Nokia has bumped up its full-year earnings guidance after slashing costs and overhauling its products. The technology vendor expects diluted earnings of 0.25 euro cents per share (plus or minus 5 cents) in contrast with earlier projection of 0.23 euro cents.
Further, Nokia’s adjusted operating profit for the second quarter was 423 million euros, as against average analyst estimates of 289.8 million euros according Bloomberg-tracked ratings.
As per industry analysts, Nokia can expect good results going forward as new low-cost radio-access base station would put it back in the 5G game. Further, the banning of Huawei in various key European markets will also prove to be beneficial for Nokia.
Nokia said it expects to slightly underperform its primary addressable market, excluding China. Previously it had said it expected to perform in line with the market.
Nokia’s second-quarter net sales fell to 5.09 billion euros, recording an 11 per cent YoY decline. In contrast, average analyst forecast of Nokia’s Q2 net sales was 5.31 billion euros.
Moreover, Nokia reported an operating margin of 9.5 per cent (plus or minus 1.5 percentage points), against a previous midpoint of 9 per cent.