Halister News

(Bloomberg) -- Nokia 1Q net sales EU5.4b, est. EU5.28b (range EU5.07b-EU5.48b)

• 1Q adj. operating profit EU341m, est. EU329.5m (range EU267m- EU440m)
• 1Q adj. gross margin 40.8%, est. 39.23%
• 1Q adj. EPS EU0.03, est. EU0.03 (range EU0.02-EU0.04)
• Networks unit 1Q operating margin 6.6%

OUTLOOK UNCHANGED:

• Forecasts Networks unit operating margin of 8% to 10% for 2017
  • Networks’ net sales still seen declining in line with the primary addressable market in 2017
• Nokia capital expenditure still seen at ~EU500m
• Still sees ~EU1.2b total annual cost savings to be achieved in 2018, excluding technologies

CEO COMMENTS:

• CEO Rajeev Suri says in statement:
• “1Q demonstrated improving business momentum, even if some challenges remain”
• “We slowed the rate of topline decline and generated healthy orders in what is typically a seasonally weak quarter for us”
• “We also continued to see expansion of cross-selling across our full portfolio, delivered excellent gross margins and improved group-level profitability”

DATA/RELATED:

• Earlier: Nokia 1Q Adj. Operating Profit Beats Est.
• Statement
• Call at 2pm CET, webcast

To contact the reporter on this story: Kati Pohjanpalo in Helsinki at kpohjanpalo@bloomberg.net To contact the editors responsible for this story: Tasneem Hanfi Brögger at tbrogger@bloomberg.net Ville Heiskanen