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Nokia Siemens Q4 tops forecast

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CIOL Bureau
New Update

CALIFORNIA, USA: Nokia's telecom gear venture Nokia Siemens Networks posted profit above average forecasts on Thursday and said it could report a first-quarter loss.

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Nokia Siemens Networks, a 50-50 venture of Nokia and Siemens, has struggled to make a profit since its 2007 start amid falling operator spending and fierce pricing from Asian rivals Huawei and ZTE Corp.

An October-December underlying operating profit of 145 million euros ($198.7 million) was down from 201 million euros a year earlier and compared with a forecast for a 127 million profit in a Reuters poll.

Nokia Siemens said it expects first quarter sales to be between 2.8 and 3.1 billion euros, while the underlying operating profit margin would be between a negative 3 percent and break even. Analysts in the poll had forecast for sales of 2.91 billion, and profit margin of 0.8 percent.

Nokia Siemens' larger rival Ericsson earlier this week forecast strong demand for mobile broadband equipment in 2011 after its sales grew for the first time in two years

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