Sony Ericsson shipped 51.2 million units of handsets and the total revenue was €7.2 billion in 2005. The volume grew by more than 21 percent and the gross revenue increased almost 12 percent compared to 2004. It has posted nearly 13 percent growth in net income of €365 million, which was €316 million in 2004.

The London-based joint venture of Japanese Sony and Swedish Ericsson witnessed strong growth due to its success in launching the Walkman branded music phones such as the W800, W600, W550 and the W900. The mid-tier clamshell phones like the Z520 model and low-cost J230, J210 and Z300 models also contributed to the growth.

These gadgets have established Sony Ericsson at the forefront of expanding consumer choice in how people enjoy digital music on the move. Since the first Walkman phone was launched in volume in August, the vendor has shipped three million Walkman branded phones.

"We suspect that market share was gained at the expense of Samsung as well as smaller players which have consistently haemorrhaged share throughout 2005," said Richard Windsor of Nomura Bank to The Telecommunications International magazine. "We had expected slightly higher market share. But this is a very good set of results."Windsor points out that the operating margins were 8.9 percent, much stronger than the bank's expectation of 7.5 percent.

"This was another solid quarter for Sony Ericsson, and has enabled us to finish the year with great momentum," said Miles Flint, President of Sony Ericsson. "At the same time, investment in developing the Sony Ericsson brand during 2005 is increasingly supporting our position in the market place," he added.