Revenues of $4 billion in 4Q15
On February 11, 2016, Europe’s (VGK) Nokia (NOK) announced its 4Q15 results. It reported revenues of $4 billion. For fiscal 2015, sales were $15 billion. Non-IFRS[1. international financial reporting standards] diluted earnings per share were $0.18 in 4Q15 compared to $0.11 in 4Q14. For fiscal 2015, earnings per share were $0.43 in 2015 compared to $0.32 in 2014.
Nokia’s board of directors has proposed a dividend of $0.19 per share for 2015 and a special dividend of $0.12 per share. The proposed dividend will result in a payout of approximately $1.15 billion in dividends and $720 million in special dividends.
Nokia’s net income rose to $2 billion, driven by proceeds from the sale of its mapping business to a consortium of German (EWG) auto makers. The sale impacted revenues by $1.6 billion. Excluding this gain, net income rose 53% year-over-year to $597 million in 4Q15 compared to $390 million in 4Q14.
1Q16 quite challenging: Nokia CEO
Nokia has warned shareholders about an impending slowdown in the telecommunications equipment sector, driven by concerns about the global economy and particularly China (FXI). “The first quarter, in particular, looks quite challenging as customers assess their CAPEX plans in light of increasing macro-economic uncertainty. In this environment, we will continue our sharp focus on operational and commercial discipline, ensure we deliver synergies as quickly as possible, and focus our energy on targeting the growth segments within the overall telecom market,” said Nokia CEO Rajeev Suri.