Nokia profits surge after patents deal with Apple and gain in market share
However, Nokia has warned that its network business could slow by more than expected in 2017
Helsinki — Network equipment maker Nokia reported a jump in profit on Thursday thanks to a patent deal with Apple and gains in market share, though it warned the network business could slow by more than expected in 2017. Nokia’s shares had risen 5.5% by 8.20am GMT after it posted second-quarter operating profit of €574m, up 73% from a year ago and well above analysts’ average forecast of €447m in a Reuters poll. "We are actually taking some share in the market … early signs look quite promising in terms of market share development," Nokia CEO Rajeev Suri said in a conference call. Telecom equipment suppliers have struggled in recent years amid weak demand from telecom companies, but Nokia said it had won markets thanks to its broader product portfolio following its 2016 acquisition of rival Alcatel-Lucent. Nokia’s profit growth is in stark contrast to loss-making Swedish rival Ericsson, which stunned investors by announcing $1.7bn in provisions, write-downs and restructuring costs i...
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