Bangkok--23 Apr--Aziam Burson-Marsteller
Profitability strong for the quarter, driven by a sequential increase in gross margin
Nokia, the world leader in mobile communications, today announced its business achievements for the first quarter of 2007. For the Nokia Group,
Q1 2007 net sales worldwide increased 4% to EUR 9.9 billion (438.3 billion baht). Nokia’s market share grew to 36%, up from 35% in the first quarter of last year.
“I'm encouraged by Nokia's first quarter 2007 performance. Our profitability was strong, with both gross and operating margins up sequentially, excluding special items. We also saw good year on year device volume growth that led to an increase in our market share, further solidifying our number one position in the industry,” said Olli-Pekka Kallasvuo, Nokia CEO.
The Nokia Multimedia business group achieved a record with EUR 2.3 billion (101.6 billion baht) net sales, up 28% year on year. Multimedia continues to lead in the convergence space, with close to eight million Nokia Nseries devices shipped during the quarter, including the ground-breaking Nokia N95 multimedia computer.
Nokia Enterprise Solutions net sales were up 75% year on year to EUR 326 million (14.4 billion baht). The Nokia Enterprise Solutions business group showed improved results, bolstered by sales of the new Nokia E65, and Nokia is targeting breakeven for Enterprise Solutions in the second quarter of 2007.
For the first quarter of 2007, estimated industry device volumes increased to 253 million units, up 18% year on year. Nokia device volumes were 91.1 million units, up 21% year on year.
According to Mr. Kallasvuo, “We are excited that Nokia Siemens Networks started operations on April 1, 2007. We believe that this new company will have the scale, portfolio and innovations to assume a leading position in the communications infrastructure market.”
Nokia expects industry mobile device volumes in the second quarter of 2007 to be slightly up sequentially. The company continues to expect industry mobile device volumes in 2007 to grow by up to 10% from the approximately 978 million units Nokia estimates for 2006.
About Nokia
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.
www.nokia.com
Media Enquiries:
Barakorn/Supaporn, Aziam Burson-Marsteller 02-252-9871
Jiraporn Boonnark, Nokia (Thailand) Ltd. 02-673-8949