Nokia Shrugs Off Chip Problems to Double Profit in Q3 2021


Finnish telecoms tools maker Nokia mentioned Thursday that it was ready to double its income in the third quarter of the present yr, regardless of the worldwide scarcity of pc chips.

Nokia mentioned in a press release its bottom-line internet revenue rose by 77 p.c to EUR 342 million (roughly Rs. 2,700 crore) in the interval from July to September.

“The uncertainty around the global semiconductor market limits our visibility into Q4 and 2022,” mentioned chief govt, Pekka Lundmark.

“We are working closely not only with our suppliers to ensure component availability, but also with our customers.”

Posting a 2 p.c year-on-year internet gross sales improve to EUR 5.4 billion (roughly Rs. 46,900 crore), the Finnish group reiterated its full yr steering — which it elevated in June to a comparable working margin of 10-12 p.c — and mentioned it now expects to end the yr “towards the upper end” of that bracket.

CEO Lundmark has been credited with turning across the fortunes of the networks big, which has been flagging in the race with Sweden’s Ericsson and China’s Huawei to dominate the 5G tools market.

After taking the helm in mid-2020 Lundmark carried out widespread job cuts, with financial savings funnelled into creating extra aggressive expertise.

The group has additionally partly benefitted from the misfortunes of rival Ericsson, which noticed as its China market share collapse when Beijing retaliated in opposition to Sweden banning Huawei from its 5G rollout.