Nokia Q3 financial results are out and the company sees a operating profit of $168 million before selling the business to Microsoft and shipped 8.8 million smartphones.
However, Nokia’s sales decreased 22% compared to the last year’s sales to $7.8 billion but the silver lining is the operating profit of $168 million – a jump from $775 million loss in Q3 2012. Most of the devices in declining sales were the feature phones with 37% drop from last year and 27% drop in the shipping volume. And the good news is – the smartphone shipments are jumped upto 40% year on year and shipped over 8.8 million smartphones in the third-quarter ending last September. Smartphone revenue in the last quarter was $1.72 billion.
Nokia’s Devices and Services division made $3.98 billion in net sales, which is a plunge of 19% year on year and posted $118 million of operating loss this year, whereas the last year’s loss was $924 million and it was huge loss! Microsoft will complete the acquisition of this division in early 2014 for $7.2 billion.
Nokia Solutions Networks (NSN) and HERE maps are out of the Microsoft acquisition and here are their performance in 3 2013.
The division as important as the phone business, NSN‘s net sales declined both in terms of quarter on quarter and year on year to $3.56 billion. But the NSN division has seen a profitable quarters since last six quarters and this time it recorded a $228 million of operating profit. HERE division posted a 19.2 million operating profit in their smaller net sales of $290 million. NSN and HERE both are depend on seasons and the results were poor because of the weak seasonal demand and expects a good fourth quarter ahead.
Advanced Technologies, another division of Nokia will be held in Nokia Group after the Microsoft acquisition of Nokia’s phones business.
The results suggests that the weaker department was the phone business and if Microsoft takes care of it, then remaining divisions will make good operating profits in coming months and this expectations from investors made the Nokia stocks jump over 6% today. For more details of Nokia’s Q3 results, go to this document (PDF)