Ericsson: Q3 results frowned on
(CercleFinance.com) - On Tuesday Ericsson reported quarterly results that were up, benefiting from the deployment of 5G networks, although it also said that its revenues had been affected by market losses in China and by the current shortage of components.
In early trading, shares of the world's leading mobile network equipment supplier were down over 3% in Stockholm, while the European technology share index was up 0.6%.
Q3 operating profit came in at 8.8 billion kronor (about 880 million euros), compared with 8.6 billion a year ago.
The gross margin, an indicator closely watched by analysts, was 44% in the third quarter, compared with 43.1% a year ago.
However, revenues fell to 56.3 billion kronor, compared to 57.5 billion kronor in Q3 2020.
In its press release, Ericsson explained that from the end of Q3 onwards it has been affected by current difficulties in the supply chain, which it believes will continue.
The telecoms company also said it had decided to postpone its 9 November CMD until next year, so it can hold a "face-to-face" meeting in 2022.
Copyright (c) 2021 CercleFinance.com. All rights reserved.
In early trading, shares of the world's leading mobile network equipment supplier were down over 3% in Stockholm, while the European technology share index was up 0.6%.
Q3 operating profit came in at 8.8 billion kronor (about 880 million euros), compared with 8.6 billion a year ago.
The gross margin, an indicator closely watched by analysts, was 44% in the third quarter, compared with 43.1% a year ago.
However, revenues fell to 56.3 billion kronor, compared to 57.5 billion kronor in Q3 2020.
In its press release, Ericsson explained that from the end of Q3 onwards it has been affected by current difficulties in the supply chain, which it believes will continue.
The telecoms company also said it had decided to postpone its 9 November CMD until next year, so it can hold a "face-to-face" meeting in 2022.
Copyright (c) 2021 CercleFinance.com. All rights reserved.