Nokia Corporation - Financial Report for Q1 2021

Sales growth in Q1 driving margin increase and strong cash generation

- Strong start to the year with constant currency net sales up 9% year-on-year, driven by strong growth in Network Infrastructure and solid growth in Mobile Networks; reported net sales increased 3%
- Enterprise constant currency net sales up 18% year-on-year, as we gained 63 new customers, more than doubling the number we added in Q1 2020; reported net sales increased 14%
- Comparable gross margin of 38.2% (reported 37.9%), reflecting improvements in Mobile Networks, mainly driven by 5G growth and favorable product and regional mix, and broad improvements across Network Infrastructure
- Comparable operating margin of 10.9% (reported 8.5%), with improvements in comparable operating profit across all business groups
- Comparable diluted EPS of EUR 0.07; reported diluted EPS of EUR 0.05
- Strong cash flow performance, driven by operating profit and good collection of receivables
- Solid liquidity position, with net cash of EUR 3.7bn and total cash of EUR 8.8bn
- Executing well on three-phased approach to achieve sustainable, profitable growth and technology leadership set out at Capital Markets Day
- Full year 2021 and 2023 outlook maintained

FULL PRESS RELEASE