Nokia’s Q3 results prove it’s in dire need of help

By on Oct 15, 2009 at 9:41 AM
News October 15, 2009

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Espoo, we have a problem. Today Nokia posted its Q3 2009 results and to say they’re disturbing would be a gross understatement. While net sales and operating profit didn’t fare well being down 1% and 4.4% from the previous quarter, the real startling figure is how Nokia is doing now compared to the same time last year. With a net loss of some 559€mm ($833.9mm USD) and sales tallying 9.8€bb ($14.62bb USD), YoY net sales were down 19.8% while operating profit plummeted a jaw dropping 57.8%. In terms of market share, Nokia neither lost nor gained ground having managed to hang on to its estimated 38% market share despite pushing approximately 108.5 million devices. Still, this does not change the fact that Nokia’s handset sales are down 8% as the world’s consumers focused their attention on devices made by other manufacturers. We’re not going to openly say that it’s about time Nokia seriously consider some fresh blood in the board room, but… Oh who are we kidding, that’s exactly what we’re saying. After all, if those at the top don’t voluntarily step aside, it’s likely that the shareholders are going to make them. And to be pretty damn honest, a couple of N900s really aren’t going to cut at this point in time.

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  • ljp

    The posters that are suggesting BGR stay away from financial data should take their own advice.

    Nokia’s own statements say they’ve lost sales, market share in smartphones(the growing industry) and operating profit. How can any of you put a positive spin on any of that?

    To say that everyone is experiencing declining sales is also incorrect. RIM has continued to increase their sales since last year and Apple, after experiencing a decline from the start of the recession, has recovered and are increasing sales.

    Statements such as the ones suggesting if it weren’t for the writedown Nokia would have shown a profit only highlight the point of this article. Nokia is making bad decisions that are hurting its business and are falling behind in a market that they are supposed to be leading.

  • Heathen

    As usual you guys have tons of Blackberry news.
    Any word on:
    1.) The release of Skype for Blackberry? (which should have been here ages ago)

    2.) Skyfire for Blackberry?

  • Heathen

    whoops, meant to post the previous in the Blackberry thread. I think I need a coffee, or something.

  • Sheynk
  • ljp

    @Sheynk

    Would you care to explain why it’s good news that Nokia added 15 million users to its services and was only able to increase the revenue from those services by $12 million over the previous quarter? Not to mention the $900 million drop in revenue from the previous year for the services sector?

    That drop has nothing to do with the write-down of the Nokia Siemens Network. Nokia is losing revenue as its competitors continue to gain.

  • Nokia = Fail

    Sigh, Nokia fails yet AGAIN. When will this POS relic of a company die off already?

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