Nokia | July 19, 2011 | Press Release
Espoo, Finland – Nokia today provided historical results for its Devices & Services business, regrouped for comparability purposes according to the new reporting format that reflects the operational structure that became effective on April 1, 2011.
The historical results set forth below for each quarter and the full year of 2010 as well as the first quarter of 2011 are reported results regrouped (on an unaudited basis) for comparability purposes according to Nokia’s four reportable segments effective from April 1, 2011:
– Smart Devices (within Devices & Services)
– Mobile Phones (within Devices & Services)
– NAVTEQ
– Nokia Siemens Networks
The key financial performance measures provided for these segments include net sales, gross margin as well as an additional measure of profit. For Smart Devices and Mobile Phones, we present these segments’ profit contribution, which consists of revenues less these segments’ own costs as well as their directly assignable and allocated costs. For NAVTEQ and Nokia Siemens Networks, we present operating profit.
Devices & Services Other primarily includes Nokia’s luxury phone business Vertu, spare parts, intellectual property royalty income, as well as common research and development expenses. Other income and expenses includes major restructuring programs related to the Devices & Services business as well as other unallocated items.
It should be noted that the information provided herein is historical and therefore does not indicate future performance.
FIRST QUARTER 2010, REPORTED, EUR million
(unaudited)
| Smart Devices 1-3/2010 | Mobile Phones 1-3/2010 | Devices & Services Other 1-3/2010 | Devices & Services 1-3/2010 | NAVTEQ 1-3/2010 | Nokia Siemens Networks 1-3/2010 | Corporate Common 1-3/2010 | Eliminations 1-3/2010 | Nokia Group 1-3/2010 | |
| Net sales | 3 362 | 3 194 | 107 | 6 663 | 189 | 2 718 | – | -48 | 9 522 |
| Cost of sales | -2 211 | -2 234 | -62 | -4 507 | -29 | -1 936 | – | 28 | -6 444 |
| Gross profit 1) | 1 151 | 960 | 45 | 2 156 | 160 | 782 | – | -20 | 3 078 |
| % of net sales | 34.2 | 30.1 | 42.1 | 32.4 | 84.7 | 28.8 | Â | Â | 32.3 |
| Operating expenses | -829 | -340 | -194 | -1 363 | -237 | -1 015 | -12 | – | -2 627 |
| Other income and expenses | 28 | – | 10 | 38 | – | 7 | -8 | – | 37 |
| Contribution | 350 | 620 | -139 | ||||||
| % of net sales | 10.4 | 19.4 | -129.9 | ||||||
| Operating profit 1) | Â | Â | Â | 831 | -77 | -226 | -20 | -20 | 488 |
| % of net sales | Â | Â | Â | 12.5 | -40.7 | -8.3 | Â | Â | 5.1 |
| 1) Elimination of profits recognized in NAVTEQ that are deferred in Devices & Services related to Ovi Maps service sold in combination with Nokia’s GPSÂ enabled smartphones. | |||||||||
SECOND QUARTER 2010, REPORTED, EUR million
(unaudited)
| Smart Devices 4-6/2010 | Mobile Phones 4-6/2010 | Devices & Services Other 4-6/2010 | Devices & Services 4-6/2010 | NAVTEQ 4-6/2010 | Nokia Siemens Networks 4-6/2010 | Corporate Common 4-6/2010 | Eliminations 4-6/2010 | Nokia Group 4-6/2010 | |
| Net sales | 3 503 | 3 190 | 106 | 6 799 | 252 | 3 039 | – | -87 | 10 003 |
| Cost of sales | -2 374 | -2 304 | -69 | -4 747 | -47 | -2 170 | – | 32 | -6 932 |
| Gross profit 1) | 1 129 | 886 | 37 | 2 052 | 205 | 869 | – | -55 | 3 071 |
| % of net sales | 32.2 | 27.8 | 34.9 | 30.2 | 81.3 | 28.6 | Â | Â | 30.7 |
| Operating expenses | -848 | -374 | -206 | -1 428 | -283 | -1 034 | -29 | – | -2 774 |
| Other income and expenses | 2 | 1 | 16 | 19 | -3 | -14 | -4 | – | -2 |
| Contribution | 283 | 513 | -153 | Â | Â | Â | Â | Â | Â |
| % of net sales | 8.1 | 16.1 | -144.3 | Â | Â | Â | Â | Â | Â |
| Â | Â | Â | Â | Â | Â | Â | Â | Â | Â |
| Operating profit 1) | Â | Â | Â | 643 | -81 | -179 | -33 | -55 | 295 |
| % of net sales | Â | Â | Â | 9.5 | -32.1 | -5.9 | Â | Â | 2.9 |
| 1) Elimination of profits recognized in NAVTEQ that are deferred in Devices & Services related to Ovi Maps service sold in combination with Nokia’s GPSÂ enabled smartphones. | |||||||||
THIRD QUARTER 2010, REPORTED, EUR million
(unaudited)
| Smart Devices 7-9/2010 | Mobile Phones 7-9/2010 | Devices & Services Other 7-9/2010 | Devices & Services 7-9/2010 | NAVTEQ 7-9/2010 | Nokia Siemens Networks 7-9/2010 | Corporate Common 7-9/2010 | Eliminations 7-9/2010 | Nokia Group 7-9/2010 | |
| Net sales | 3 612 | 3 364 | 197 | 7 173 | 252 | 2 943 | – | -98 | 10 270 |
| Cost of sales | -2 509 | -2 506 | -77 | -5 092 | -39 | -2 241 | 1 | 42 | -7 329 |
| Gross profit 1) | 1 103 | 858 | 120 | 2 081 | 213 | 702 | 1 | -56 | 2 941 |
| % of net sales | 30.5 | 25.5 | 60.9 | 29.0 | 84.5 | 23.9 | Â | 28.6 | |
| Operating expenses | -773 | -382 | -184 | -1 339 | -263 | -966 | -19 | – | -2 587 |
| Other income and expenses | 5 | 3 | 57 | 65 | 2 | -18 | – | – | 49 |
| Contribution | 335 | 479 | -7 | Â | Â | Â | Â | Â | Â |
| % of net sales | 9.3 | 14.2 | -3.6 | Â | Â | Â | Â | Â | Â |
| Â | Â | Â | Â | Â | Â | Â | Â | Â | Â |
| Operating profit 1) | Â | Â | Â | 807 | -48 | -282 | -18 | -56 | 403 |
| % of net sales | Â | Â | Â | 11.3 | -19.0 | -9.6 | Â | Â | 3.9 |
| 1) Elimination of profits recognized in NAVTEQ that are deferred in Devices & Services related to Ovi Maps service sold in combination with Nokia’s GPSÂ enabled smartphones. | |||||||||
FOURTH QUARTER 2010, REPORTED, EUR million
(unaudited)
| Smart Devices 10-12/2010 | Mobile Phones 10-12/2010 | Devices & Services Other 10-12/2010 | Devices & Services 10-12/2010 | NAVTEQ 10-12/2010 | Nokia Siemens Networks 10-12/2010 | Corporate Common 10-12/2010 | Eliminations 10-12/2010 | Nokia Group 10-12/2010 | |
| Net sales | 4 396 | 3 947 | 156 | 8 499 | 309 | 3 961 | – | -118 | 12 651 |
| Cost of sales | -3 111 | -2 822 | -86 | -6 019 | -38 | -2 919 | – | 52 | -8 924 |
| Gross profit 1) | 1 285 | 1 125 | 70 | 2 480 | 271 | 1 042 | – | -66 | 3 727 |
| % of net sales | 29.2 | 28.5 | 44.9 | 29.2 | 87.7 | 26.3 | Â | Â | 29.5 |
| Operating expenses | -882 | -410 | -218 | -1 510 | -288 | -1 022 | -47 | – | -2 867 |
| Other income and expenses | 145 | 1 | -98 | 48 | -2 | -19 | 4 | -7 | 24 |
| Contribution | 548 | 716 | -246 | Â | Â | Â | Â | Â | Â |
| % of net sales | 12.5 | 18.1 | -157.7 | Â | Â | Â | Â | Â | Â |
| Â | Â | Â | Â | Â | Â | Â | Â | Â | Â |
| Operating profit 1) | Â | Â | Â | 1 018 | -19 | 1 | -43 | -73 | 884 |
| % of net sales | Â | Â | Â | 12.0 | -6.1 | 0.0 | Â | Â | 7.0 |
| 1) Elimination of profits recognized in NAVTEQ that are deferred in Devices & Services related to Ovi Maps service sold in combination with Nokia’s GPSÂ enabled smartphones. | |||||||||
FULL YEAR 2010, REPORTED, EUR million
(unaudited)
| Smart Devices 1-12/2010 | Mobile Phones 1-12/2010 | Devices & Services Other 1-12/2010 | Devices & Services 1-12/2010 | NAVTEQ 1-12/2010 | Nokia Siemens Networks 1-12/2010 | Corporate Common 1-12/2010 | Eliminations 1-12/2010 | Nokia Group 1-12/2010 | |
| Net sales | 14 873 | 13 695 | 566 | 29 134 | 1 002 | 12 661 | – | -351 | 42 446 |
| Cost of sales | -10 205 | -9 866 | -294 | -20 365 | -153 | -9 266 | 1 | 154 | -29 629 |
| Gross profit 1) | 4 668 | 3 829 | 272 | 8 769 | 849 | 3 395 | 1 | -197 | 12 817 |
| % of net sales | 31.4 | 28.0 | 48.1 | 30.1 | 84.7 | 26.8 | Â | Â | 30.2 |
| Operating expenses | -3 332 | -1 506 | -802 | -5 640 | -1 071 | -4 037 | -107 | – | -10 855 |
| Other income and expenses | 180 | 5 | -15 | 170 | -3 | -44 | -8 | -7 | 108 |
| Contribution | 1 516 | 2 328 | -545 | Â | Â | Â | Â | Â | Â |
| % of net sales | 10.2 | 17.0 | -96.3 | Â | Â | Â | Â | Â | Â |
| Â | Â | Â | Â | Â | Â | Â | Â | Â | Â |
| Operating profit 1) | Â | Â | Â | 3 299 | -225 | -686 | -114 | -204 | 2 070 |
| % of net sales | Â | Â | Â | 11.3 | -22.5 | -5.4 | Â | Â | 4.9 |
| 1) Elimination of profits recognized in NAVTEQ that are deferred in Devices & Services related to Ovi Maps service sold in combination with Nokia’s GPSÂ enabled smartphones. | |||||||||
FIRST QUARTER 2011, REPORTED, EUR million
(unaudited)
| Smart Devices 1-3/2011 | Mobile Phones 1-3/2011 | Devices & Services Other 1-3/2011 | Devices & Services 1-3/2011 | NAVTEQ 1-3/2011 | Nokia Siemens Networks 1-3/2011 | Corporate Common 1-3/2011 | Eliminations 1-3/2011 | Nokia Group 1-3/2011 | |
| Net sales | 3 528 | 3 407 | 152 | 7 087 | 232 | 3 171 | – | -91 | 10 399 |
| Cost of sales | -2 475 | -2 457 | -92 | -5 024 | -37 | -2 324 | – | 60 | -7 325 |
| Gross profit 1) | 1 053 | 950 | 60 | 2 063 | 195 | 847 | – | -31 | 3 074 |
| % of net sales | 29.8 | 27.9 | 39.5 | 29.1 | 84.1 | 26.7 | Â | Â | 29.6 |
| Operating expenses | -835 | -386 | -167 | -1 388 | -258 | -990 | -22 | – | -2 658 |
| Other income and expenses | – | -2 | 17 | 15 | 1 | 1 | 6 | – | 23 |
| Contribution | 218 | 562 | -90 | Â | Â | Â | Â | Â | Â |
| % of net sales | 6.2 | 16.5 | -59.2 | Â | Â | Â | Â | Â | Â |
| Â | Â | Â | Â | Â | Â | Â | Â | Â | Â |
| Operating profit 1) | Â | Â | Â | 690 | -62 | -142 | -16 | -31 | 439 |
| % of net sales | Â | Â | Â | 9.7 | -26.7 | -4.5 | Â | Â | 4.2 |
| 1) Elimination of profits recognized in NAVTEQ that are deferred in Devices & Services related to Ovi Maps service sold in combination with Nokia’s GPSÂ enabled smartphones. | |||||||||
