The Finland-based mobile phone maker Nokia has registered a decline in its yearly revenue from India.
The company?s Indian revenue has decreased from Euro 2.92 billion during the year ending December 2011 to Euro 2.23 billion in the same period in 2012. Nokia has attributed the fall in revenue to increasing competition and currency fluctuation. Nokia?s sales in India comprise the company?s cumulative revenues from three businesses including devices, infrastructure (Nokia Siemens Networks) and Here (formerly Location and Commerce).
According to Nokia, the majority of its non-Euro based sales are denominated in the US dollar. But owing to its strong presence in emerging markets like China, India, Brazil and Russia the company has a substantial exposure to foreign exchange fluctuations. In 2012, the Indian rupee depreciated by 2.3 per cent against the Euro, which impacted the company?s financials.
The company also stated that that it is witnessing the emergence of local mobile device manufacturers that are performing well in a certain country or region, especially in emerging markets. And the success of such competitors has the potential of adversely affecting sales of its mobile devices in countries such as China, Indonesia and India where Nokia has been traditionally strong.
Further, in 2012, the telecom infrastructure market saw marginal growth in capital expenditures in Euro terms by global mobile operators, in regions like, Asia Pacific and North America. However, this growth was offset by declines in Europe, China and India.
To improve its revenues in 2013, Nokia is working towards delivering new and innovative solutions to consumers in India and globally.
