Sony Ericsson reports continued growth in sales and profit

18.10.04

Tokyo and Stockholm -- Sony and Ericsson today announced the consolidated financial
summary for the third quarter ended September 30, 2004 of Sony Ericsson Mobile
Communications AB (Sony Ericsson), the 50:50 joint venture of Sony and Ericsson.
Units shipped in the quarter reached 10.7 million, a 51% increase compared to the same
period last year. Sales for the quarter were Euro 1,678 million, represe nting a year-on-year
increase of 29%. Income before taxes was Euro 136 million and net income was Euro 90
million, which represent year-on-year improvements of Euro 97 million (249%) and Euro 28
million (45%) respectively.

The company maintained its momentum from the first half of the year, generating profitable growth.
Sony Ericsson’s Average Selling Price (ASP) increased sequentially in line with company
expectations due to new mid and high-end Japanese and GSM products beginning to ship.
“Sony Ericsson has enhanced its portfolio during the quarter with the launch of exciting products.
Over 60% of phones sold during the quarter featured integrated cameras which illustrates our position
as a market leader in mobile imaging,” said Miles Flint, President of Sony Ericsson. “The quarter has
seen us shipping a number of new products such as our first GSM megapixel camera phone, the
S700, the new P910 smartphone and the youth orientated K500 series. In addition we also
announced together with Vodafone the V800, our second 3G UMTS handset.”
In Japan the company launched the mova® SO506iC for NTT DoCoMo, Sony Ericsson’s first handset
with i-mode® FeliCa Service for mobile wallet applications 1 and the W21S, a 3G CDMA 1x EV-DO
phone for KDDI.
Q3 2003 Q2 2004 Q3 2004
Numbers of units shipped (million) 7.1 10.4 10.7
Sales (EURO m.) 1305 1504 1678
Income before taxes (EURO m.) 39 113 136
Net income (EURO m.) 62 89 90

Sony Ericsson Mobile Communications serves the global communications market with innovative and
feature-rich mobile phones, accessories, PC-cards and M2M solutions. Established as a joint venture
by Ericsson and Sony in 2001, with headquarters in London, the company employs approximately
5,000 people worldwide, including R&D sites in Europe, Japan, China and America. For more
information, please visit www.SonyEricsson.com