Espoo, Finland - Nokia today provided recast comparative segment
financial information and additional financial disclosures on a
quarterly and annual basis for 2018, reflecting the previously
announced organizational changes to accelerate its strategy
execution.
Nokia will publish its first-quarter 2019 interim report on
April 25, 2019 at approximately 8 a.m. Finnish time (CET+1) in
accordance with its new reporting
structure. Analyst and media call details are
provided below.
Changes in reporting structure, effective from January
1, 2019
Nokia announced organizational changes to accelerate its
strategy execution on October 25, November 22 and December 31,
2018. Accordingly, Nokia has revised its financial reporting
structure to better reflect its strategy, organizational structure
and the way it evaluates operational performance and allocates
resources.
As of January 1, 2019, Nokia has three reportable segments: (i)
Networks, (ii) Nokia Software and (iii) Nokia Technologies. In
addition, Nokia also discloses segment-level data for Group Common
and Other.
Within the new Networks reportable segment, Nokia is providing
net sales disclosure for the following businesses: (i) Mobile
Access, (ii) Fixed Access, (iii) IP Routing and (iv) Optical
Networks.
Certain reclassifications have been made in order to reflect the
new organizational structure of the company, the most significant
of which are: (i) activities related to our cloud core offering
have been reclassified from the former Mobile Networks business
group and former Global Services reportable segment to the new
Nokia Software reportable segment and (ii) activities related to
the former Mobile Networks business group and former Global
Services reportable segment that are not reclassified to the new
Nokia Software reportable segment are now reported together under
the new Mobile Access business.
Nokia is also providing separate net sales disclosure for its
different customer types: (i) Communication Service Providers, (ii)
Enterprises and (iii) Licensees.
Additionally, Nokia is providing adjusted financial disclosure
for its Networks and Nokia Software reportable segments, with
amounts related to licensing and Nokia Bell Labs allocated 85% to
Networks and 15% to Nokia Software, in accordance with their
approximate value contribution.
Recast comparative segment financial information for
2018
To provide a basis for comparison, the following tables present
a recasting of Nokia's segment financial information on an
unaudited basis for all four quarters of 2018 separately, as well
as for the full year 2018.
The tables are also available in Excel format
at http://nokia.com/financials.
|
Q1- Q4'18 (unau- dited) |
Networks1 |
Nokia Soft- ware |
Nokia Techn- ologies |
Gro- up Common and Other |
Eli- mi- nations |
Non-IF- RS total |
Non-IF- RS exc- lusions2 |
Nokia To- tal |
|
EUR million |
|
Net sales |
17 404 |
|
2 713 |
|
1 501 |
|
1 024 |
|
(63 |
) |
22 580 |
|
(17 |
) |
22 563 |
|
|
Cost of sales |
(11 369 |
) |
(1 346 |
) |
(22 |
) |
(870 |
) |
63 |
|
(13 545 |
) |
(572 |
) |
(14 117 |
) |
|
Gross profit |
6 035 |
|
1 367 |
|
1 479 |
|
154 |
|
0 |
|
9 035 |
|
(5 90 |
) |
8 446 |
|
|
% of net sales |
34.7 |
% |
50.4 |
% |
98.5 |
% |
15.0 |
% |
|
40.0 |
% |
|
37.4 |
% |
|
Research and deve- lopment expenses |
(3091 |
) |
(486 |
) |
(145 |
) |
(293 |
) |
0 |
|
(4 014 |
) |
(606 |
) |
(4 620 |
) |
|
Sell- ing, gene- ral and admini- strative expe- nses |
(2140 |
) |
(429 |
) |
(127 |
) |
(201 |
) |
0 |
|
(2 896 |
) |
(567 |
) |
(3 463 |
) |
|
Other income and expenses |
(31 |
) |
(3 |
) |
(5 |
) |
93 |
|
0 |
|
55 |
|
(477 |
) |
(422 |
) |
|
Ope- rating profit/ (loss) |
773 |
|
450 |
|
1 203 |
|
(246 |
) |
0 |
|
2 180 |
|
(2 239 |
) |
(59 |
) |
|
% of net sales |
4.4 |
% |
16.6 |
% |
80.1 |
% |
(24.0 |
)% |
|
9.7 |
% |
|
(0.3 |
)% |
|
Depre- ciation and amor- tization |
(384 |
) |
(65 |
) |
(21 |
) |
(46 |
) |
0 |
|
(515 |
) |
(940 |
) |
(1 455 |
) |
|
Share of results of asso- ciated compa- nies and joint
ventures |
12 |
|
0 |
|
0 |
|
0 |
|
0 |
|
12 |
|
0 |
|
12 |
|
|
EBI- TDA |
1169 |
|
515 |
|
1224 |
|
(200 |
) |
0 |
|
2 708 |
|
(1 300 |
) |
1408 |
|
|
1 |
Mobile Access net sales of EUR 11 273 million, Fixed
Access net sales of EUR 1 980 million, IP Routing net sales of EUR
2 545 million and Optical Networks net sales of EUR 1 606
million. |
|
2 |
Non-IFRS results exclude costs related to the
Alcatel-Lucent transaction and related integration, goodwill
impairment charges, intangible asset amortization and purchase
price related items, restructuring and associated charges, and
certain other items that may not be indicative of Nokia's
underlying business performance. |
|
Q1'18 (unau- dited) |
Networks1 |
Nokia Soft-ware |
Nokia Techn-ologies |
Gro- up Common and Other |
Eli- mi- nations |
Non-IF- RS total |
Non- IF- RS exc- lusions2 |
Nokia To- tal |
|
EUR million |
|
Net sales |
3 783 |
|
541 |
|
365 |
|
252 |
|
(12 |
) |
4 929 |
|
(5 |
) |
4 924 |
|
|
Cost of sales |
(2466 |
) |
(308 |
) |
(10 |
) |
(216 |
) |
12 |
|
(2 988 |
) |
(131 |
) |
(3 119 |
) |
|
Gross profit |
1 317 |
|
233 |
|
355 |
|
36 |
|
0 |
|
1 941 |
|
(135 |
) |
1 805 |
|
|
% of net sales |
34.8 |
% |
43.1 |
% |
97.3 |
% |
14.3 |
% |
|
39.4 |
% |
|
36.7 |
% |
|
Research and deve- lopment expenses |
(766 |
) |
(128 |
) |
(43 |
) |
(74 |
) |
0 |
|
(1 011 |
) |
(156 |
) |
(1 167 |
) |
|
Sell- ing, gene- ral and Admi- nistrative expe- nses |
(532 |
) |
(111 |
) |
(39 |
) |
(52 |
) |
0 |
|
(732 |
) |
(116 |
) |
(847 |
) |
|
Other income and expenses |
27 |
|
8 |
|
0 |
|
7 |
|
0 |
|
41 |
|
(168 |
) |
(127 |
) |
|
Ope- rating profit/ (loss) |
46 |
|
1 |
|
274 |
|
(83 |
) |
0 |
|
239 |
|
(575 |
) |
(336 |
) |
|
% of net sales |
1.2 |
% |
0.2 |
% |
75.1 |
% |
(32.9 |
)% |
|
4.8 |
% |
|
(6.8 |
)% |
|
Depre- ciation and amor- tization |
(96 |
) |
(17 |
) |
(5 |
) |
(12 |
) |
0 |
|
(130 |
) |
(242 |
) |
(372 |
) |
|
Share of results of ass- ociated compa- nies and joint
ventures |
(4 |
) |
0 |
|
1 |
|
0 |
|
0 |
|
(4 |
) |
0 |
|
(4 |
) |
|
EBI- TDA |
137 |
|
19 |
|
279 |
|
(71 |
) |
0 |
|
365 |
|
(333 |
) |
32 |
|
|
1 |
Mobile Access net sales of EUR 2 426 million, Fixed
Access net sales of EUR 445 million, IP Routing net sales of EUR
550 million and Optical Networks net sales of EUR 363 million. |
|
2 |
Non-IFRS results exclude costs related to the
Alcatel-Lucent transaction and related integration, goodwill
impairment charges, intangible asset amortization and purchase
price related items, restructuring and associated charges, and
certain other items that may not be indicative of Nokia's
underlying business performance. |
|
Q2'18 (unau- dited) |
Networks1 |
Nokia Soft-ware |
Nokia Techn-ologies |
Gro- up Common and Other |
Eli- mi- nations |
Non-IF- RS total |
Non- IF- RS exclusions2 |
Nokia To- tal |
|
EUR million |
|
Net sales |
4 081 |
|
612 |
|
361 |
|
280 |
|
(15 |
) |
5 318 |
|
(5 |
) |
5 313 |
|
|
Cost of sales |
(2731 |
) |
(330 |
) |
(7 |
) |
(228 |
) |
15 |
|
(3 279 |
) |
(173 |
) |
(3 453 |
) |
|
Gross profit |
1350 |
|
282 |
|
354 |
|
52 |
|
0 |
|
2038 |
|
(178 |
) |
1860 |
|
|
% of net sales |
33.1 |
% |
46.1 |
% |
98.1 |
% |
18.6 |
% |
|
38.3 |
% |
|
35.0 |
% |
|
Research and deve- lopment expenses |
(784 |
) |
(123 |
) |
(36 |
) |
(73 |
) |
0 |
|
(1 016 |
) |
(149 |
) |
(1 165 |
) |
|
Sell- ing, gene- ral and adm- nistrative expe- nses |
(516 |
) |
(104 |
) |
(25 |
) |
(50 |
) |
0 |
|
(695 |
) |
(117 |
) |
(813 |
) |
|
Other income and expenses |
(16 |
) |
(14 |
) |
(1 |
) |
38 |
|
0 |
|
7 |
|
(110 |
) |
(103 |
) |
|
Ope- rating profit/ (loss) |
34 |
|
40 |
|
292 |
|
(33 |
) |
0 |
|
334 |
|
(555 |
) |
(221 |
) |
|
% of net sales |
0.8 |
% |
6.5 |
% |
80.9 |
% |
(11.8) |
% |
|
6.3 |
% |
|
(4.2 |
)% |
|
Depre- ciation and amor- tization |
(96 |
) |
(19 |
) |
(5 |
) |
(8 |
) |
0 |
|
(128 |
) |
(232 |
) |
(360 |
) |
|
Share of results of ass- ociated compa- nies and joint
ventures |
(3 |
) |
0 |
|
0 |
|
0 |
|
0 |
|
(4 |
) |
0 |
|
(4 |
) |
|
EBI- TDA |
127 |
|
59 |
|
297 |
|
(24 |
) |
0 |
|
458 |
|
(323 |
) |
135 |
|
|
1 |
Mobile Access net sales of EUR 2 634 million, Fixed
Access net sales of EUR 490 million, IP Routing net sales of EUR
592 million and Optical Networks net sales of EUR 365 million. |
|
2 |
Non-IFRS results exclude costs related to the
Alcatel-Lucent transaction and related integration, goodwill
impairment charges, intangible asset amortization and purchase
price related items, restructuring and associated charges, and
certain other items that may not be indicative of Nokia's
underlying business performance. |
|
Q3'18 (unau- dited) |
Net-works1 |
Nokia Soft-ware |
Nokia Techn-ologies |
Gro- up Common and Other |
Eli- mi- nations |
Non-IF- RS total |
Non- IF- RS exclu- sions2 |
Nokia To- tal |
|
EUR million |
|
Net sales |
4 265 |
|
623 |
|
351 |
|
236 |
|
(14 |
) |
5 461 |
|
(4 |
) |
5 458 |
|
|
Cost of sales |
(2811 |
) |
(322 |
) |
(2 |
) |
(200 |
) |
14 |
|
(3 320 |
) |
(118 |
) |
(3439 |
) |
|
Gross profit |
1454 |
|
301 |
|
350 |
|
36 |
|
0 |
|
2141 |
|
(122 |
) |
2019 |
|
|
% of net sales |
34.1 |
% |
48.3 |
% |
99.7 |
% |
15.3 |
% |
|
39.2 |
% |
|
37.0 |
% |
|
Research and deve- lopment expenses |
(755 |
) |
(117 |
) |
(28 |
) |
(71 |
) |
0 |
|
(971 |
) |
(152 |
) |
(1 123 |
) |
|
Sell- ing, gene- ral and adm- inistr- ative expe- nses |
(518 |
) |
(110 |
) |
(30 |
) |
(52 |
) |
0 |
|
(710 |
) |
(160 |
) |
(870 |
) |
|
Other income and expenses |
(2 |
) |
0 |
|
(1 |
) |
32 |
|
0 |
|
28 |
|
(108 |
) |
(80 |
) |
|
Ope- rating profit/ (loss) |
178 |
|
75 |
|
290 |
|
(56 |
) |
0 |
|
487 |
|
(541 |
) |
(54 |
) |
|
% of net sales |
4.2 |
% |
12.0 |
% |
82.6 |
% |
(23.7) |
% |
|
8.9 |
% |
|
(1.0) |
% |
|
Depre- ciation and amo- rtization |
(92 |
) |
(14 |
) |
(5 |
) |
(13 |
) |
0 |
|
(124 |
) |
(232 |
) |
(356 |
) |
|
Share of results of ass- ociated compa- nies and joint ven-
tures |
2 |
|
0 |
|
0 |
|
0 |
|
0 |
|
2 |
|
0 |
|
2 |
|
|
EBI- TDA |
272 |
|
88 |
|
295 |
|
(43 |
) |
0 |
|
613 |
|
(309 |
) |
304 |
|
|
1 |
Mobile Access net sales of EUR 2 741 million, Fixed
Access net sales of EUR 503 million, IP Routing net sales of EUR
610 million and Optical Networks net sales of EUR 412 million. |
|
2 |
Non-IFRS results exclude costs related to the
Alcatel-Lucent transaction and related integration, goodwill
impairment charges, intangible asset amortization and purchase
price related items, restructuring and associated charges, and
certain other items that may not be indicative of Nokia's
underlying business performance. |
|
Q4'18 (unau- dited) |
Networks1 |
Nokia Soft-ware |
Nokia Techn-ologies |
Gro- up Common and Other |
Eli- mi- nations |
Non-IF- RS total |
Non- IF- RS exclusions2 |
Nokia To- tal |
|
EUR million |
|
Net sales |
5 276 |
|
938 |
|
423 |
|
257 |
|
(21 |
) |
6 872 |
|
(3 |
) |
6 869 |
|
|
Cost of sales |
(3362 |
) |
(386 |
) |
(3 |
) |
(228 |
) |
21 |
|
(3 957 |
) |
(151 |
) |
(4 108 |
) |
|
Gross profit |
1914 |
|
552 |
|
420 |
|
29 |
|
0 |
|
2915 |
|
(154 |
) |
2761 |
|
|
% of net sales |
36.3 |
% |
58.8 |
% |
99.3 |
% |
11.3 |
% |
|
42.4 |
% |
|
40.2 |
% |
|
Research and deve- lopment expe- nses |
(786 |
) |
(117 |
) |
(38 |
) |
(75 |
) |
0 |
|
(1 016 |
) |
(149 |
) |
(1 165 |
) |
|
Sell- ing, gene- ral and adm- inistrative expe- nses |
(575 |
) |
(105 |
) |
(32 |
) |
(46 |
) |
0 |
|
(758 |
) |
(174 |
) |
(933 |
) |
|
Other income and expenses |
(39 |
) |
3 |
|
(3 |
) |
17 |
|
0 |
|
(21 |
) |
(90 |
) |
(111 |
) |
|
Ope- rating profit/ (loss) |
515 |
|
333 |
|
347 |
|
(74 |
) |
0 |
|
1 120 |
|
(568 |
) |
552 |
|
|
% of net sales |
9.8 |
% |
35.5 |
% |
82.0 |
% |
(28.8) |
% |
|
16.3 |
% |
|
8.0 |
% |
|
Depre- ciation and amor- tization |
(100 |
) |
(16 |
) |
(6 |
) |
(12 |
) |
0 |
|
(133 |
) |
(234 |
) |
(367 |
) |
|
Share of results of ass- ociated compa- nies and joint
ventures |
18 |
|
0 |
|
0 |
|
0 |
|
0 |
|
18 |
|
0 |
|
18 |
|
|
EBI- TDA |
633 |
|
349 |
|
353 |
|
(62 |
) |
0 |
|
1272 |
|
(335 |
) |
937 |
|
|
1 |
Mobile Access net sales of EUR 3 472 million, Fixed
Access net sales of EUR 542 million, IP Routing net sales of EUR
794 million and Optical Networks net sales of EUR 467 million. |
|
2 |
Non-IFRS results exclude costs related to the
Alcatel-Lucent transaction and related integration, goodwill
impairment charges, intangible asset amortization and purchase
price related items, restructuring and associated charges, and
certain other items that may not be indicative of Nokia's
underlying business performance. |
Additional new disclosures
The following table presents net sales disclosure for our
different customer types.
|
EUR million (unaudited) |
Q1'18 |
Q2'18 |
Q3'18 |
Q4'18 |
Q1-Q4'2018 |
|
Communication service providers |
4 080 |
4 398 |
4 632 |
5 845 |
18 955 |
|
Enterprise |
244 |
295 |
256 |
371 |
1 167 |
|
Licensees |
349 |
352 |
351 |
423 |
1 476 |
|
Other1 |
251 |
268 |
219 |
230 |
965 |
|
Total |
4 924 |
5 313 |
5 458 |
6 869 |
22 563 |
|
|
|
|
|
|
|
| 1Includes net sales of Alcatel-Lucent Submarine
Networks (ASN) and Radio Frequency Systems (RFS), both of which are
being managed as separate entities, and certain other items, such
as net sales of Digital Health business, eliminations of
inter-segment revenues as well as certain items related to purchase
price allocation. ASN and RFS net sales include also revenue from
communications service providers and enterprise customers. |
The following tables provide adjusted financial disclosure for
our Networks and Nokia Software reportable segments, with amounts
related to licensing and Nokia Bell Labs allocated 85% to Networks
and 15% to Nokia Software.
|
Q1-Q4'18 (unaudited) |
Before allocations |
|
Allocations |
|
After allocations |
|
|
|
|
Licensing |
Nokia Bell Labs |
|
|
|
Net sales (EUR million) |
|
|
|
|
|
|
|
Networks |
17 404 |
|
|
1 255 |
|
6 |
|
|
18 665 |
|
|
Nokia Software |
2 713 |
|
|
221 |
|
1 |
|
|
2 935 |
|
|
Nokia Technologies |
1 501 |
|
|
(1 476 |
) |
|
|
25 |
|
|
Group Common and Other |
1 024 |
|
|
|
(7 |
) |
|
1 017 |
|
|
Eliminations |
(63 |
) |
|
|
|
|
(63 |
) |
|
Non-IFRS total |
22 580 |
|
|
0 |
|
0 |
|
|
22 580 |
|
|
|
|
|
|
|
|
|
|
Operating Profit (EUR million) |
|
|
|
|
|
|
|
Networks |
773 |
|
|
1 046 |
|
(162 |
) |
|
1 657 |
|
|
Nokia Software |
450 |
|
|
185 |
|
(29 |
) |
|
606 |
|
|
Nokia Technologies |
1 203 |
|
|
(1 231 |
) |
|
|
(28 |
) |
|
Group Common and Other |
(246 |
) |
|
|
191 |
|
|
(55 |
) |
|
Non-IFRS total |
2 180 |
|
|
0 |
|
0 |
|
|
2 180 |
|
|
|
|
|
|
|
|
|
|
Operating Margin % |
|
|
|
|
|
|
|
Networks |
4.4 |
% |
|
|
|
|
8.9 |
% |
|
Nokia Software |
16.6 |
% |
|
|
|
|
20.6 |
% |
|
Nokia Technologies |
80.1 |
% |
|
|
|
|
|
|
Group Common and Other |
(24.0 |
)% |
|
|
|
|
(5.4 |
)% |
|
Non-IFRS total |
9.7 |
% |
|
|
|
|
9.7 |
% |
|
Q1'18 (unaudited) |
Before allocations |
|
Allocations |
|
After allocations |
|
|
|
|
Licensing |
Nokia Bell Labs |
|
|
|
Net sales (EUR million) |
|
|
|
|
|
|
|
Networks |
3 783 |
|
|
297 |
|
1 |
|
|
4 081 |
|
|
Nokia Software |
541 |
|
|
52 |
|
0 |
|
|
594 |
|
|
Nokia Technologies |
365 |
|
|
(349 |
) |
|
|
16 |
|
|
Group Common and Other |
252 |
|
|
|
(1 |
) |
|
251 |
|
|
Eliminations |
(12 |
) |
|
|
|
|
(12 |
) |
|
Non-IFRS total |
4 929 |
|
|
0 |
|
0 |
|
|
4 929 |
|
|
|
|
|
|
|
|
|
|
Operating Profit (EUR million) |
|
|
|
|
|
|
|
Networks |
46 |
|
|
252 |
|
(43 |
) |
|
255 |
|
|
Nokia Software |
1 |
|
|
45 |
|
(8 |
) |
|
38 |
|
|
Nokia Technologies |
274 |
|
|
(297 |
) |
|
|
(23 |
) |
|
Group Common and Other |
(83 |
) |
|
|
51 |
|
|
(32 |
) |
|
Non-IFRS total |
239 |
|
|
0 |
|
0 |
|
|
239 |
|
|
|
|
|
|
|
|
|
|
Operating Margin % |
|
|
|
|
|
|
|
Networks |
1.2 |
% |
|
|
|
|
6.2 |
% |
|
Nokia Software |
0.2 |
% |
|
|
|
|
6.4 |
% |
|
Nokia Technologies |
75.1 |
% |
|
|
|
|
|
|
Group Common and Other |
(32.9 |
)% |
|
|
|
|
(12.7 |
)% |
|
Non-IFRS total |
4.8 |
% |
|
|
|
|
4.8 |
% |
|
Q2'18 (unaudited) |
Before allocations |
|
Allocations |
|
After allocations |
|
|
|
|
Licensing |
Nokia Bell Labs |
|
|
|
Net sales (EUR million) |
|
|
|
|
|
|
|
Networks |
4 081 |
|
|
299 |
|
2 |
|
|
4 382 |
|
|
Nokia Software |
612 |
|
|
53 |
|
0 |
|
|
665 |
|
|
Nokia Technologies |
361 |
|
|
(352 |
) |
|
|
9 |
|
|
Group Common and Other |
280 |
|
|
|
(2 |
) |
|
278 |
|
|
Eliminations |
(15 |
) |
|
|
|
|
(15 |
) |
|
Non-IFRS total |
5 318 |
|
|
0 |
|
0 |
|
|
5 318 |
|
|
|
|
|
|
|
|
|
|
Operating Profit (EUR million) |
|
|
|
|
|
|
|
Networks |
34 |
|
|
252 |
|
(43 |
) |
|
244 |
|
|
Nokia Software |
40 |
|
|
45 |
|
(8 |
) |
|
77 |
|
|
Nokia Technologies |
292 |
|
|
(297 |
) |
|
|
(5 |
) |
|
Group Common and Other |
(33 |
) |
|
|
50 |
|
|
17 |
|
|
Non-IFRS total |
334 |
|
|
0 |
|
0 |
|
|
334 |
|
|
|
|
|
|
|
|
|
|
Operating Margin % |
|
|
|
|
|
|
|
Networks |
0.8 |
% |
|
|
|
|
5.6 |
% |
|
Nokia Software |
6.5 |
% |
|
|
|
|
11.6 |
% |
|
Nokia Technologies |
80.9 |
% |
|
|
|
|
|
|
Group Common and Other |
(11.8 |
)% |
|
|
|
|
6.1 |
% |
|
Non-IFRS total |
6.3 |
% |
|
|
|
|
6.3 |
% |
|
Q3'18 (unaudited) |
Before allocations |
|
Allocations |
|
After allocations |
|
|
|
|
Licensing |
Nokia Bell Labs |
|
|
|
Net sales (EUR million) |
|
|
|
|
|
|
|
Networks |
4 265 |
|
|
298 |
|
2 |
|
|
4 565 |
|
|
Nokia Software |
623 |
|
|
53 |
|
0 |
|
|
676 |
|
|
Nokia Technologies |
351 |
|
|
(351 |
) |
|
|
0 |
|
|
Group Common and Other |
236 |
|
|
|
(2 |
) |
|
234 |
|
|
Eliminations |
(14 |
) |
|
|
|
|
(14 |
) |
|
Non-IFRS total |
5 461 |
|
|
0 |
|
0 |
|
|
5 461 |
|
|
|
|
|
|
|
|
|
|
Operating Profit (EUR million) |
|
|
|
|
|
|
|
Networks |
178 |
|
|
247 |
|
(41 |
) |
|
384 |
|
|
Nokia Software |
75 |
|
|
44 |
|
(7 |
) |
|
111 |
|
|
Nokia Technologies |
290 |
|
|
(290 |
) |
|
|
0 |
|
|
Group Common and Other |
(56 |
) |
|
|
48 |
|
|
(8 |
) |
|
Non-IFRS total |
487 |
|
|
0 |
|
0 |
|
|
487 |
|
|
|
|
|
|
|
|
|
|
Operating Margin % |
|
|
|
|
|
|
|
Networks |
4.2 |
% |
|
|
|
|
8.4 |
% |
|
Nokia Software |
12.0 |
% |
|
|
|
|
16.4 |
% |
|
Nokia Technologies |
82.6 |
% |
|
|
|
|
|
|
Group Common and Other |
(23.7 |
)% |
|
|
|
|
(3.4 |
)% |
|
Non-IFRS total |
8.9 |
% |
|
|
|
|
8.9 |
% |
|
Q4'18 (unaudited) |
Before allocations |
|
Allocations |
|
After allocations |
|
|
|
|
Licensing |
Nokia Bell Labs |
|
|
|
Net sales (EUR million) |
|
|
|
|
|
|
|
Networks |
5 276 |
|
|
360 |
|
2 |
|
|
5 637 |
|
|
Nokia Software |
938 |
|
|
63 |
|
0 |
|
|
1 002 |
|
|
Nokia Technologies |
423 |
|
|
(423 |
) |
|
|
0 |
|
|
Group Common and Other |
257 |
|
|
|
(2 |
) |
|
255 |
|
|
Eliminations |
(21 |
) |
|
|
|
|
(21 |
) |
|
Non-IFRS total |
6 872 |
|
|
0 |
|
0 |
|
|
6 872 |
|
|
|
|
|
|
|
|
|
|
Operating Profit (EUR million) |
|
|
|
|
|
|
|
Networks |
515 |
|
|
295 |
|
(36 |
) |
|
774 |
|
|
Nokia Software |
333 |
|
|
52 |
|
(6 |
) |
|
379 |
|
|
Nokia Technologies |
347 |
|
|
(347 |
) |
|
|
0 |
|
|
Group Common and Other |
(74 |
) |
|
|
42 |
|
|
(32 |
) |
|
Non-IFRS total |
1 120 |
|
|
0 |
|
0 |
|
|
1 120 |
|
|
|
|
|
|
|
|
|
|
Operating Margin % |
|
|
|
|
|
|
|
Networks |
9.8 |
% |
|
|
|
|
13.7 |
% |
|
Nokia Software |
35.5 |
% |
|
|
|
|
37.8 |
% |
|
Nokia Technologies |
82.0 |
% |
|
|
|
|
|
|
Group Common and Other |
(28.8 |
)% |
|
|
|
|
(12.5 |
)% |
|
Non-IFRS total |
16.3 |
% |
|
|
|
|
16.3 |
% |
Nokia to publish first-quarter 2019 interim report on
April 25, 2019
Nokia will publish its first-quarter 2019 interim report on
April 25, 2019 at approximately 8 a.m. Finnish time (CET+1). The
interim report will be made available on the Nokia website
immediately after publication.
Nokia only publishes a summary of its financial reports in stock
exchange releases. The summary focuses on Nokia Group's financial
information as well as on Nokia's outlook.
The detailed segment-level discussion will be available in the
complete first-quarter 2019 interim report available
at http://nokia.com/financials. Investors should not solely
rely on summaries of Nokia's financial reports, but should also
review the complete reports with tables.
Nokia's analyst conference call will begin on April 25, 2019 at
3 p.m. Finnish time. A link to the webcast of the conference call
will be available at http://nokia.com/financials. Media
representatives can listen in via the link on that website, or
alternatively call +1 412 317 5210.
FORWARD-LOOKING STATEMENTS
It should be noted that Nokia and its businesses are exposed to
various risks and uncertainties and certain statements herein that
are not historical facts are forward-looking statements. These
forward-looking statements reflect Nokia's current expectations and
views of future developments and include statements regarding: A)
expectations, plans or benefits related to our strategies and
growth management; B) expectations, plans or benefits related to
future performance of our businesses and any expected future
dividends; C) expectations and targets regarding financial
performance, results, operating expenses, taxes, currency exchange
rates, hedging, cost savings and competitiveness, as well as
results of operations including targeted synergies and those
related to market share, prices, net sales, income and margins; D)
expectations, plans or benefits related to changes in
organizational and operational structure; E) expectations regarding
market developments, general economic conditions and structural
changes; F) our ability to integrate acquired businesses into our
operations and achieve the targeted business plans and benefits,
including targeted benefits, synergies, cost savings and
efficiencies; G) expectations, plans or benefits related to any
future collaboration or to business collaboration agreements or
patent license agreements or arbitration awards, including income
to be received under any collaboration or partnership, agreement or
award; H) timing of the deliveries of our products and services,
including our short term and longer term expectations around the
rollout of 5G and our ability to capitalize on such rollout; and
the overall readiness of the 5G ecosystem ; I) expectations and
targets regarding collaboration and partnering arrangements, joint
ventures or the creation of joint ventures, and the related
administrative, legal, regulatory and other conditions, as well as
our expected customer reach; J) outcome of pending and threatened
litigation, arbitration, disputes, regulatory proceedings or
investigations by authorities; K) expectations regarding
restructurings, investments, capital structure optimization
efforts, uses of proceeds from transactions, acquisitions and
divestments and our ability to achieve the financial and
operational targets set in connection with any such restructurings,
investments, capital structure optimization efforts, divestments
and acquisitions, including our 2019-2020 cost savings program; L)
expectations, plans or benefits related to future capital
expenditures, temporary incremental expenditures or other R&D
expenditures to develop or rollout new products, including 5G; and
M) statements preceded by or including "believe", "expect",
"expectations", "commit", "anticipate", "foresee", "see", "target",
"estimate", "designed", "aim", "plan", "intend", "influence",
"assumption", "focus", "continue", "project", "should", "is to",
"will" or similar expressions. These forward-looking statements are
subject to a number of risks and uncertainties, many of which are
beyond our control, which could cause actual results to differ
materially from such statements. These statements are based on
management's best assumptions and beliefs in light of the
information currently available to it. These forward-looking
statements are only predictions based upon our current expectations
and views of future events and developments and are subject to
risks and uncertainties that are difficult to predict because they
relate to events and depend on circumstances that will occur in the
future. Factors, including risks and uncertainties that could
cause these differences include, but are not limited to: 1) our
strategy is subject to various risks and uncertainties and we may
be unable to successfully implement our strategic plans, sustain or
improve the operational and financial performance of our business
groups, correctly identify or successfully pursue business
opportunities or otherwise grow our business; 2) general economic
and market conditions and other developments in the economies where
we operate, including the timeline for the deployment of 5G and our
ability to successfully capitalize on that deployment; 3)
competition and our ability to effectively and profitably invest in
new competitive high-quality products, services, upgrades and
technologies and bring them to market in a timely manner; 4) our
dependence on the development of the industries in which we
operate, including the cyclicality and variability of the
information technology and telecommunications industries and our
own R&D capabilities and investments; 5) our dependence on a
limited number of customers and large multi-year agreements; 6) our
ability to maintain our existing sources of intellectual
property-related revenue through our intellectual property,
including through licensing, establish new sources of revenue and
protect our intellectual property from infringement; 7) our ability
to manage and improve our financial and operating performance, cost
savings, competitiveness and synergies generally and our ability to
implement changes to our organizational and operational structure
efficiently; 8) our global business and exposure to regulatory,
political or other developments in various countries or regions,
including emerging markets and the associated risks in relation to
tax matters and exchange controls, among others; 9) our ability to
achieve the anticipated benefits, synergies, cost savings and
efficiencies of acquisitions, including the acquisition of
Alcatel-Lucent; 10) exchange rate fluctuations, as well as hedging
activities; 11) our ability to successfully realize the
expectations, plans or benefits related to any future collaboration
or business collaboration agreements and patent license agreements
or arbitration awards, including income to be received under any
collaboration, partnership, agreement or arbitration award; 12)
Nokia Technologies' ability to protect its IPR and to maintain and
establish new sources of patent, brand and technology licensing
income and IPR-related revenues, particularly in the smartphone
market, which may not materialize as planned, 13) our dependence on
IPR technologies, including those that we have developed and those
that are licensed to us, and the risk of associated IPR-related
legal claims, licensing costs and restrictions on use; 14) our
exposure to direct and indirect regulation, including economic or
trade policies, and the reliability of our governance, internal
controls and compliance processes to prevent regulatory penalties
in our business or in our joint ventures; 15) our reliance on
third-party solutions for data storage and service distribution,
which expose us to risks relating to security, regulation and
cybersecurity breaches; 16) inefficiencies, breaches, malfunctions
or disruptions of information technology systems; 17) our exposure
to various legal frameworks regulating corruption, fraud, trade
policies, and other risk areas, and the possibility of proceedings
or investigations that result in fines, penalties or sanctions; 18)
adverse developments with respect to customer financing or extended
payment terms we provide to customers; 19) the potential complex
tax issues, tax disputes and tax obligations we may face in various
jurisdictions, including the risk of obligations to pay additional
taxes; 20) our actual or anticipated performance, among other
factors, which could reduce our ability to utilize deferred tax
assets; 21) our ability to retain, motivate, develop and recruit
appropriately skilled employees; 22) disruptions to our
manufacturing, service creation, delivery, logistics and supply
chain processes, and the risks related to our
geographically-concentrated production sites; 23) the impact of
litigation, arbitration, agreement-related disputes or product
liability allegations associated with our business; 24) our ability
to re-establish investment grade rating or maintain our credit
ratings; 25) our ability to achieve targeted benefits from, or
successfully implement planned transactions, as well as the
liabilities related thereto; 26) our involvement in joint ventures
and jointly-managed companies; 27) the carrying amount of our
goodwill may not be recoverable; 28) uncertainty related to the
amount of dividends and equity return we are able to distribute to
shareholders for each financial period; 29) pension costs, employee
fund-related costs, and healthcare costs; 30) our ability to
successfully complete and capitalize on our order backlogs and
continue converting our sales pipeline into net sales; and 31)
risks related to undersea infrastructure, as well as the risk
factors specified on pages 60 to 75 of our 2018 annual report on
Form 20-F published on March 21, 2019 under "Operating and
financial review and prospects-Risk factors" and in our other
filings or documents furnished with the U.S. Securities and
Exchange Commission. Other unknown or unpredictable factors or
underlying assumptions subsequently proven to be incorrect could
cause actual results to differ materially from those in the
forward-looking statements. We do not undertake any obligation to
publicly update or revise forward-looking statements, whether as a
result of new information, future events or otherwise, except to
the extent legally required.
About Nokia
We create the technology to connect the world. We develop and
deliver the industry's only end-to-end portfolio of network
equipment, software, services and licensing that is available
globally. Our customers include communications service providers
whose combined networks support 6.1 billion subscriptions, as well
as enterprises in the private and public sector that use our
network portfolio to increase productivity and enrich lives.
Through our research teams, including the world-renowned Nokia
Bell Labs, we are leading the world to adopt end-to-end 5G networks
that are faster, more secure and capable of revolutionizing lives,
economies and societies. Nokia adheres to the highest ethical
business standards as we create technology with social purpose,
quality and integrity.
nokia.com
Media Enquiries
Nokia Communications Tel. +358 (0) 10 448 4900 Email:
press.services@nokia.com Jon Peet, Vice President, Corporate
Communications
Investor Enquiries:
Nokia Investor Relations Tel. +358 4080 3 4080 Email:
investor.relations@nokia.com
Nokia (NYSE:NOK)
Historical Stock Chart
From Mar 2024 to Apr 2024
Nokia (NYSE:NOK)
Historical Stock Chart
From Apr 2023 to Apr 2024
