Feeds

Nokia Q4 sales jump but profits unmoved

Price erosion continues

Top 5 reasons to deploy VMware with Tegile

Mobile phone average selling prices are in decline, Nokia warned today as it reported its Q4 FY2005 financial results.

Sales for the period hit €10.33bn ($12.68bn), nine per cent higher than the year-ago quarter's €9.46bn. The mobile phone giant sold €6.22bn ($7.64bn) worth of handsets in the quarter, up just six per cent on Q4 FY2004's total, €5.87bn ($7.21bn).

Nokia's net income was €1.07bn ($1.31bn), down a single percentage point from the year-ago quarter. Then, the company made €1.08bn ($1.33bn) in net profit. By contrast, earnings were up year on year, from 24 cents a share to 25. Nokia said it will spend €6.5bn ($8bn) this year buying back stock, raising the prospect that earnings will continue to rise.

ASPs, on the other hand, will continue to fall, Nokia said. In Q4, they dropped to €99 ($122) from €102 ($125) in Q3 and €111 ($136) in Q4 FY2004. Analysts had forecast a Q4 FY2005 ASP of €100 ($123). The ongoing ASP decline will be "primarily driven by a mix shift in our volumes to markets where low-end models predominate", Nokia said, and "consistent with the industry trend, specifically the strong volume growth in emerging markets".

For FY2005 as a whole, Nokia reported income of €3.62bn ($4.44bn) on sales of €34.19bn ($41.98). Those figures amounted to increases of 13 per cent and 16 per cent, respectively, on FY2004's totals.

The phone division reported annual sales of €20.81bn ($25.55bn), 12 per cent higher than the €18.52bn ($22.74bn) Nokia announced this time last year. ®

Beginner's guide to SSL certificates

More from The Register

next story
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Lords take revenge on REVENGE PORN publishers
Jilted Johns and Jennies with busy fingers face two years inside
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Yes, yes, Steve Jobs. Look what I'VE done for you lately – Tim Cook
New iPhone biz baron points to Apple's (his) greatest successes
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Edward who? GCHQ boss dodges Snowden topic during last speech
UK spies would rather 'walk' than do 'mass surveillance'
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.