The Sweden-based telecom gear manufacturer Ericsson has reported an increase of 56 per cent in its net revenues from SEK 1.3 billion for the quarter ended September 2013 to SEK 2 billion for the quarter ended September 2014 from its Indian operations. The year-on-year growth in support solutions in India has been driven by OSS and BSS contracts, among others. Also, the sales in the region have increased after a decline of 26 per cent for the quarter ended September 2013 due to an increase in operators? capital expenditure to support rising data traffic in the country.
Globally, Ericsson witnessed a 13 per cent decline in overall net income from SEK 3 billion for the quarter ended September 2013 to SEK 2.6 billion for the quarter ended September 2014. The company registered an increase of 9 per cent in its net sales from SEK 53 billion in July-September 2013 to SEK 57.6 billion in July-September 2014. The operating margin declined from 8 per cent for the quarter ended September 2013 to 6.7 per cent for the corresponding quarter in 2014.
The revenue growth in India was highest in July-September 2014, followed by 38 per cent in the Middle East and 16 per cent in North East Asia regions.
Further, the mobile broadband sales increased for the company as it has started delivering on key contracts. At present, Ericsson is executing on 4G contracts in Mainland China and Taiwan and improving sales in Japan. The revenues for the company have been driven by the favourable business mix, higher IPR revenues and efficiency enhancements.
