Nokia Siemens Network (NSN) has registered a decline of two per cent in its overall revenue in 2012. For the year ending December 31, 2012, the telecom equipment maker has reported revenue of Euro 13.37 billion as compared to the revenue of Euro 13.64 billion in 2011.
During the period under review, NSN?s net sale in India declined by 19.1 per cent, primarily on account of lower spending by the operators. NSN?s net sales from India in 2012 stood at Euro 737 million as compared to net sales of Euro 911 million in 2011.
In 2012, NSN reported highest revenue growth from Japan followed by North America and Asia Pacific region. Globally, NSN?s operating loss increased from Euro 209 million in 2011 to Euro 741 million in 2012. According to the company, wage inflation in China and India impacted its profitability.
Further, in its bid to cut costs, the company has divested five businesses and is currently pursuing two more divestment. It has exited a number of poorly performing contracts and ceased its loss making operations in several countries.
In November 2011, NSN had set a goal of achieving cost savings of about Euro 1 billion and reduce its head count by 17,000 globally. At the end of 2012, NSN had 58,411 employees across the globe, including 10,192 employees in India.
The company has narrowed its regional focus making the high value and technologically advanced countries like Japan, South Korea and USA its priority markets.
