The world’s largest network equipment maker reported a mixed bag in its second quarter earnings. While L.M. Ericsson’s (ERIC) net profit was up 66% to $484.2 million for the quarter, the rise in revenue and profit was weaker than expected on Wall Street. Stock is down more than 8% to $13.04.
Revenues climbed 14% from the year-ago period to $8.67 billion. In North America, the Stockholm-based company reported a 6% decline in sales.
The company’s joint venture, Sony Ericsson, continue to hamper the bottom line as sales sagged and the company moved from a year-ago profit of $17.24 million to a loss of $71.85 million. Sony Ericsson device sales slid 31% over the past 12 months from 11 million units to 7.6 million units.
“Group sales in the quarter increased by 14% year-over-year driven by a continued strong demand for mobile broadband,” president and CEO Hans Vestberg said in a prepared statement.
Ericsson sales decline in North America
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