Sony Ericsson has revealed its financial results for the last quarter (April – June), blaming poor performance on a shortage of components in the aftermath of the earthquake in Japan in March.
The company shifted 7.6 million handsets in the three month period, but it had expected to sell between eight and eleven million.
But it's not all bad news, with Sony Ericsson insisting that the hard times are behind it, and forecasting bigger sales for the second half of the year.
Chief executive Bert Nordberg said, "There might be some minor spillover. In our planning this [shortage] is behind us."
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Sony Ericsson expected big things of 2011, unveiling a strong line up of smartphones at this year's Mobile World Congress, including the Sony Ericsson Xperia Arc and the long-awaited Xperia Play PlayStation phone.
The company has bet big on Android, but whether or not this move will see them turn a profit in 2011 remains to be seen.