Nokia announced their Q1 financial results today and marked an increase in net sales and units shipped year over year. Operating profit however took a hit but the Microsoft/Nokia agreement was signed, making the deal official.
First, let’s look at Nokia’s financial performance. Nokia’s Devices and Services department reported €7,087 million in net sales (a 6% increase year over year), but operating profit went down 14% year over year, to €694 million (was €804 million in Q1 of 2010).
Nokia shipped 108.5 million units in total, a slight uptick from the year-ago quarter. Feature phones accounted for 84.3 million of that, while smartphones took 24.2 million. That puts smartphone numbers at nearly a third more than what they were in Q1 of 2010.
The gross margin for the first quarter was 29.1%, down from 32.4% in the year-ago quarter. The Average Selling Price went up €65 compared to last year’s first quarter, but down compared to Q4 of 2010 (€69).
Predictions put net sales between €6,100-6,600 million for Q2, which Stephen Elop, Nokia’s newly appointed CEO, says will be “more challenging”.
NAVTEQ’s sales and profits improved in Q1 and are bound to improve even more with the Microsoft/Nokia deal in place.
Speaking of the deal, here’s what it entails in short:
Microsoft and Nokia aim to secure “volume device shipments” in 2012.
Last time I checked Nokia closed sourced Symbian and sold it! And this just might be the last nail in the coffin for Symbian OS :(
Is Nokia and Symbian divorced?
Nokia will continue to support symbian. Symbian will live on. Will it last forever? We do not know, but the microsoft deal has motivated the team to make much needed improvements to the UI and layout. Anna is only the beginning of a long str...