Finnish Nokia released this morning their financial report for the second quarter (Q2) of 2021. The Finns recorded a strong quarter posting growth in all four business unit and raising the outlook for 2021.
In Q2 of 2021, Nokia reported 5.313 million euro in revenue, which is a growth of 4% compared to the same period of last year. The reported profit increased to 351 million euro, compared to 99 million euro a year ago. Due to the recent reconstruction in organization, Nokia is also offering a “comparable” segment of the results where the performance of current business units in this quarter is compared to the results this organizational structure would have a year ago.
Following that, Mobile Networks posted a slight decline in revenue of 2%, but a profit growth of 36%, from 183 million euro in Q2 2020 to 249 million euro last quarter. Network infrastructure saw a 15% increase in revenue and 145% increase in profits, while Cloud and network service earned 10 million euro in profit, compared to a small 6 million euro loss a year ago. Nokia Technologies saw revenue growth of 18% bringing in 401 million euro last quarter, and profit increase of 22% to 332 million euro.
Nokia raised the full year 2021 outlook for revenue to 21.7 billion to 22.7 billion euro, compared to the previous expectation of 20.6 billion to 21.8 billion euro. Expected comparable operating margin is between 10 and 12%, compared to 7 to 10% set previously. In general, Nokia’s Q2 financial results where very well received and interpreted as signs of a successful turnaround in progress.