Nokia’s Revenues and Profits Up

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Nokia has reported the results of a very successful quarter, with strong year-over-year increases in both profit and revenue.

During this quarter,  the phone giant took in approximately $20 billion (EUR 12.7 billion), up 28% over the same period of the previous year.

This led to $1.9 billion (EUR 1.2 billion) in profit, or 50 cents per share (EUR 0.32).

In the first quarter of 2008, the total number of phones shipped by Nokia’s Devices & Services group reached 115.5 million units, a 27% year-on-year growth. The overall industry volume for the same period reached an estimated 295 million units, a 17% year on year growth

"Nokia had strong profitability in the first quarter, with both operating profit and EPS up significantly year on year, said Olli-Pekka Kallasvuo, Nokia CEO. "The overall device market developed as expected, with the greatest demand in emerging markets, where our position is very strong."

Looking Forward

This company’s executives expects the number of mobile devices shipped by the entire industry  in the second quarter of 2008 to increase slightly over the number shipped in the first quarter, similar to the market growth in the second quarter 2007, compared to the first quarter 2007.

They also expect Nokia’s mobile device market share in this quarter to increase sequentially. Based on a preliminary market estimate, Nokia’s market share for the first quarter 2008 was 39%, compared with 36% in the first quarter of 2007. Still, it was a bit higher in the fourth quarter of 2007: 40% .

"The competitiveness of our product portfolio is reflected in our market share and we target market share gains in the second quarter, " said Kallasvuo. "While we will not have major new products shipping in the second quarter, we expect a number of new products to be shipping, and to have a positive impact on our results, in the second half of 2008."

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