AP) - Stockholm (Swedish wireless equipment maker Ericsson, slashed its second-quarter profit as its largest unit, nearly one-third of Internet sales, decreased significantly.
In Stockholm on Wednesday announced a net profit of SEK 1.1 billion (approximately HK $ 156,000,000) for three months, and in SEK 310 million from a year earlier.
Ericsson is mainly attributed to decline, the change in the sales model - its network unit contribution to the total sales volume is significantly less, while the Global Services unit have higher sales. The net effect of the shift is forcing the company's profit margins.
In poor network performance, mainly attributed to the business activities in China, as well as operators invest in Russia slowed down. ST-Ericsson's chip manufacturing joint venture, jointly owned with STMicroelectronics, its sales of new products have been subjected to the challenges facing the company's profit was also hit.
The CEO WeiHanSi to defend his company are seeing their profit margins, said the focus on transfer payments in the long tight squeeze.
In 2010 to gain market share and improve the technology and services leadership, well aware of the short-term profit pressures, we have made ??a conscious decision, "he said. The focus 2Our these achievements sustainable and profitable growth. "
In this quarter's revenue of SEK 55.32 million, an increase of 54.77 kroner, while the gross profit margin from 37.8% to 32%.



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