Nokia Reports 6% Net Sales Growth in Q3 2022
Nokia's net sales grew 6% year-on-year in constant currency during the third quarter of 2022, as supply constraints eased. The company maintained its full-year financial outlook.
Espoo, Finland – Nokia Oyj announced its third-quarter financial results for 2022, reporting a 6% increase in net sales in constant currency. The growth was driven by easing supply constraints and sustained demand, leading to a reported net sales increase of 16%.
The Mobile Networks division saw a 12% growth, while Network Infrastructure continued its strong performance with a 5% increase. Cloud and Network Services experienced a 3% decline as Nokia rebalances its portfolio, and Nokia Technologies' net sales dropped by 19% due to expired licenses pending renewal.
Sales to enterprise customers accelerated significantly, growing 22% year-on-year, with notable strength in private wireless networks. The company's reported gross margin decreased slightly to 40.1%, and the operating margin stood at 8.3%. Margins in Mobile Networks and Network Infrastructure improved, but this was offset by the decline in Nokia Technologies.
Nokia reaffirmed its full-year 2022 financial outlook, projecting net sales between €23.9 billion and €25.1 billion and a comparable operating margin of 11% to 13.5%. The company anticipates continued growth in 2023, citing new 5G deals in markets like India, despite macroeconomic and geopolitical uncertainties.