Bangkok--24 Apr--Ogilvy Public Relations Worldwide
- Nokia quarterly device volumes reached 75.1 million units, up 40% against the same period 2005, while industry quarterly device volumes increase 27% year on year
Nokia strengthened its global leadership with 35% market share in the first quarter 2006 thanks to its strong product portfolio strategy.
Mr. Jorma Ollila, Chairman and Chief Executive Officer, Nokia, said, “Nokia had an excellent quarter, with very strong year on year volume, net sales and EPS growth. A robust market coupled with our strong product portfolio and excellent execution produced outstanding results in a seasonally challenging first quarter. And our device market share of 35% in the first quarter - an increase of three percentage points year on year - further reinforces our number one position globally.
“Nokia continues to benefit from a diversifying product offering in terms of form and function, led by a greater variety of devices in our mid-range offering. I am also delighted that our strategy to target new mobile communications market segments is working well, as evidenced by the success of the Nokia N70 multimedia device: the highest revenue generator for Nokia this quarter and the world's number one selling WCDMA device."
Mr. Olli-Pekka Kallasvuo, President and COO, said, “The global device market is set for another year of good growth, with the market volume expected to increase 15% or more. This year we anticipate approximately 70% of industry volume growth to come from the emerging markets. We intend to maintain our leadership in these fastest growing markets, where being competitive in the lower priced entry level products is critical to Nokia's future success. Our infrastructure business is also extremely important to our overall growth strategy, and we're very pleased with the sales developments we see from this business group."
Nokia's first quarter 2006 net sales was EUR 9.5 billion or Bt446.5 billion*, up 29% year on year. Its operating profit grew 22% to EUR 1.4 billion or Bt65.8 billion.
Mobile Phones: First quarter 2006 net sales grew 30% year on year to EUR 5.9 billion or Bt27.3 billion, driven by strong industry volumes and our competitive product portfolio. Net sales increased in all regions year on year. Growth was strongest in North America, where our net sales more than doubled.
Multimedia: First quarter 2006 net sales increased 55% year on year to EUR 1.8 billion or Bt84.6 billion. Net sales increased year on year in all regions. Growth was strongest in China, where Nokia’s net sales more than doubled, followed by Asia-Pacific, Europe, and Middle East & Africa, particularly driven by sales of the recently launched Nokia N70 multimedia computer. Multimedia first quarter operating profit grew 108%.
Note: exchange rate: EUR 1 = Bt47
Networks: First quarter 2006 net sales increased 19% year on year to EUR 1.7 billion or Bt79.9 billion. Net sales increased in North America, followed by Middle East & Africa, Asia-Pacific, Latin America and China.
About Nokia
A market leader in the cellular industry in Asia Pacific, Nokia provides innovative, industry leading and market-relevant technology and products to around 20 diverse markets in the region.
Nokia is a world leader in mobile communications, driving the growth and sustainability of the broader mobility industry. Nokia connects people to each other and the information that matters to them with easy-to-use and innovative products like mobile phones, devices and solutions for imaging, games, media and businesses. Nokia provides equipment, solutions and services for network operators and corporations.
You may visit the Nokia Asia-Pacific website at http://www.nokia-asia.com or the Nokia Group website at http://www.nokia.com
For further information
Jiraporn Boonnark
Nokia (Thailand) Ltd. Tel. 0 2673 8888
Waralee Bunnag / Dujduan Hetrakul
Ogilvy Public Relations Worldwide Ltd. Tel. 0 2205 6627, 0 2205 6684