Event in Progress:
Discover the latest content that has just been published on Research Tree
Following the poor results of Ericsson last week, the market had sanctioned Nokia in anticipation. However, the sound results in its two largest business units have proven to be resilient, and the strong dollar impact combined with the improvement in operational efficiency has offset the rise in costs. The business remains supply constrained, but the supply chain is expected to ease in the next half year, which should unlock higher growth in sales for Nokia.
Companies: Nokia Oyj
The list of the headwinds impacting Nokia’s first quarter is long and it might have seemed reasonable to assume that the financial figures would be soft. However, Nokia delivered a strong beat in all financial metrics for its first quarter report, and we believe it is well set to reach the high-end of its FY22 guidance.
Nokia has published decent results, broadly in line with consensus after it published last month a preliminary statement to warn the market its margins would be above guidance for both FY21 and FY22. The positive news comes from the announcement of a share buy-back programme of €600m.
This is a special report on Nokia Corporation – the Finnish telecom giant with one of the most radical business transformations ever seen. The company was once a global leader in a rapidly evolving mobile phone market where its market share was destroyed. After some heavy management changes, Pekka Lundmark took over the reins of Nokia and it has now evolved to become a trusted hardware partner for telecom networks with a strong commitment to innovation and technology leadership across mobile, fi
Nokia has published strong Q3 results, putting aside concerns about profitability levels due to the loss of the Verizon contract a year ago. Although it has had some consequences on the Mobile Network segment numbers, Nokia has generated growth in all other sectors through the emphasis on new technology.
Nokia has already warned the market that the results would be better than previously guided, and we were not disappointed! The results came in above consensus and guidance has been re-adjusted positively.
Nokia posted an excellent set of results, with better-than-expected sales driven by unexpected growth in Networks. The positive contribution of this segment to EBIT is a positive surprise.
Nokia released a decent set of results, with a slight positive surprise on both sales and profitability. Going forward, the guidance is in line with estimates.
Overall, Q3 results were not exciting and the outlook was clearly disappointing. We see downward pressure on our estimates owing to the new guidance provided by the management. We will therefore trim our estimates.
Nokia achieved a strong Q2 performance despite multiple headwinds. The company posted a strong level of profitability which was above consensus expectation, along with a solid cash performance. This gave management more confidence on the FY20, leading to an increase in the guidance.
Nokia’s first-quarter results were in line with the consensus and our expectations. The company saw the first COVID-19 impacts in Q1, but Q2 will be the most impacted. As a result, the company slightly lowered its FY20 guidance. We, however, remain confident of its prospects beyond 2020.
Nokia’s results’ beat provides some relief and meets 2019 guidance, while the 2020 guidance is left unchanged. We expect soft growth in 2020, offset by improving profitability. The company made significant progress towards a new, and competitive, SoC, which should give the company a better competitive solution going forward.
Nokia has published a solid Q3 quarter, which came in line with expectations, i.e. softer than Q2. However, due to the materialisation of risks already identified by the company, the company has trimmed its guidance meaningfully.
Nokia has reported a strong Q2, sustained by 5G deployment in North America and South Korea. The company has also made significant progresses on the profitability side, which in our view helps the company in achieving its FY19 objectives. The company has also upgraded its views regarding the end-market, which is now expected to grow in 2019 and accelerate in 2020, driven by 5G deployments in the US, South Korea, Japan and other leading 5G markets.
Nokia has experienced a weaker Q1 than previously anticipated, but management remained optimistic in its ability to fulfill both its 2019 and 2020 objectives. FY19 will be, as was the case in 2018, a back-end loaded year. Also, we believe that Nokia has the right portfolio to address the incoming 5G needs.
Research Tree provides access to ongoing research coverage, media content and regulatory news on Nokia Oyj.
We currently have 28 research reports from 4
Reaching the Inflection Point
Companies: CyanConnode Holdings plc
CyanConnode is a market-leading provider of telecommunications technology in the smart meter industry and is currently geared towards the vast expansion programme of electricity meter set out by the Government of India. In the past year it has built on its prior success, growing revenue by c50% and reducing net losses by c60% bringing it closer to profitability. CyanConnode trades on an FY1 EV/Sales multiple of 2.7x, which is a discount to its peer group trading on 4.1x. This leads us to an impl
Companies: SRT Marine Systems plc
No leavers today.
Leavers: No leavers today.
What’s cooking in the IPO kitchen?**
Milton Capital Plc, a new type of special purpose acquisition company, intends to join the Standard Segment of the Main Market. The directors intend to search initially for acquisition opportunities in the technology sector. The focus for the prospective acquisition is megatrends. This includes sectors such as space, artificial intelligence, machine learning and blockchain technology. Ticker upon admission
Companies: VRCI BRCK FUM INDI ORR OBD QFI RGD REDX SRT
SRT Marine has today issued a trading update for the six months ending 30
September 2022. H1 23 revenue of £18.8m was up considerably (300%) on
the £4.7m reported at H1 22. The principal driver of this growth is the fact
that the Systems division passed a number of key milestones, generating
revenue of c.£13.6m, up from £0.5m the year before. Management
estimates that a minimum profit before tax of £1.5m was generated in the
period, versus a loss of £3.1m at H1 22. The statement confirms
Progressive Equity Research
FY22 results confirm that the year to March was in line with expectations. Systems deployments were delayed by lockdowns so virtually all the sales were from the Transceivers business, itself struggling to meet growing demand while constrained by component shortages. Meanwhile, SRT continued to invest in its product portfolio and capability to deliver multiple large Systems projects around the world, resulting in a significant loss for the year. However, that investment has substantially improve
Friday's market sell off saw some violent downward moves in many stocks with little initial differentiation between sectors or the key drivers of businesses, creating significant share price drops in a number of higher quality or uncorrelated names. We take a look at some stocks we believe have either seen an unwarranted sell-off, have seen weakness go under the radar or where there is now a more attractive opportunity.
Companies: ANX IBPO CYAN SOM EQT AFM
CyanConnode has steadily been making progress in India, where the national smart meter programme has been gathering pace. In July 2022, the company crossed the one million mark for meters connected to its RF network across nine Indian states. This is the aggregate RF device number in India connected since 2014 and represents market share of 22%. The latest update from the company states an order book of 2.6m RF nodes for India. Performance of smart meters is a critical aspect of the Indian progr
Hardman & Co
Significant contract resumed and further cost cuts
CyanConnode released a solid trading update on 12 January which confirmed the Group was trading in line with market forecasts and demonstrated the renewed momentum the Group has seen in the past 12 months as COVID restrictions have eased and deliveries have accelerated. With a cash balance at end of December of £1 million, we believe cash will have been received from customers post period end. We understand debtors are in the region of £5.5m in India alone and with the Indian subsidiary now bein
A bland trading update with Q1 service revenues up by 2.5% yoy and lfl (vs+ 2.5% in Q4).
We maintain our opinion at Buy. The stock is currently around the 130p level. We are still waiting for a catalyst to boost the stock which remains discounted to its peers due to the scepticism and mistrust towards its CEO (under fire after missing opportunities in Italy, Spain and with Vantage).
Companies: Vodafone Group Plc
Companies: BATM Advanced Communications Ltd.