Quoting the incoming Sony Ericsson chief executive Bert Nordberg, Dagens Industri paper reported that the company would expectedly return to profitability in 2010, if the market recovery takes root and the company’s forthcoming products do well.

Noting the parent companies of Sony Ericsson - the Japanese Sony and the Swedish Ericsson – are fully committed to the joint venture, Nordberg said the handset maker is planning an expansion of its product portfolio and better its position in the smartphone market.

Nordberg also said that the company intends undertaking new cost reductions next year, over and above the current plan of bringing about a saving 880 million euros.

Already, Sony Ericsson has started showing signs of improvement, with its third-quarter results posted Friday revealing that improved margins led to a lower-than-expected loss of 164 million euros. Moreover, the company has further fortified its financial position via signing facilities of 455 million euros.

At a conference call on Friday, Sony Ericsson’s outgoing CEO Dick Komiyama said that, as per the latest projections, the company expects the 2009 handset market to decline less than what it had earlier perceived.

Going by analysts’ opinion, the turnaround plans of Sony Ericsson – which has witnessed several quarters of steep losses, and a fall in its market share, amid global economic crisis, may help the company see itself ‘back in the black’ in 2011.