Feeds

US consumers pump up Nokia profits

Bullish forecast for '06

High performance access to file storage

Nokia, the world’s biggest mobile phone maker, announced stronger than expected results for Q1 yesterday.

Profits plumped up 21 per cent based largely on increasing sales in the US market. Net income for the first quarter soared to €1bn compared to €863m in 2005. Revenue at the Espoo, Finland-based company jumped 29 per cent to €9.5bn, up from €7.4 bn in the year-ago quarter.

Emerging markets in the Middle East and Africa, the Asia-Pacific region, and China also performed well with quarter-on-quarter per centage growth all in the teens. Of the newer markets only Latin America performed poorly for Nokia with volumes down by just under a quarter.

Earnings per share jumped nearly a third to €0.25, outperforming the Wall Street consensus forecast of €0.22.

Nokia president Olli-Pekka Kallasvuo said 2006 will be a year of good growth for the global mobile market. He expects Nokia's market volume to increase by at least 15 per cent.

"This year we anticipate approximately 70 per cent of industry volume growth to come from the emerging markets," he said, adding that lower priced entry-level products were "critical" for Nokia's future success.

Nokia phones are getting more expensive. The average selling price of a handset before Christmas was €99, rising slightly to €103 for the current quarter.

The firm's network business also seems healthy, with new contracts announced this quarter in Kuwait, China, Ecuador, Ukraine, Finland, Spain, and a United Arab Emirates deal alone worth €190m.

Nokia chief executive Jorma Ollila reportedly said he believed the recent merger with Lucent and Alcatel will not affect Nokia's market share.

© ENN

High performance access to file storage

More from The Register

next story
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Nokia offers 'voluntary retirement' to 6,000+ Indian employees
India's 'predictability and stability' cited as mobe-maker's tax payment deadline nears
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
France bans managers from contacting workers outside business hours
«Email? Mais non ... il est plus tard que six heures du soir!»
prev story

Whitepapers

Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.