Nokia Q2 EBIT Down At EUR 81 Million

July 24 (Reuters) - Nokia Oyj NOKIA.HE:

• Q2 GROSS MARGIN 43.4%

• Q2 EBIT EUR 81 MILLION

• Q2 EBIT MARGIN 1.8%

• Q2 EPS EUR 0.02

• Q2 ADJUSTED EPS EUR 0.04

• Q2 ADJUSTED EBIT MARGIN 6.6%

• LOOKING AHEAD WE EXPECT A STRONGER SECOND HALF PERFORMANCE, PARTICULARLY IN Q4 CONSISTENT WITH NORMAL SEASONALITY.

• WE CONTINUE TO EXPECT STRONG GROWTH IN NETWORK INFRASTRUCTURE, GROWTH IN CLOUD NETWORK SERVICES, LARGELY STABLE NET SALES IN MOBILE NETWORKS

• IN NOKIA TECHNOLOGIES WE EXPECT APPROXIMATELY EUR 1.1 BILLION IN OPERATING PROFIT.

• Q2 SAW CONTINUED STRONG ORDER MOMENTUM IN OPTICAL NETWORKS

• CURRENCY HAS AN APPROXIMATELY EUR 230 MILLION NEGATIVE IMPACT RELATIVE TO OUR EXPECTATIONS AT START OF YEAR

• COMMERCIAL MOMENTUM WE ARE SEEING REINFORCES LONG-TERM VALUE CREATION OPPORTUNITY OF ACQUISITION

• CURRENT TARIFF LEVELS ARE FORECASTED TO IMPACT OPERATING PROFIT BY EUR 50 MILLION TO EUR 80 MILLION INCLUSIVE OF THOSE IN Q2.

• LOOKING AHEAD WE EXPECT A STRONGER SECOND HALF PERFORMANCE, PARTICULARLY IN Q4 CONSISTENT WITH NORMAL SEASONALITY

• Q2 NET SALES MOBILE NETWORKS EUR 1,732 MILLION VERSUS EUR 2,078 MILLION YEAR AGO

• FOR FULL YEAR, UNDERLYING BUSINESS IS TRENDING LARGELY AS EXPECTED