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[Gd2Aussie3]

ERIC reported:
Updated:2007-04-20 09:18:03
Sony Ericsson more than doubles profit in 1st quarter
By LOUISE NORDSTROM
AP
STOCKHOLM, Sweden (AP) - Mobile phone maker Sony Ericsson 's first-quarter earnings more than doubled on strong sales of its Walkman music handsets, the company said Friday.

Net profit came to euro254 million (US$346 million) in the first three months of the year, up from euro109 million in the same period last year. Sales rose 47 percent to euro2.93 billion (US$3.99 billion) from euro1.99 billion in the first quarter of 2006.

London-based Sony Ericsson, a joint venture of Japan's Sony Corp . and Sweden's LM Ericsson, said strong sales growth in Asia, Latin America and Europe helped its market share grow 2 percentage points to 8 percent.

"The company captured market share in these markets through low and mid-tier products such as the W300 and W200 Walkman phones and the K310 camera phone without undermining profitability," Sony Ericsson said.

However, the closely watched average selling price of Sony Ericsson's handsets dropped to euro134 (US$182) from euro149 in the first quarter of last year.
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So with that good report on the table, I decided to watch the ERIC shares with the intent of buying calls. Good thing I didn't, the stock started sliding on the opening bell. However, I decided to take a chance and buy some May 42.5 calls at $.30 to see if the stock bounces up at the end of the day. At that price, it's worth the risk.

G' day mates,

Aussie