Nokia in July September: Success in Networks and Smooth Product Transitions in Phones Resulted in a Strong Quarter For Nokia
Nokia's third quarter 2000 results show strong net sales growth and profits. Net sales totaled EUR 7 575 million, an increase of 50% compared to the third quarter a year ago.
Operating profit increased by 39% to EUR 1 322 million resulting in an operating margin of 17.5%.
Jorma Ollila, Nokia Chairman and CEO, said: "Thanks to the continued healthy market growth and our outstanding execution during the third quarter, we were able to deliver very strong results.
Nokia Networks successfully continued its leadership in new network technologies,and Nokia Mobile Phones made smooth and fast product transitions. Both contributed importantly to a quarter with which I am extremely pleased."
"Nokia is in better shape than ever to lead the market and technology development ahead. We continue to build on existing strengths - our unmatched leadership in technology, design and brand - making Nokia the world's leading company in mobile communications. By adding elements of mobility to the Internet we see a great possibility to further enrich people's daily lives and the efficiency of companies."
"We believe we have gained market share both in new infrastructure technologies and especially in handsets.
Our view of the market development fundamentals remains unchanged, with more than 400 million mobile phones estimated to be sold in 2000, leading to an estimated 1
billion users in total during 2002
For 2001 we expect the mobile phone market to be in the region of 550 million units."
"We have entered the fourth quarter in a very strong position with a solid order inflow in Nokia Networks as well as the leading product portfolio in phones.
In terms of EPS, we believe we are heading towards a record-breaking level in the fourth quarter of 2000. For 2001 we reiterate our sales growth target of 25-35% and continued high profitability," said Ollila
-0- *T EUR Million 3Q/2000 3Q/1999 Change, %
Oct. 19, 2000-- Net sales 7 575 5 037 50
Nokia Networks 1 926 1 435 34
Nokia Mobile Phones 5 456 3 437 59
Nokia Ventures Organization 209 58 260
Operating profit 1 322 951 39
Nokia Networks 349 248 41
Nokia Mobile Phones 1 068 753 42
Nokia Ventures Organization - 82 - 38
Common Group Expenses - 13 - 12
Profit before tax
and minority interests 1 335 937 42
Net profit 892 638 40 EPS, EUR
Basic 0.19 0.14 36
Diluted 0.19 0.13 46
EUR Million 1Q-3Q/2000 1Q-3Q/1999 1999
Net sales 21 092 13 400 19 772
Nokia Networks 5 353 3 933 5 673
Nokia Mobile Phones 15 178 8 936 13 182
Nokia Ventures Organization 613 189 415
Operating profit 4 050 2 600 3 908
Nokia Networks 970 748 1 082
Nokia Mobile Phones 3 450 2 040 3 099
Nokia Ventures Organization - 260 - 91 - 175
Common Group Expenses - 110 - 97 - 98
Profit before tax
and minority interests 4 092 2 572 3 845
Net profit 2 734 1 724 2 577 EPS, EUR
Basic 0.59 0.38 0.56
Diluted 0.57 0.36 0.54
Currency rate September 30, 2000, 1 EUR = 0.852 USD, 1 EUR =
5.94573 FIM |
