Q2 earnings beat with strong FX tailwind Nokia delivered another earnings beat, with revenues coming 5% ahead and operating margins 80bps ahead of consensus expectations. FX was an 8% tailwind in the quarter. The topline and operating margin beats were driven by Mobile Networks and Network Infrastructure. Mobile Networks managed to grow 1% cc as strong 5G deployments in North America were offset by weakness in Europe. Growth at Fixed Networks and Submarine Networks remained strong at Network Infrastructure driven by continued Operators'' fiber investments in North America and hyperscaler connectivity buildouts. Cloud and Network Services margins were below due to SGandA investments into emerging SaaS growth areas including Enterprise and Cloud and Cognitive segments. Oppo and Vivo licensing deals were still being negotiated, with management still confident of successful outcomes by year end. Supply Chain fears lessening; FY22 guide largely unchanged Management is seeing improvements in supply chain in 2H22 and 1H23 as they are starting to see more components becoming available, which is a positive development since Q1. Falling chip memory prices could also indicate further easing of supply versus demand. Company has also mostly moved past China lockdown impacts. Despite worsening macro indicators, management has yet to see any significant impact on sales or order books through the quarter as customers continue to invest. FY22 revenue (in ccy terms) guide was left unchanged due to uncertainty around inflation and macroeconomic environment. On margins, company is trending towards middle of 11-13.5% target range despite strong 1H as management sees favourable Mobile Networks mix easing, salary increases and inflation in 2H. Remain Outperform. Increase TP slightly to EUR5.9 We remain Outperform on Nokia, increasing our revenue estimates by 1-2% and operating margin by 0-60bps. We increase our TP slightly to EUR5.9 (ADR price to USD6.0) and continue to...