Company: NOKBF
Filing Date: 2025-10-23
Form Type: 6-K
Source: 0001104659-25-101680
Chunk: 13

Company: NOKIA CORP
Filing Date: 2025-10-23
Form: 6-K
Chunk 13
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23 October 2025           
 3                                                                                                  |

| Financial                                                                                            
 Results Q3 2025 compared to Q3 2024 Net sales In Q3 2025, reported net sales increased 12%           
 due to the factors discussed in the next paragraph along with the acquisition of Infinera            
 that was partially offset by foreign exchange rate fluctuations. On a constant currency and          
 portfolio basis, Nokia's comparable net sales increased 9%, driven by Network Infrastructure         
 growth of 11%. Network Infrastructure grew in all business units, particularly in Optical            
 Networks. Mobile Networks grew 4% with strength in radio access networks. Cloud and Network          
 Services grew 13%, reflecting strength in core networks. Nokia Technologies net sales grew           
 14% reflecting new deals signed in Q3 2025. Gross margin Reported gross margin decreased             
 150 basis points to 43.7% in Q3 2025 and comparable gross margin decreased 150 basis points          
 to 44.2%. The decrease in gross margin reflected lower gross margin in Mobile Networks and           
 Network Infrastructure related to product mix, partially offset by strength in Cloud and             
 Network Services. Operating profit and margin Reported operating profit in Q3 2025 was EUR           
 239 million, or 5.0% of net sales, down from 6.4% in Q3 2024. Comparable operating profit            
 decreased 10% to EUR 435 million and comparable operating margin was 9.0%, down from 11.2%           
 in Q3 2024. Operating expenses increased due to the Infinera acquisition and were partially          
 offset by cost reductions in Mobile Networks. Net negative fluctuation in other operating            
 income and expenses reflected mainly the absence of reversal of loss allowances which benefited      
 Q3 2024. The decline in both operating profit and operating margin was primarily related             
 to the lower other operating income contribution. The impact of hedging in Q3 2025 was positive      
 EUR 39 million, compared to a negative impact of EUR 5 million in Q3 2024. In Q3 2025, the           
 difference between reported and comparable operating profit was primarily driven by the amortization 
 and depreciation of acquired intangible assets and property, plant and equipment of EUR 115          
 million, EUR 44 million of restructuring and associated charges and EUR 25 million related           
 to the release of acquisition-related fair value adjustments to deferred revenue and inventory.      
 In Q3 2024, the difference between reported and