Business Services Industry

Nokia reports operating profit up, market share down in Q1 2008

Nordic Business Report, April 17, 2008

Finnish telecomms solutions provider Nokia (NYSE: NOK) reported on Thursday (17 April) an operating profit of EUR1.53bn on net sales of EUR12.7bn for the financial period January-March 2008.

Both operating profit and net sales for the three-month period increased, respectively by 20% and 28%, as compared to the corresponding period in 2007.

Earnings per share (EPS) in the first quarter 2008 increased by 28% to EUR0.32.

Nokia said that it sold 115.5m units during the quarter, up 27% year on year and down 13% sequentially. Nokia estimated industry device volumes of 295m units, up 17% year on year and down 12% sequentially.

Nokia estimated its device market share to be 39%, up from 36% in the first quarter 2007 and down from 40% in the fourth quarter 2007.

Nokia expects industry mobile device volumes in the second quarter 2008 to be up slightly sequentially, similar to the market growth in the second quarter 2007, compared to the first quarter 2007. Nokia's own mobile device market share in the second quarter 2008 is expected to increase sequentially.

Nokia continues to expect industry mobile device volumes in 2008 to grow approximately 10% from the approximately 1.14bn units Nokia estimates for 2007.

Nokia, headquartered in Espoo in Finland, is a global mobile phone and network equipment manufacturer. It has some 65,324 employees worldwide. Nokia is listed on the Helsinki, Stockholm, Frankfurt and New York stock exchanges.

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