Nokia ( (NOK) ) has released its Q1 earnings. Here is a breakdown of the information Nokia presented to its investors.
Nokia, a global leader in telecommunications and networking technology, operates across various sectors including mobile networks, cloud services, and network infrastructure. The company is known for its innovative solutions in optical networks and its commitment to sustainability.
In its Q1 2025 earnings report, Nokia highlighted a mixed financial performance with a notable acquisition of Infinera, aimed at expanding its optical networks business. The company reported a 3% decline in net sales year-over-year, primarily due to a challenging comparison with the previous year in Nokia Technologies. However, Network Infrastructure and Cloud and Network Services showed positive growth.
Key financial metrics revealed a decrease in comparable gross margin by 820 basis points to 42.3%, and a comparable operating margin drop to 3.6% from the previous year. Despite these declines, Network Infrastructure saw an 11% growth, and Cloud and Network Services grew by 8%, driven by strong demand for 5G Core offers. The acquisition of Infinera is expected to enhance Nokia’s scale in optical networks and with hyperscalers.
Looking ahead, Nokia maintains its full-year 2025 outlook with a comparable operating profit expected between EUR 1.9 billion and 2.4 billion. The company remains focused on investing in growth opportunities and managing challenges such as global trade uncertainties and tariff impacts. Nokia’s management is optimistic about the resilience of its markets and aims to continue leveraging its technological strengths to drive future growth.