Creative Technology sees profits drop 72%, but sales soar
Friday, April 22, 2005
Net income was $15.9m, $0.18 a share; down from $57m or $0.68 a share a year earlier. Sales were $333.8m.
The results show the extent of Creative’s current price war with rival Apple Computer. Both firms have dropped prices on key products on numerous occasions in recent months in an attempt to steal market share in the fast growing digital audio market.
Creative, based in Singapore, has thus far sold 2m MP3 players worldwide, making it the number two player in the market.
- “Creative Technology Profit Drops 72% as Prices Fall” — , April 22, 2005
- “Creative Technology’s Q3 net profit falls 72% to US$15.9m” — , April 22, 2005
- Ed Oswald. “Creative Sells 2 Million MP3 Players” — , April 22, 2005