Feeds

Nokia market share dips below 30% in Q1

Revenues up, pre-tax profit down

Boost IT visibility and business value

Nokia's global mobile phone market share significantly fell below 30 per cent for the first time in 10 years during the company's first quarter, when it announced a new pact with Microsoft.

The company, which today signed a definitive agreement with MS to build several Nokia Windows phones together, posted better than expected Q1 operating profit on Thursday.

Revenues at the Finnish phone maker were up nine per cent to €10.39bn for the quarter ended 31 March 2011. That compared with sales of €9.52bn in the same period a year earlier.

However, pre-tax profit dropped from €411m to $403m year-on-year.

At the same time, Nokia's market share in the mobile phone biz declined from 33 per cent in its 2010 Q1 to 29 per cent in its most recent quarter.

But the company's operating profit cheered the markets, which had expected a decrease of some 40 per cent during the quarter. Instead it fell by 14 per cent to €344m, compared with €499m for the same period a year earlier.

Nokia boss Stephen Elop confessed in the company's results statement that life was about to get even tougher for the phone vendor.

"Following a solid first quarter, we expect a more challenging second quarter. However, we are encouraged by our roadmap of mobile phones and Symbian smartphones, which we will ship through the balance of the year," he said.

"We are fully focused on delivering the needed accountability, speed and results to positively drive our future financial performance.”

Nokia shares are currently up 3.25 per cent to $8.59 in pre-market trading on Wall Street. ®

Build a business case: developing custom apps

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Kaspersky backpedals on 'done nothing wrong, nothing to fear' blather
Founder (and internet passport fan) now says privacy is precious
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Gartner critical capabilities for enterprise endpoint backup
Learn why inSync received the highest overall rating from Druva and is the top choice for the mobile workforce.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Rethinking backup and recovery in the modern data center
Combining intelligence, operational analytics, and automation to enable efficient, data-driven IT organizations using the HP ABR approach.
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.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.