Nokia reports 1.6 billion euro profit in 2021

Finnish networking giant Nokia announced this morning the financial results for the fourth quarter (Q4) of 2021 and full year results for 2021.

In Q4 2021, Nokia posted 6.414 billion euro revenue with a 680 million euro net profit. While the revenue is 2% lower than in Q4 2020, the operating margin rose from 6.7% to 11.5%. For the full year of 2021, Nokia reported 22.202 billion euro in revenue and a net profit of 1.645 billion euro.

Nokia also announced restart of dividend payout and announced a share buyback programme worth 600 million euro. The proposed dividend for 2021 is 0.08 euro per share. The company adjusted its long term operating margin forecast to be over 14%, with the goal of having revenue grow faster than the market.

Nokia’s CEO Pekka Lundmark said that Nokia “have now largely caught up competition in 5G” and that 2021, the year of reset was behind the company, and that now the company is accelerating.

The reported revenue for Q4 2021 was lower than market expectation, but the posted profit beat market estimates. Nokia’s stock price declined around 2% on Helsinki Stock Exchange and 3.7% on NYSE.

You can find the full report here (PDF).