Deficit widens in mobile division, while revenues also fell on a sequential and yearly basis
Nokia has revealed its devices and services business made a loss of €326m (£269m) in Q1 – up from €198m (£163m) in the last quarter and €120m (£99m) a year ago.
The unit brought in revenue of €1.9bn (£1.6bn), which was down 27 per cent sequentially and 30 per cent year-on-year.
Nokia didn’t reveal how many devices it sold or break numbers down for Windows Phone, but said feature phone sales were down from last year while Lumia sales were up. Both, however, were down compared to the previous quarter.
The manufacturer added: “On both a year on year and sequential basis, our Mobile Phones net sales were affected by competitive industry dynamics, including intense smartphone competition at increasingly lower price points and intense competition at the low end of our product portfolio.
“Our Smart Devices net sales were affected by competitive industry dynamics including the strong momentum of competing smartphone platforms.”
Nokia added the average selling price (ASPs) for both its feature phone and smartphone units declined both quarter-on-quarter and year-on-year, but again didn’t provide any further details.
Overall for the Group, revenue for Q1 fell 23 per cent from Q4 2013 and 15 per cent from the same three month period a year ago to €2.66bn (£2.2bn) while profits were down 26 per cent sequentially but increased 20 per cent year-on-year to €304m (£251m).