Finnish Government calls out Microsoft for breaking promises for Nokia deal

[dalekphalm]

20 minutes ago, Pintend said:

Nokia have their official financial results and reports available for everyone to see here:

http://company.nokia.com/en/investors/financial-reports/results-reports

 

Nokia are earning 8 billion a year now (as of Q1 2016). That's a ton of cash considering their financial position just a few years back.

 

They could also potentially make even more cash with their recent acquisition of alcatel-lucent.

Revenue does not necessarily mean success.

 

Though looking at their 2015 annual statement, they made $12.5Bn Euro (About $13.9Bn USD) in Revenue, combined with an Operating Profit of $1.7Bn Euro ($1.9Bn USD).

 

Now that does sound rather impressive considering their extremely dire situation only a few years ago, but Operating Income is before Interest payments on loans and Taxes. Looks like their Net Profit is actually $1.2Bn Euro ($1.3Bn USD). Still not bad.

 

According to their 2016Q1 results, they've actually had a 24% decrease in Net Profit compared to 2015Q1, and a 76% decrease compared to 2015Q4... That doesn't look good. I wonder what would explain that? 2016 doesn't look good compared to how 2015 was going.

[Anult]

1 minute ago, dalekphalm said:

Revenue does not necessarily mean success.

 

Though looking at their 2015 annual statement, they made $12.5Bn Euro (About $13.9Bn USD) in Revenue, combined with an Operating Profit of $1.7Bn Euro ($1.9Bn USD).

 

Now that does sound rather impressive considering their extremely dire situation only a few years ago, but Operating Income is before Interest payments on loans and Taxes. Looks like their Net Profit is actually $1.2Bn Euro ($1.3Bn USD). Still not bad.

 

According to their 2016Q1 results, they've actually had a 24% decrease in Net Profit compared to 2015Q1, and a 76% decrease compared to 2015Q4... That doesn't look good. I wonder what would explain that? 2016 doesn't look good compared to how 2015 was going.

I think they lost a bit of cash due to the alcatel-lucent buyout being approved in January. Nokia did spend $15.6 billion on that deal.

[dalekphalm]

1 minute ago, Pintend said:

I think they lost a bit of cash due to the alcatel-lucent buyout being approved in January. Nokia did spend $15.6 billion on that deal.

That would certainly make sense. Which is why, personally, I find quarterly results almost useless, since it doesn't show the big picture. When a company spends a massive amount of money on R&D or a buyout, if you look at just the quarterly result in which said thing happened, it looks like the company is doing poorly. Annual results are much better. 2015 looks decent. We'll see if the 2016Q2 results look better than Q1.

[Yog]

Those "promises" were obviously made with strong windows phone sales in mind. Also, they've changed CEOs since then.