Nokia under the investigation of Finland’s FSA for the October financial warning

Nokia’s financial results for Q3 2019 plunged the price of Nokia stocks for more than 20%. The reason for that was slashed profit outlook for 2019 and 2020 and halted payment of the dividend to shareholders. The decision to do that might sound strange to many, especially now when Nokia is winning many 5G deals, but those deals do not mean the instant increase of the profit. Just the opposite, Nokia needed to invest a lot of money into R&D to speed us the 5G deployment process.
Anyway, this whole situation triggered Finland’s Financial Supervisory Authority which started an investigation about Nokia’s financial predictions that surged the price of its shares. If Nokia is found guilty, the penalty for that could be up to € 2.5 million.
I don’t think nothing will happen, but those harsh statements can affect how things are being done. Just remember what Burning Memo did for the Symbian market share in a few months.

Source Reuters / HS

Cheers to MichaelsoftSirFaceFone for the tip 😉