Nokia has released its Q3 2012 results, reporting an operating loss of €576 million, with net sales of €7.239 billion (down 19% YoY). Nokia's Devices and Services division's losses were €683 million. The margin in Devices and Services was -19.2% (down from 3.1% in Q3 2011 and down from -11.8% in Q2 2012). Total smartphone device sales were 6.3 million (2.9 million Lumia), compared with 16.8 million units in Q3 2011 (down 63% YoY) and 10.2 million units in Q2 2012 (down 38%, QoQ).
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Nokia Store, the application and game download service for Nokia's Symbian and Series 40 devices, now serves more than 16 million downloads a day and has reached a cumulative total of 6 billion downloads. Just over half the daily downloads comes from Series 40 devices, with the remaining downloads mainly coming from Symbian devices.
Big software house Digia has announced that it has 'signed an agreement to acquire Qt software technologies and Qt business from Nokia'. Once the acquisition is completed, Digia will become responsible for all the Qt activities formerly carried out by Nokia, including product development, licensing and service. Digia 'plans to quickly enable Qt on the Android, iOS and Windows 8 platforms'. As part of the transaction, a maximum of 125 people from Nokia will transfer to Digia, mostly based in Oslo, Norway and Berlin, Germany.
Nokia has released its Q2 2012 results, reporting an operating loss of €826 million, with net sales of €9.275 billion (down 19% YoY). Nokia's Devices and Services division's losses were €471 million. Margins in devices and services were -11.8% (down from -4% in Q2 2011 and down from -5.2% in Q1 2012). Total smartphone device sales were 10.2 million (4 million Lumia), compared with 16.7 million units in Q2 2011 (down 39% YoY) and 11.9 million units in Q1 2011 (down 14%, QoQ).
In a press release this morning, Nokia has revealed plans to "sharpen its strategy, improve its operating model and return the company to profitable growth". The company will be cutting up to 10,000 jobs by the end of 2013, closing its famed Salo factory in Finland, making a series of targeted investments around location and product experiences, making changes to improve the competitiveness of its feature phone business and making chnages to its leadership team.
Nokia also updated its financial guidance for Q2 2012, indicating that competitive industry dynamics are negatively affecting its smartphone business to a greater extent than previously expected. As a result non-IFRS Devices & Services operating margin will be below the Q1 2012 level of -3%.
I've commented before on the size of Symbian's installed base of active users, pointing out that it's larger than most industry commentators would have conceived. However, with Symbian smartphone sales on something of a decline in recent months and with Android device sales still rising, it was clear that at some point the active installed base of the two smartphone OS would switch positions. According to my calculations this happened recently - Android has overtaken Symbian and is now the most used mobile OS on the planet - see the helpful chart below.
Following last week's profits warning, Nokia has released its formal Q1 2012 Results, reporting a non-IFRS loss of EUR 260 million, on net sales of EUR 7.3 billion (down 29% YoY). Nokia's 'Devices and Services' division's loss was EUR 127 million, compared to a profit of EUR 292 million in Q4 2011). Total smartphone device sales were 11.9 million, compared with 24.2 million units in Q1 2011 (down 51% YoY) and 19.6 million units in Q4 2011 (down 39%, QoQ). Gross profit margins on smartphones in Q1 were 15.6% (down from 28.9% YoY). Quotes and comments below.
Ahead of the announcement of its quarterly results next week, Nokia has issued a statement warning that earnings, margins and device sales in its key Devices & Services division will be lower than expected for the first quarter of the year and that there will be little improvement in the second quarter. Nokia's current estimate for quarter one is that non-IFRS Devices & Services operating margins will be -3% (down from expected break even), with similar or lower figures anticipated for the second quarter.
Nokia hold their MWC press conference today, with a kick off time of 08:30 CET (7:30 GMT). We're expecting multiple device announcements from across Nokia's portfolio. From this story you can follow our live coverage, coming direct from MWC in Barcelona. You can also follow our coverage on Twitter at @aas and @AA_WP.
Nokia has announced details of its Mobile World Congress activities on Nokia.com. Exactly what Nokia is announcing is open to speculation (strictly no comment from the AAS team, as usual!), but the company is set to hold a press event on Monday 27th. There's also a developer day and, as part of the GSMA conference program, keynotes from Thom Brenner (VP Applications) and Stephen Elop (CEO).
Nokia has announced planned changes at its factories in Komarom (Hungary), Reynosa (Mexico) and Salo (Finland), to "increase efficiency in smartphone production". These three factories will now focus on "smartphone product customization" and device assembly is expected to be transferred to Nokia factories in Asia, where the majority of component suppliers are based. Around 4000 employees will ultimately be lost.
I've been very impressed by the technical knowhow of 'theycallthislife' and there's a new post up comparing the cameras of the Nokia N8, Apple iPhone 4S and Samsung Galaxy S II, the three best camera phones in the world right now. With good example shots that can be examined in full detail and with interesting analysis, it's well worth a ten minute read. As to the winner, let's just say that the iPhone 4S comes closer than any other contender has in the eighteen months the N8 has been available....(!)
Corning, the company behind the Gorilla Glass in our smartphones, has produced another of its inspirational 'here's the future' videos and, as with the original one, it's well worth watching. There are two versions of the video, actually, I've embedded the expanded one below, complete with video guide to all the (probable) tech used. Seems like touchscreens really are the new buttons? [PS. Watch out for the medical sequence - it's something we're used to seeing only in Sci-fi]
Most of the numbers are now in for Q4, 2011 and, while some are estimates, we now have a pretty good idea of the state of the mobile industry for the last quarter. Phones grew 6% year on year, smartphones by a whopping 63%, with the latter now at 36% of the overall market. The top three companies were the same by either metric - Apple, Samsung and Nokia are way ahead of the rest.
The news that Nokia just handed over its one and a half billionth Series 40 phone was interesting - and impressive - and got me thinking and fact-checking. Just how many Symbian-powered smartphones have been sold, in total, i.e. in the last decade? Turns out it's now well over 500 million, i.e. over half a billion Symbian smartphones have already been sold and are... out there in the world somewhere. Some thoughts below.