Nokia reported their financial status at the end of Q1 this year and it does not sound good. The biggest phone manufacturer at this stage has 90% profit drop, 27% sales drop and the Finns even started to cut some slack positions. Sure sounds like an economic downturn, doesn't it?
Yep, the financial crisis didn't spare the current number one mobile phone manufacturer - Nokia. They announced their Q1 financial status and there are huge drops in every one aspect.
First and most terrifying is the profit drop - the current profit calculates in 122 million euro compared to the Q1 2008 when it was 1.2 billion euro. It's 90% down.
Next are the sales of course. This year Nokia made 9.28 billion euro, but in Q1 2008 the company succeed to make 12.7 billion euro. The difference is 27% down.
In time of crisis the first step is job cutting and here it comes. Nokia gave the axe to 1700 employees worldwide only in March.
But, hey it's not as bad as it sounds. The company shares rose with 8 percent in the last months.
Nokia also claims that in the last quarter they sold 2.8 million units of the popular touch-based 5800 XpressMusic and that they would have sold many more had not they been a bit underpowered. As of now they will be shipping a million 5800 units every month.
Nobody really knows when the economic downturn will end, but Nokia still stand their position as a top manufacturer with 37% market share (2% down compared to Q1 2008).
i can jst laugh out loud. . . . Nokia is a pioneer . . n dats a fact . . . if some1 said 5800 did not sell . .think again it has crossed 15 million pieces only coz the phone on any damn day can beat any of your fav handsets . . . n if u hv...
Nokia was best,is best and will continue to be the best. Please dont go for drops/lay offs.It is the current need/demand to cope up with situation but that doesnt mean it is sleeping or doing nothing. Atleast i will never compare it with samsung....
Nokia should 1- faster its speed 2- higher megapixel camera 3- make its price lower i always vote for nokia but they are doing mistakes.