Other than Apple and Samsung, most smartphone companies that are actually doing well are the new Chinese phone makers like Xiaomi, Oppo, Vivo, and Huawei.
Older brands like Sony, HTC, and LG, on the other hand, have seen better days. Today, Sony announced its 2nd quarter results for 2019.
It reported an 18% increase in total income on a yearly basis, but its Electronic Products and Solutions department has reported an overall decrease in sales and operating income for the 5th quarter in a row.
Sony blames the 15% drop in sales mostly on the decrease in the digital camera and TV sales.
Better Than Forecasts
The drop isn’t exactly significant, and its Mobile Communications segment actually managed to bring in JPY 1 billion in income, which turned out to be better than what forecasts predicted. This is the result of the mobile division cutting costs to improve things, though the pricing for the high-end models has most likely not helped in that aspect.
It is also worth mentioning that Sony doesn’t produce nearly as many Mobile Phones as other companies in the competition.
Huawei on the other hand, a company that continuously pumps out phones, reported a 24% increase in smartphone shipments for the year despite facing hurdles.
More Losses Incoming
Sony forecasts a further 4% drop in sales for the EP&S department for the financial year ending in March 2020. The department is expected to bring in JPY 380 billion instead of the expected JPY 410 billion in revenue.
If such results continue, Sony’s mobile and electronics division might have to see some major restructuring.