Nokia released its second quarter results just before the market opened on the 25th of July due to which Nokia’s shares jumped up. After a tough start in the first quarter of 2019 Nokia managed to uplift its earnings and revenue for the second quarter. Company beats all the estimates and rehash its essence by its excellent performance in the network segment. Switching to 5G technology will propel the growth rate of Nokia in forthcoming years although the company also pointed to a few factors that could menace its outlook.
5.69 Billion euros’ revenue announced by Nokia for its second quarter with 7.2% of year over year growth rate. And which is above by 290 million of the average estimate revenue. The majority of the company revenue is produced by its network segment which demonstrated a strong growth rate of 7% from earlier year time frame. Non IFRS earnings per share also high as compare to the prior year period and 0.02 euros higher than which were analysts expecting for this subsequent quarter. Nokia has to do work for maintaining its entire year guidance the company is communicating certainty that it can convey strong outcomes in the subsequent half. There is still plenty of things that could turn out wrong.
Rajeev Suri who is the CEO of Nokia, discussed the company’s progress for the second quarter in his prepared remark. Mr. Rajeev said that the company would try to enhance its achievement and position in 5G technology as currently the company has nine live networks and 45 commercial 5G deals. Company is looking forward to achieving new milestones by its competitive end-to-end portfolio and by strengthening its operational execution. Mr. Suri also discussed the associated risk factors such as company facing challenges in the Chinese market and trade-related uncertainty. Mr. Suri also confirmed that in forthcoming years’ company will focus on improving its working capital management and implementation of new strategies for betterment.