Linked by Thom Holwerda on Tue 29th Oct 2013 15:04 UTC
PDAs, Cellphones, Wireless

Nokia has just announced its Q3 2013 financial results, revealing an operating profit of EUR118 million ($162 million) from EUR 5.66 billion ($7.8 billion) revenue. That's up massively year over year, but nonetheless represents another quarter of middling results. The report is the first since Microsoft agreed to purchase Nokia's phone business, and that division - Devices and Services - performed as expected, posting a small loss of EUR 86 million ($118 million).

So, Microsoft is buying the part of Nokia that is losing money, while the parts that make money remain in Finland. Seems like a good deal for Nokia-proper. In the meantime, Microsoft will be saddled with a devices division that is still losing money, and whose increase in sales consists largely of low-end, low-margin devices (like the 520). Interesting - especially since Windows Phone was supposed to prevent Nokia participating in a race to the bottom. I'm sure Microsoft's super-successful Surface division welcomes Nokia's devices division.

The cold truth: even more than 2.5 years after announcing the switch to Windows Phone, Nokia's Lumia range still cannot make up for drop in sales of Symbian devices and feature phones. This is roughly the same timeframe in which Samsung rose to the top. With Android.

Read into that what you will.

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RE[3]: Comment by Nelson
by crocodile on Wed 30th Oct 2013 10:04 UTC in reply to "RE[2]: Comment by Nelson"
crocodile
Member since:
2010-01-18

"
What is the point of this when Nokia actually is loosing money by selling smartphones??
Nelson enjoys taking numbers out of context. He's also not affraid of moving the goalposts. Which is why he claims to be right every time. He did in one thread go from 10 to 8 million sold phones and now he was spoton the 9 million sold units...


Nokia 2 years ago had ~33% of phone market and now it has ~3.3%. Clearly this is a failure for NOKIA and a sequential growth means nothing when one has a very small percentage of the phone market!

For every small company(and small "fishes") it is very easy to show sequential growth and this makes the sequential growth meaningless.
"

Exactly! Nelson's statements miss the big picture which is that Nokia is loosing money while selling phones and Nokia has been doing this for a long time this already!

See here: "Nokia Q3 2013: $7.9B in Revenue but Phone Division Loses $118M"
http://www.technobuffalo.com/2013/10/29/nokia-q3-2013-7-9b-in-reven...

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