Finnish telecommunications giant Nokia yesterday reported their second quarter financial results for 2022. Nokia beat market expectations by recording 5.87 billion euro in net sales and 460 million euro in profits.
The Mobile Networks, Network Infrastructure, and Cloud and Network service grew 9%, 21% and 7% in revenue, while Nokia Technologies – the unit responsible for brand and patent licensing, saw their revenue decline by 24% (96 million euro) compared to the same period last year, due to ending licensing agreements that are in the process of litigation or renewal, but as well because of changes in the smartphone market. Nokia stated that the sales in Nokia Technologies were impacted by “market share changes in the smartphone industry, including a company that has exited the smartphone market”, probably referring to LG.
The market reacted with approval to Nokia’s Q2 report sending the shares up 9.29% on the Helsinki Stock Exchange. Nokia reiterated the same outlook for full year 2022, during which the company expects to have net sales in range from 23.5 billion to 24.7 billion euro, with the operating margin being between 11% and 13.5%.
You can find all the details in the PDF report.