Feeds

Nokia Q2 sales, income jump

Handset earnings fall

  • alert
  • submit to reddit

The Power of One Infographic

Nokia today met its own earnings forecast but fell short of analyst expectations when it posted its Q2 results.

The three months to 30 June yielded revenues of €8.1bn ($9.8bn), up 24.6 per cent on the €6.5bn ($7.3bn) it recorded for Q2 FY2004.

Net income came to €799m ($966m), or 18 cents a share - 15 per cent higher than the year-ago quarter's €695m ($840m), or 15 cents a share. The final figure was at the upper end of Nokia's forecast, made in April, of 15-18 cents, but below the 19 cents per share income analysts polled by the Reuters newsagency had been anticipating.

The Finnish giant's mobile phone sales grew 20 per cent year on year, from €4.1bn ($4.8bn) to €4.9bn ($5.9bn), but falling average selling prices knocked that business' income contribution down from €802m ($970m) to €789m ($954m), a decline of 1.6 per cent. Mobile phone margins fell from 19.8 per cent to 16.2 per cent. Unit sales were up 34 per cent year on year, taking Nokia's market share to around 33 per cent, the company calculated.

Like rival handset maker Sony Ericsson earlier this week, Nokia upped its forecast for 2005's global handset sales, to 760m from 740m. Sony Ericsson's estimate is 720m units. The extra sales will come from "an expanding mobile subscriber base in developing markets", Nokia said.

Looking to its own future, Nokia predicted Q3 earnings of 14-17 cents a share on sales of €7.9-8.2bn ($9.6-9.9bn). ®

Related stories

Apple to muscle in on MVNO market?
Sony Ericsson claims Q2 market share gain
Nokia 'not interested' in buying RIM
Get serious, IBM and Nokia tell developers
Motorola buys Sendo team, patents
Nokia shifting to Linux as it joins with Apple to challenge Windows 2

Boost IT visibility and business value

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple ran off to IBM
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.