Finnish telecoms equipment maker Nokia on Thursday reported a $68 million euro loss in net profit for the first quarter, citing the tariff wars and “rapidly evolving global trade landscape”.
The company said tariffs imposed by the United States could result in “some short-term disruption”.
“We are not immune to the rapidly evolving global trade landscape. However, based on early customer feedback, I believe our markets should prove to be relatively resilient”, Justin Hotard President and CEO of Nokia said in a statement.
“Based on what we see today, we currently expect a EUR 20 to 30 million impact to our comparable operating profit in the second quarter from the current tariffs”, Hotard said.
US President Donald Trump implemented a tariff of 10 percent on global imports this month, but he paused plans for higher duties on dozens of countries, including a 20 percent duty for goods from EU nations.
Nokia also reported net sales of 4.4 billion euros ($4.9 billion), down one percent compared to a year ago.
It had posted a net profit of 438 million euros in the first quarter of last year.
The company expected growth in its Network Infrastructure, Cloud and Network Services and Mobile Network to boost sales in 2025.
Alongside its first quarterly report, it announced a contract extension with T-Mobile US on Thursday, saying it continued “to see positive signs of stabilisation” in Mobile Networks.
AFP
