Nokia's Q4 2012: €439m profit, €8.04b revenue, 4.4m Lumia sales, North America up 40%

Nokia's full financial results for Q4 2012 are in, and we bet CEO Stephen Elop (above) is smiling after some good results were announced.

For the quarter, Nokia reported €8.04 billion (U.S. $10.73 billion) in overall revenue, with a final profit of €439 million ($585 million). In the previous quarter, Nokia reported a €576 million operating loss on €7.24 billion revenue, showing that this quarter's results are quite an improvement.

The strong sales and overall improvement are on the back of 4.4 million sales of their Nokia Lumia Windows Phone devices, as previously reported, up significantly from 2.9 million in Q3 2012. Today Nokia also revealed that the company managed 700,000 sales in a traditionally weak North American market, up 40% compared to the same quarter in 2012. For the entirety of 2012, Nokia also reported that they had sold a total of 14.3 million Lumia smartphones.

Despite strong results this quarter, it didn't stop the company reporting an overall operating loss of €2.3 billion ($3.06 billion) for 2012, which is indicative of the struggles Nokia faced earlier in the year with their Windows Phone 7 range. Year-on-year overall mobile devices sales are also down by 74% from 335.6 million to 86.3 million, while "smart device" sales (Lumia and some Symbian devices) were down 81% from 35.1 million to 6.6 million.

CEO Stephen Elop said that they are "encouraged that [their] team’s execution against our business strategy has started to translate into financial results", and that the continuing restructuring of the company should hopefully deliver more value to their shareholders in the future.

With rumors afloat that Nokia will unveil new phones at Mobile World Conference in February, there is a chance that Nokia will also have a good start to this year. An aluminium-bodied Windows Phone with a high-megapixel PureView camera will hopefully improve on the generally great Windows Phone 8 foundations that the Lumia 920 made, and continue Nokia's recent bout of success.

Source: Nokia (PDF) via The Verge

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36 Comments

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They eliminated 25,000+ employees in 2012, of course they saw a financial "improvement". They have to say that its due to better sales though, they re desperately trying to stay alive.

Good job NOKIA!. I know not paying dividends sucks but you have to do what you have to do to get back to good. If it means that grumpy old men don't get a check to pay for their other home well too bad.

For Apple even good news is not good enough it seems. Hey analysts and investors who were bearish on APPLE how do you like those structured notes you are carrying around? Thanks for disrupting the rest of the market!!

Company 1 posts a profit of $13b for the quarter and has a share price of ~$500
Company 2 posts a profit of $585m for the quarter and has a share price of ~$5

Which share do you prefer to buy?

technikal said,
Company 1 posts a profit of $13b for the quarter and has a share price of ~$500
Company 2 posts a profit of $585m for the quarter and has a share price of ~$5

Which share do you prefer to buy?

If you think playing on the stock market requires only weighing those factors than its better if you don't even ask that question.

linsook said,

If you think playing on the stock market requires only weighing those factors than its better if you don't even ask that question.

I invite you to refer back to this post in a few months.

technikal said,
Company 1 posts a profit of $13b for the quarter and has a share price of ~$500
Company 2 posts a profit of $585m for the quarter and has a share price of ~$5

Which share do you prefer to buy?

I would thoroughly read the whole financial reports, and other things as well, and then decide. Profits are one of the many, many things to be checked when trading stocks. Any stock...

Cant wait for the 40+ Maga pix Lumia , I going to get one straight off the make no Questions asked, and IMO that will top sales sky high

Good news, I'm less pessimistic than I was a few months ago. How much of that is recurring revenue though? Does this 8bn profit include selling their HQ?

Nice to see them turning things around, but the profit margins are still a little slim. The holiday season gave them a bump, but they could easily dip back into the red this quarter.

They would've sold a number of additional Lumia 920s if they could get their BS sorted with Optus in Australia. Come on, I'm ready to go, LET ME BUY IT OPTUS*!

* I want it on a plan with Optus, that's why I haven't bought it outright.

Nokia/windows singed a deal with Telstra for about 6 months, where telstra are the exclusive providers.

IN Broken Hill Telstra is the only option, which sucks and no 4G to be used with the 920

Luke Baldwin said,

IN Broken Hill Telstra is the only option, which sucks and no 4G to be used with the 920

What? The 920 works perfectly with Telstra's 4G LTE network! Can't believe you guys would support Optus anyway... its Singaporean with investor stakes from other countries like the US. Support Australian industry, Telstra, the only true Australia telco!

I used to be on Optus but never again. Telstra has the best network in Australia and their costs are competitive. You get what you pay for and even if Telstra was a bit more expensive you have a phone so that it works and coverage with Optus sucks in comparison. Love my phone as it has the three way combination to make it a great experience, great hardware, very good software, great network. Job done. Lumia 800 rocks on Telstra network.

Good results but sadly the biggest thing holding them back in the smartphone area is Windows Phone which, if we were being totally honest, is still not competitive with ios and android (and if you doubt it try replying to an email with anything other than a picture, or emailing a picture at full resolution, synching with a PC(truly a nightmare), editing a playlist or syncing your Xbox 360 video purchases). Running a more mature OS would have probably seen them have better sales.

A pity they let Symbian fall so far behind, if they had paid as much attention to the OS as they did to the Pureview camera on the 808 things could have been different.

I can email attachments other than pictures, send full resolution pictures and sync with my PC without any hassles with my Lumia 920. I don't use playlists or Xbox video so I'll just have to trust you that those things don't work. WP8 is a perfectly good smartphone OS and is competitive with anything else in the market today.

jakem1 said,
I can email attachments other than pictures, send full resolution pictures and sync with my PC without any hassles with my Lumia 920. I don't use playlists or Xbox video so I'll just have to trust you that those things don't work. WP8 is a perfectly good smartphone OS and is competitive with anything else in the market today.

No, no you can check by yourself:
http://answers.microsoft.com/e...de43-4af6-8069-4626090289a3

jakem1 said,

As Oliver182 said I can attach documents from the office hub and I can send links from Skydrive to the full resolution versions of any pictures I've taken on my phone.


Did you check what is the subject of the link I posted?
Try again Sam.......

Good job, I love the 920 and the 810, that's what happens when you make good hardware along side an excellent OS.

Now they need to come out with the next high end device and this time be able to bring good supply to market. This might be why they're switching to a aluminum body for the next batch of lumias. The 920 as good as it is kept running into supply issues it seems. I have to wonder how many they would have sold had this not been the case.

oliver182 said,
Exactly, We're at the end of January and still no Lumia 920 for my country .

The lumia's with WP8 where released here on 10th of January. Didn't receive mine until few days later.
Altho it seems several of my friends are thinking of switching to WP8 devices when their contracts run out.
Getting good feedback and responses on pictures taken with the phone, the screen quality and overall GUI smoothness of the 920.
Most of them have the S3. So I think the WP8 marketshare will rise quite a bit this year.

Yeah Nokia is making profit from phones, something most Android phone manufacturers haven't figured out yet.

Motorola lost almost as much money last quarter as Nokia made.


No wonder Asus, Lenovo, Huawei, and LG are all talking about making Windows Phones in 2013.