ___________________________________ EUR million 2007 2006 Change ____________________________________________________________________________ Net sales 12,916 10,959 18% Cost of sales -8,958 -7,775 15% _____________________ Gross profit 3,958 3,184 24% Gross margin % 30.6% 29.1% 2% Research and development expenses -1,173 -906 29% Selling and administrative expenses -1,260 -1,086 16% _____________________ Operating expenses -2,432 -1,992 22% Other operating income, net 18 65 -74% _____________________ Operating income 1,544 1,257 23% Operating margin % 11.9% 11.5% 0% Financial income 62 43 43% Financial expenses -32 -2 - _____________________ Income after financial items 1,574 1,298 21% Taxes -423 -267 59% Minority interest -36 -33 9% _____________________ Net income 1,114 997 12% Number of units shipped (million) 103.4 74.8 38% ASP (EUR) 125 146 -15%
Sony Ericsson CONSOLIDATED INCOME STATEMENT - ISOLATED QUARTERS 2007 2006 ___________________________ ___________________________ EUR million Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 _______________________________________________________________________________ Net sales 3,771 3,108 3,112 2,925 3,782 2,913 2,272 1,992 Cost of sales -2,573 -2,154 -2,192 -2,039 -2,686 -1,995 -1,625 -1,469 ___________________________ ___________________________ Gross profit 1,198 954 921 886 1,096 917 647 524 Gross margin % 31.8% 30.7% 29.6% 30.3% 29.0% 31.5% 28.5% 26.3% Research and development expenses -349 -280 -283 -261 -256 -225 -223 -202 Selling and administrative expenses -375 -280 -321 -284 -367 -287 -246 -186 ___________________________ ___________________________ Operating expenses -724 -560 -604 -545 -623 -511 -470 -388 Other operating income, net 15 -1 -2 5 10 21 26 7 ___________________________ ___________________________ Operating income 489 393 315 346 484 427 203 143 Operating margin % 13.0% 12.7% 10.1% 11.8% 12.8% 14.6% 8.9% 7.2% ___________________________ ___________________________ Financial income 19 7 18 18 19 8 8 9 Financial expenses -7 -16 -6 -2 0 -1 0 0 ___________________________ ___________________________ Income after financial items 501 384 327 362 502 433 211 151 ___________________________ ___________________________ Taxes -118 -109 -97 -100 -43 -127 -64 -34 Minority interest -10 -8 -10 -9 -12 -8 -5 -9 ___________________________ ___________________________ Net income 373 267 220 254 447 298 143 109 Number of units shipped (million) 30.8 25.9 24.9 21.8 26.0 19.8 15.7 13.3 ASP (EUR) 123 120 125 134 146 147 145 149
Sony Ericsson CONSOLIDATED BALANCE SHEET Dec 31 Sep 30 Dec 31 EUR million 2007 2007 2006 ________________________________________________________________________ ASSETS Total fixed and financial assets 572 511 469 Current assets Inventories 437 620 437 Accounts receivables 1,870 1,803 1,653 Other assets 345 544 310 Other short-term cash investments 1,431 954 1,580 Cash and bank 724 804 693 _______ _______ _______ Total current assets 4,808 4,725 4,673 ________________________________________________________________________ Total assets 5,380 5,236 5,141 ________________________________________________________________________ SHAREHOLDERS' EQUITY AND LIABILITIES Shareholders' equity 2,026 1,663 1,781 Minority interest 64 70 45 _______ _______ _______ Total equity 2,090 1,733 1,826 Total long-term liabilities 26 22 20 Accounts payable 1,263 1,602 1,276 Other current liabilities 2,001 1,879 2,019 _______ _______ _______ Total current liabilities 3,264 3,481 3,296 ________________________________________________________________________ Total shareholders' equity and 5,380 5,236 5,141 liabilities ________________________________________________________________________ Net cash* 2,155 1,758 2,272
* Net cash is defined as cash and bank plus short-term cash investments less interest bearing liabilities.
Sony Ericsson CONSOLIDATED STATEMENT OF CASH FLOWS Oct-Dec __________________________ EUR million 2007 2006 ___________________________________________________________________________ OPERATIONS Net income 373 447 Adjustments to reconcile net income to cash 17 23 __________________________ 390 470 Changes in operating net assets 44 50 __________________________ Cash flow from operating activities 434 520 INVESTMENTS Investing activities -27 -26 __________________________ Cash flow from investing activities -27 -26 FINANCING Financing activities 0 - 66 __________________________ Cash flow from financing activities 0 -66 Net change in cash 408 428 Cash, beginning of period 1,758 1,861 Translation difference in Cash -10 -16 __________________________ Cash, end of period 2,155 2,273 ___________________________________________________________________________ Sony Ericsson CONSOLIDATED STATEMENT OF CASH FLOWS Jan-Dec __________________________ EUR million 2007 2006 ___________________________________________________________________________ OPERATIONS Net income 1,114 997 Adjustments to reconcile net income to cash 107 85 __________________________ 1,221 1,082 Changes in operating net assets -305 100 __________________________ Cash flow from operating activities 916 1,182 INVESTMENTS Investing activities -164 -134 __________________________ Cash flow from investing activities -164 -134 FINANCING Financing activities - 849 -278 __________________________ Cash flow from financing activities -849 -278 Net change in cash -97 770 Cash, beginning of period 2,273 1,537 Translation difference in Cash -21 -34 __________________________ Cash, end of period 2,155 2,273 ___________________________________________________________________________
Sony Ericsson CONSOLIDATED STATEMENT OF CASH FLOWS - ISOLATED QUARTERS Oct-Dec Jul-Sep Apr-Jun Jan-Mar Oct-Dec Jul-Sep Apr-Jun Jan-Mar _______________________________________________________________ EUR million 2007 2007 2007 2007 2006 2006 2006 2006 ________________________________________________________________________________ OPERATIONS Net income 373 267 220 254 447 298 143 109 Adjustments to reconcile net income to cash 17 32 30 28 23 20 22 20 _______________________________________________________________ 390 299 250 282 470 318 165 129 Changes in operating net assets 44 88 16 -454 50 -21 18 53 _______________________________________________________________ Cash flow from operating activities 434 387 266 -172 520 297 183 182 INVESTMENTS Investing activities -27 -53 -31 -53 -26 -36 -29 -43 _______________________________________________________________ Cash flow from investing activities -27 -53 -31 -53 -26 -36 -29 -43 FINANCING Financing activities 0 - 300 - 548 - 1 - 66 - 2 26 - 236 _______________________________________________________________ Cash flow from financing activities 0 -300 -548 -1 -66 -2 26 -236 Net change in cash 408 34 -312 -226 428 259 180 -97 Cash, beginning of period 1,758 1,730 2,045 2,273 1,861 1,595 1,428 1,537 Translation difference in Cash -10 -6 -3 -2 -16 7 -13 -12 _______________________________________________________________ Cash, end of period 2,155 1,758 1,730 2,045 2,273 1,861 1,595 1,428 ________________________________________________________________________________ Sony Ericsson NET SALES BY MARKET AREA BY QUARTER EUR million 2007 2006 ____________________________ ____________________________ Isolated quarters Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 ________________________________________________________________________________ Europe, Middle East & Africa * 2,251 1,715 1,729 1,598 2,145 1,600 1,090 1,029 Americas 636 573 499 365 555 417 328 250 Asia 884 820 885 961 1,082 896 853 713 ________________________________________________________________________________ Total 3,771 3,108 3,112 2,925 3,782 2,913 2,272 1,992 ________________________________________________________________________________ * of which Western Europe 1,569 1,103 1,102 1,078 1,478 1,115 748 674 2007 2006 ____________________________ ____________________________ Sequential change (%) Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 ________________________________________________________________________________ Europe, Middle East & Africa * 31% -1% 8% -26% 34% 47% 6% -27% Americas 11% 15% 37% -34% 33% 27% 31% -19% Asia 8% -7% -8% -11% 21% 5% 20% 20% ________________________________________________________________________________ Total 21% 0% 6% -23% 30% 28% 14% -14% ________________________________________________________________________________ * of which Western Europe 42% 0% 2% -27% 33% 49% 11% -35% 2007 2006 ____________________________ ____________________________ Year over year change (%) Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 ________________________________________________________________________________ Europe, Middle East & Africa * 5% 7% 59% 55% 52% 35% 43% 71% Americas 15% 37% 52% 46% 79% 77% 53% 53% Asia -18% -8% 4% 35% 83% 42% 33% 36% ________________________________________________________________________________ Total 0% 7% 37% 47% 64% 42% 41% 55% ________________________________________________________________________________ * of which Western Europe 6% -1% 47% 60% 45% 33% 42% 84% 2007 2006 ____________________________ ____________________________ Year to date 0712 0709 0706 0703 0612 0609 0606 0603 ________________________________________________________________________________ Europe, Middle East & Africa * 7,293 5,042 3,328 1,598 5,865 3,720 2,120 1,029 Americas 2,072 1,436 864 365 1,550 995 578 250 Asia 3,550 2,666 1,846 961 3,544 2,462 1,566 713 ________________________________________________________________________________ Total 12,916 9,145 6,037 2,925 10,959 7,177 4,264 1,992 ________________________________________________________________________________ * of which Western Europe 4,852 3,283 2,179 1,078 4,014 2,537 1,422 674 2007 2006 ____________________________ ____________________________ YTD year over year change (%) 0712 0709 0706 0703 0612 0609 0606 0603 ________________________________________________________________________________ Europe, Middle East & Africa * 24% 36% 57% 55% 48% 46% 56% 71% Americas 34% 44% 49% 46% 68% 62% 53% 53% Asia 0% 8% 18% 35% 48% 37% 35% 36% ________________________________________________________________________________ Total 18% 27% 42% 47% 51% 45% 47% 55% ________________________________________________________________________________ * of which Western Europe 21% 29% 53% 60% 46% 46% 59% 84%
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