What a Bummer! Nokia Takes a 19% Hit in Q1 Sales

12 138

Nokia's net sales drop by 19% in Q1

Finland's telecommunications company, Nokia, reported a 19-percent drop in net sales in the first quarter (Q1) of this year, according to the Nokia Corporation Interim Report for Q1 published on Thursday, reported Xinhua.

From January to March, the company's net sales decreased from 5.86 billion euros to 4.67 billion euro compared to the same period of the last year.

Nokia's president and CEO, Pekka Lundmark, attributed the company's net sales drop to the ongoing market weakness.

However, in the financial report, Lundmark noted that despite the challenging market environment, order trends are improving, giving him confidence in a stronger second half to achieve the full-year outlook.

Despite declining sales, Nokia's operating profit increased by 25 percent year-on-year to 597 million euros, primarily due to its non-recurring patent income, compared to 479 million euros for the same period last year.

Nokia claimed that its full-year outlook remains unchanged. The company expects its comparable operating profit for this year to be between 2.3 billion euros and 2.9 billion euros, and free cash flow conversion from a comparable operating profit between 30 percent and 60 percent.

Source: www.dailyfinland.fi

12 Comments
  1. EmilyWrites says

    It’s concerning to see Nokia’s net sales drop by 19% in Q1, reflecting the tough market conditions. However, it’s positive to note the increase in operating profit. Let’s hope for a stronger second half as mentioned by Lundmark.

  2. EmilyJohnson23 says

    It’s concerning to see Nokia’s net sales drop significantly. What strategies is the company planning to implement to overcome the market weakness?

    1. MikeDavis87 says

      EmilyJohnson23, Nokia’s CEO mentioned in the report that despite the market weakness, they are seeing improvements in order trends which gives them confidence for a stronger second half. Additionally, the company’s operating profit has increased by 25% year-on-year. It seems Nokia is focusing on optimizing its operations and leveraging non-recurring patent income to navigate through the challenging market environment.

  3. EmilySmith82 says

    It’s concerning to see Nokia’s net sales drop by 19% in Q1. Hopefully, with improving order trends, they can have a stronger second half and meet their full-year outlook. The increase in operating profit is a positive sign, but the market weakness is still a worry.

  4. Emily1987 says

    How will this drop in net sales impact Nokia’s future investments and technological developments?

    1. JohnSmith1990 says

      In response to Emily1987’s question, the drop in net sales could potentially affect Nokia’s future investments and technological developments. When a company experiences a decrease in sales, it may lead to budget cuts in research and development, impacting the innovation and progress of new technologies. However, Nokia’s president remains optimistic about the order trends improving, which could indicate a stronger second half of the year and potentially mitigate the impact on investments and developments.

  5. Emily_Smith says

    It’s disappointing to see Nokia struggling with a 19% decrease in sales. Hopefully, as order trends improve, the company can bounce back in the second half of the year. Let’s see if the full-year outlook remains unchanged as they aim for stronger results.

  6. Leah88 says

    It’s disappointing to see Nokia’s Q1 sales taking a hit, but it’s good to hear that order trends are showing improvement. Let’s hope for a stronger second half for the company to meet its full-year outlook.

  7. EmilyJohnson says

    It’s disappointing to see Nokia taking such a hit in Q1 sales. Hopefully, their order trends continue to improve for a stronger second half and to achieve their full-year outlook.

  8. EmilySmith says

    How will Nokia navigate through the market weaknesses to achieve a stronger second half as mentioned by Lundmark?

    1. ChrisJohnson says

      Nokia’s strategy to navigate through market weaknesses and achieve a stronger second half will likely involve optimizing operational efficiency, focusing on key markets with growth potential, and leveraging their innovative technologies to meet evolving consumer demands.

  9. EmmaSmith92 says

    It’s disheartening to see Nokia’s sales take such a significant hit. Let’s hope their order trends continue to improve as indicated by Lundmark, leading to a stronger second half of the year.

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