Shulou(Shulou.com)11/24 Report--

CTOnews.com April 20, Nokia today released its financial results for the first quarter of 2023, with adjusted operating profit of 479 million euros (CTOnews.com Note: currently about 3.616 billion yuan) and estimated 544.4 million euros; adjusted earnings per share of 0.06 euros and estimated 0.07 euros.

The highlights of CTOnews.com are as follows:

At fixed exchange rates, net sales rose 9% year-on-year (10% reported).

At a fixed exchange rate, net sales increased by 62% year-on-year (65% reported).

Comparable gross margin fell 300 basis points year-on-year to 37.7% (reported to be-310 basis points to 37.5%), due to the low contribution of regional mix and Nokia technology, in part due to licensing options exercised in the fourth quarter of 2022.

Due to the above factors affecting gross profit margin and significant fluctuations in the contribution of venture funds, comparable operating profit margin fell 270 basis points to 8.2 per cent year-on-year, but was partly offset by strict cost control.

The reported operating margin rose 70 basis points year-on-year to 7.3 per cent. In addition to the above factors, profit margins have increased compared with this year's partial reversal and divestment-related gains from the reserves recognized last year.

Comparable diluted earnings per share was EUR 0.06; reported diluted earnings per share was EUR 0.05.

The free cash flow is negative 100 million euros and the net cash balance is 4.3 billion euros.

The outlook for 2023 remains unchanged (at fixed exchange rates). Full-year net sales, based on the March 31, 2023 exchange rate, are expected to be 24.6 billion to 26.2 billion euros. Comparable operating margin guidelines are still 11.5% to 14.0%.

From the point of view of each business unit:

Net sales of the network infrastructure business maintained a fixed growth of 13%. With the increase in 5G deployment in India, net sales of mobile networks increased by 13 per cent, enough to offset the slowdown in spending in North America.

Cloud and web services achieved 3% growth in net sales at a fixed exchange rate, but profitability was affected by the product mix.

Nokia technology's net sales fell 22% in the quarter, mainly due to the fact that long-term licenses no longer contribute after exercising options in the fourth quarter of 2022.

Net sales of the enterprise business increased by 62% at fixed exchange rates and are expected to achieve strong double-digit growth for the whole year.

Welcome to subscribe "Shulou Technology Information " to get latest news, interesting things and hot topics in the IT industry, and controls the hottest and latest Internet news, technology news and IT industry trends.