Sony Pixel Power calrec Sony

Nokia Corporation Financial Report for Q2 and Half Year 2021

29/07/2021

Nokia Corporation Financial Report for Q2 and Half Year 2021

Nokia Corporation

Half year report

29 July 2021 at 08:00 EET

Nokia Corporation Financial Report for Q2 and Half Year 2021

Strong first half, 2021 Outlook revised upwards

Top-line strength continued in Q2, with constant currency net sales up 9% year-on-year, driven by growth across all business groups, with particular strength in Network Infrastructure. Reported net sales increased 4%.

Important progress on our three-phased strategy. Mobile Networks strengthening its competitiveness with major product launch, including some industry leading features. Network Infrastructure continued to gain share in the first half.

Our new operating model is delivering clear accountability and financial discipline through the organization.

Comparable gross margin of 42.3% (reported 41.0%) in Q2, reflecting broad improvements, particularly in Mobile Networks, which benefitted from a one-time software deal and 5G growth.

Comparable operating margin of 12.8% (reported 9.1%) in Q2, with improvements across all business groups, also helped by the one-time software deal in Mobile Networks.

Q2 comparable diluted EPS of EUR 0.09; reported diluted EPS of EUR 0.06.

Generated positive free cash flow for the fifth quarter in a row; liquidity position remains solid with EUR 3.7bn net cash.

Strong performance in first half 2021 with 9% constant currency sales growth (reported net sales 4%) and comparable operating margin of 11.9% (reported 8.8%), driving increase in our full year Outlook although headwinds remain for the second half.

Considering our strong start to 2021, we revise our full year 2021 Outlook, including net sales expected to be EUR 21.7bn to 22.7bn (previously EUR 20.6bn to EUR 21.8bn) with comparable operating margin in the range of 10-12% (previously 7-10%).

This is a summary of the Nokia Corporation Financial Report for Q2 and Half Year 2021 published today. Nokia only publishes a summary of its financial reports in stock exchange releases. The summary focuses on Nokia Groups financial information as well as on Nokias outlook. The detailed, segment-level discussion will be available in the complete financial report hosted at www.nokia.com/financials. Investors should not solely rely on summaries of Nokias financial reports, but should also review the complete reports with tables.

PEKKA LUNDMARK, PRESIDENT AND CEO, ON Q2 2021 RESULTS

I am delighted that our strong start to 2021 continued in the second quarter. Our constant currency sales growth of 9%, combined with good cost control, enabled us to deliver a comparable operating margin of 12.8%. Even excluding a one-time software deal in Mobile Networks, we saw good underlying progress in operating margin. We are already seeing the benefits of our new operating model which helped us to deliver such a strong financial performance.

The highlight of the second quarter was the Mobile Networks launch of our new AirScale baseband and radio products with up to 75% better power efficiency helping to reduce our environmental footprint and the lightest 32TRX massive MIMO active antenna in the market. In Network Infrastructure we sustained double-digit growth and have a series of product launches ahead in the second half to further strengthen our differentiation. Cloud and Network Services is making good progress on its portfolio rebalancing and Nokia Technologies continues to scale with two licensing agreements with automotive manufacturers including Daimler.

Considering our robust start to 2021, we are revising upwards our full year Outlook. We now expect a comparable operating margin between 10-12% for full year 2021, compared to our previous range of 7-10%. We have executed faster than planned on our strategy in the first half which provides us with a good foundation for the full year. We still however expect to face the earlier communicated headwinds in the second half, particularly with market share loss and price erosion in North America. Therefore, we still expect our typical quarterly earnings seasonality to be less pronounced in 2021. In addition, we continue to accelerate R&D investments and monitor risks around component availability, considering the strong demand for our products.

Overall, I am very happy with the progress made in the first half. I want to thank our entire team for their hard work and commitment.

FINANCIAL RESULTS

EUR million (except for EPS in EUR) Q221 Q220 YoY change Constant currency YoY change Q1-Q221 Q1-Q220 YoY change Constant currency YoY change

Reported results

Net sales 5 313 5 092 4% 9% 10 389 10 005 4% 9%

Gross margin %1 41.0% 38.1% 290bps 39.5% 36.8% 270bps

Research and development expenses1 (1 063) (1 013) 5% (2 060) (2 019) 2%

Selling, general and administrative expenses1 (712) (709) 0% (1 360) (1 489) (9)%

Operating profit 484 170 185% 916 94 874%

Operating margin % 9.1% 3.3% 580bps 8.8% 0.9% 790bps

Profit/(loss) for the period 351 99 255% 614 (17)

EPS, diluted 0.06 0.02 200% 0.11 0.00

Net cash and current financial investments 3 688 1 550 138% 3 688 1 550 138%

Comparable results

Net sales 5 313 5 093 4% 9% 10 389 10 007 4% 9%

Gross margin % 42.3% 39.6% 270bps 40.3% 38.0% 230bps

Research and development expenses (1 011) (953) 6% (1 985) (1 928) 3%

Selling, general and administrative expenses (585) (590) (1)% (1 137) (1 262) (10)%

Operating profit 682 423 61% 1 234 539 129%

Operating margin % 12.8% 8.3% 450bps 11.9% 5.4% 650bps

Profit for the period 539 316 71% 914 348 163%

EPS, diluted 0.09 0.06 50% 0.16 0.06 167%

ROIC2 18.4
LINK: https://www.nokia.com/about-us/news/releases/2021/07/29/nokia-corporat...
See more stories from nokia

Most recent headlines

18/11/2025

Oregon Municipal Channel Upgrades Visuals With Telycam PTZs

KEIZER, Ore. Municipal broadcaster Keizer City Television, K23 TV, has deployed four Telycam PTZ cameras to upgrade the visual quality of its live meeting cover...

18/11/2025

Peacock to Stream EA Sports Madden NFL Cast on Thanksgiving

STAMFORD, Conn. NBC Sports and Peacock have announced that they are working for the second consecutive year with the National Football League, EA Sports and Gen...

18/11/2025

Research: Netflix Boosts Viewing With Familiar Kids Franchises

LONDON A new Ampere Analysis study finds that familiar franchises are successfully driving kids' TV consumption on Netflix and that the streamers big bet on...

18/11/2025

Content Discovery Still a Challenge for Streamers: Hub Study

PORTSMOUTH, N.H. TV viewers continue to find it challenging to find relevant programs in the fragmented universe of streaming content, according to new findings...

18/11/2025

20 Bob Dylan Songs That Reflect a Legacy of A-Changin

20 Bob Dylan Songs That Reflect a Legacy of A-Changin On the heels of Bob Dylan receiving a Berklee honorary doctorate, we take stock of one of the most singu...

17/11/2025

EA SPORTS Madden NFL Cast to Return Thanksgiving Night With Immersive, Data-Driven Broadcast on Peacock

EA SPORTS Madden NFL Cast to Return Thanksgiving Night With Immersive, Data-Driv...

17/11/2025

Behind the Broadcast Booth: Impact Ventures' Greer Christian on Building Her Career Around Passion

Behind the Broadcast Booth: Impact Ventures' Greer Christian on Building Her...

17/11/2025

SVG Sit-Down: Sportradar's Brian Josephs Talks Peacock's Powerful Performance View - and Just Telling Better Sports Stories

SVG Sit-Down: Sportradar's Brian Josephs Talks Peacock's Powerful Perfor...

17/11/2025

2025 Sports Broadcasting Hall of Fame: Greg Gumbel, Iconic Voice and Comforting Presence

2025 Sports Broadcasting Hall of Fame: Greg Gumbel, Iconic Voice and Comforting ...

17/11/2025

ESPN, Pixar, the NFL, and Beyond Sports Team Up for ESPN's Dec. 8 Monsters, Inc.' MNF' Altcast Effort

ESPN, Pixar, the NFL, and Beyond Sports Team Up for ESPN's Dec. 8 Monsters,...

17/11/2025

SVG Sit-Down: EA SPORTS' Evan Dexter on How the EA SPORTS Madden NFL Cast' Blends Gaming and Live NFL Production

SVG Sit-Down: EA SPORTS' Evan Dexter on How the EA SPORTS Madden NFL Cast&#...

17/11/2025

Cast your votes and sail into 2026 with the return of SBS's the Chillest 100

Cast your votes and sail into 2026 with the return of SBS's the Chillest 100 17 November, 2025 Media releases Voting is now open for Australia's ul...

17/11/2025

Building a unified, secure localisation operating model with Blue Lucy

When VSI Group, one of the world's leading localisation providers, set out to modernise its complex, multi-site operations built through years of acquisitio...

17/11/2025

Sinclair Acquires 8% Stake in E.W. Scripps

Dealmaking for broadcast stations continues to heat up, with Sinclair reporting it has built up a 8.2% stake in E.W. Scripps and has been talking with Scripps f...

17/11/2025

ITU: 6 Billion Now Online Globally

The worlds online population grew by more than 240 million people in 2025, according to Facts and Figures 2025 released today by the International Telecommunica...

17/11/2025

ASB GlassFloor Launches an Elite Training Facility in Par...

ASB GlassFloor, the leading provider in LED sports flooring, today announced the opening of Athletes Lab 2.0, a premier athletic training facility designed to e...

17/11/2025

SmallHD Unlocks Camera Control for Canon

SmallHD today announced the release of its popular Camera Control for Canon cinema cameras. This new integration enables filmmakers to adjust critical camera se...

17/11/2025

Matthews Helps Samuel and Sons Bring Luxury Trim to Life...

Luxury is in the details, and no one captures that better than the creative team at Samuel & Sons. As the visionaries behind iconic photography and advertising ...

17/11/2025

One Giant Leap for AI Physics: NVIDIA Apollo Unveiled as Open Model Family for Scientific Simulation

NVIDIA Apollo - a family of open models for accelerating industrial and computat...

17/11/2025

NVIDIA Accelerated Computing Enables Scientific Breakthroughs for Materials Discovery

To power future technologies including liquid-cooled data centers, high-resoluti...

17/11/2025

Accelerated Computing, Networking Drive Supercomputing in Age of AI

At SC25, NVIDIA unveiled advances across NVIDIA BlueField DPUs, next-generation networking, quantum computing, national research, AI physics and more - as accel...

17/11/2025

NVIDIA Accelerates AI for Over 80 New Science Systems Worldwide

Across quantum physics, digital biology and climate research, the world's researchers are harnessing a universal scientific instrument to chart new frontier...

17/11/2025

The Great Flip: How Accelerated Computing Redefined Scientific Systems - and What Comes Next

It used to be that computing power trickled down from hulking supercomputers to ...

17/11/2025

VEON Commences USD 100 million Buyback Program

17 Nov 2025 VEON Commences USD 100 million Buyback Program Dubai, November 17, 2025: VEON Ltd. (Nasdaq: VEON), a global digital operator ( VEON or the Compan...

17/11/2025

Sky brings top comedy talent to screens with new stand-up specials

Monday 17 November 2025 Sky brings top comedy talent to screens with new stand-up specials Sky and streaming service NOW are bringing audiences a fresh dose o...

16/11/2025

Viper Shield Advances Production for Global F-16 Fleet

L3Harris to deliver advanced electronic warfare systems quickly for worldwide F-16 programs...

16/11/2025

Symphony MKII TB2 to TB3 Self Install Guide

Upgrading your Apogee Symphony MKII from TB2 to TB3: Need to Knows Upgrading your Apogee interface to Thunderbolt 3 isn't difficult - but it's not a cas...

16/11/2025

Apogee Electronics Acquired by Dirk Ulrich's Rockforce Tech Holding, Parent Company of Manley Labs

Apogee Electronics Acquired by Dirk Ulrich's Rockforce Tech Holding, Parent ...

15/11/2025

Disney, YouTube TV Reach Multi-Year Distribution Deal

BURBANK, Calif. The Walt Disney Company and YouTube TV have reached a new multi-year distribution agreement, ending a carriage dispute that had blacked out ABC,...

15/11/2025

ATSC 3.0 Interop Puts NextGen TV's Advanced Features in the Crosshairs

PLYMOUTH, Wis. A group of about 20 TV technology vendors supporting NextGen TV are wrapping up their ATSC 3.0 Interop here at Heartland Video Systems headquarte...

15/11/2025

NBCUniversal to Launch NBC Sports Network on Nov. 17

NEW YORK NBCUniversal has announced that it will be launching NBC Sports Network (NBCSN), a 24/7 linear network featuring a wide range of marquee sporting event...

15/11/2025

FCC Updates Agenda for November Open Meeting

WASHINGTON The Federal Communications Commission has released an updated agenda for its Open Meeting on Thursday, November 20, 2025, which is scheduled to comme...

15/11/2025

Study: DOCSIS 3.1 Drives 3X Increase in Median Broadband Usage

JERSEY CITY, N.J. OpenVault has released new data showing that DOCSIS 3.1 and higher services are driving significant across-the-board increases in speed and co...

15/11/2025

Gray Media Inks OTA Deal for Ohio Valley Conference Basketball

ATLANTA Gray Media has concluded an agreement with the Ohio Valley Conference ( OVC ) to broadcast OVC college basketball games across 20 Gray markets in five s...

15/11/2025

Wheatstone Names Darrin Paley VP of Business Accounts

NEW BERN, N.C. Wheatstone has named company veteran Darrin Paley vice president of business accounts, effective immediately....

15/11/2025

Netflix Serves Up the Trailer for Dining with the Kapoors': A Celebration of Legacy, Laughter and Love

Back to All News Netflix Serves Up the Trailer for Dining with the Kapoors'...

14/11/2025

Op-Ed: The Automation Imperative - Why AI Is the Only Scalable Defense Against Live-Sports Piracy

Op-Ed: The Automation Imperative - Why AI Is the Only Scalable Defense Against L...

14/11/2025

FutureSPORT 2025: Caretta Research on Why Streaming Won't Save Broadcasters

FutureSPORT 2025: Caretta Research on why streaming won't save broadcasters By Jo Ruddock Monday, November 10, 2025 - 14:37 Print This Story Caretta R...

14/11/2025

Daneysse Daniels, Emmy-Winning Production Manager and Beloved Teammate at TNT Sports, ESPN, and FOX Sports, Passes Away at 35

Daneysse Daniels, Emmy-Winning Production Manager and Beloved Teammate at TNT Sp...

14/11/2025

The NBA 2K League Returns as an Immersive Entertainment Ecosystem' With Non-Stop Multiplatform Content

The NBA 2K League Returns as an Immersive Entertainment Ecosystem' With Non...

14/11/2025

Inaugural SVG LIVE! Conference Brings 250+ Top Sports and Entertainment Production Leaders Together in L.A.

Inaugural SVG LIVE! Conference Brings 250 Top Sports and Entertainment Producti...

14/11/2025

From Family Band to Icon: Selena y Los Dinos is a Loving Tribute to the Queen of Tejano

(L-R) Suzette Quintanilla, Isabel Castro, and Chris P rez attend the 2025 Sundan...

14/11/2025

Casa Spotify Celebrates Latin Music's Biggest Week in Las Vegas

This week, Casa Spotify lit up Las Vegas with an unforgettable celebration of Latin music and culture ahead of the 26th Annual Latin Grammy Awards. Hosted at th...

14/11/2025

Boston Conservatory Orchestra to Perform at Carnegie Hall for United Nations General Assembly

Boston Conservatory Orchestra to Perform at Carnegie Hall for United Nations Gen...

14/11/2025

Berklee Alum Lewis Pickett Wins Record of the Year at Latin Grammy Awards

Berklee Alum Lewis Pickett Wins Record of the Year at Latin Grammy Awards Pickett, a 2009 graduate, was nominated six times across three categories at this ye...

14/11/2025

ATSC 3.0 Interop Puts NextGen TV Advanced Features In The Crosshairs

PLYMOUTH, Wisc. A group of about 20 TV technology vendors supporting NextGen TV are wrapping up their ATSC 3.0 Interop here at Heartland Video Services headquar...

14/11/2025

NECF Launches Patented AI Platform That Turns Idle Contro...

What if your idle operations centers, inactive cloud time, staff or you as a freelancer could start generating revenue tomorrow? NECF Corporation today announc...

14/11/2025

Dalet Named a Major Player in the 2025 IDC MarketScape fo...

Dalet, a leading provider of cloud-native, end-to-end media workflow solutions, today announced that it has been recognized as a Major Player in the IDC MarketS...

14/11/2025

Record-Breaking Live Broadcast Achieved with Clear-Com at...

The recent ADAC RAVENOL 24h Race at Germany's legendary N rburgring circuit marked a milestone for live broadcast production, and Clear-Com played a pivota...