Nokia's released the bundle of spreadsheets that comprise its 2012 Q1 financials, just a week after it promised it would make a loss, despite bullish sales of the new Lumia 900. The numbers reveal that the company had net sales of €7.4 billion ($9.7 billion), down from €10.4 billion ($13.6 billion) at the start of last year. Net sales are down 30 percent year-on-year, which means the company's posting a loss of €1.3 billion ($1.7 billion) for the first three months of 2012. That loss is broken down as €772 million to restructure Nokia Siemens Networks, €101 million to restructure the Devices & Services and Location & Commerce departments, principally in shedding employees and relocating its factories to Asia. It had forecasted an operating margin of three percent below "break even," and says it's likely to remain that way well into the second quarter. However, it's still promising to arrest the slump and in a statement to Moody's on Monday, the company pledged that it was prioritizing "cash conservation" exercises, although its liquid cash reserves have fallen 24% in a year, meaning that the company's only got €4.8 billion ($6.3 billion) put aside for a rainy day.
Developing...Permalink | | Email this | Comments