Nokia Q3: By the numbers

Nokia Q3: By the numbers

Summary: Nokia continues to crumble as the firm reports significant losses. That said, there were some emeralds in the smoldering heap of the firm's third quarter. Here are the numbers you need to know.

SHARE:

Nokia's third quarter results are a small improvement on its second quarter results. A mixed results package, there are a few glimmers of light at the end of the tunnel for the Finnish phone giant.

  • Nokia saw a Q3 loss of €576 million ($754m);
  • Net sales on devices are down to €7.2 billion ($5.49bn) from €8.98 billion in the same period a year ago, a decline of 19 percent on Q2 2012;
  • Smartphones sales dropped by 37 percent in Q3 2011 on the previous quarter;
  • Non-smartphone sales increased by 4 percent on the previous quarter to 77 million, but dropped 15 percent year-on-year. 
  • Its current net cash position stands at €3.6 billion ($4.72bn) -- down from €4.2 billion ($5.17bn) in Q2. 

But Lumia sales, the Windows Phone-powered smartphone keeping the company's barely beating heart in rhythm, have declined rapidly in the past quarter. This can mostly be attributed to the decline in sales, due to the existing Lumia smartphones' incompatibility with the latest Windows Phone 8 software.

However, Symbian and MeeGo continue to hold the crown in Nokia's smartphone device portfolio, despite pushing for the Lumia lineup. The figures show a year-on-year decline by 63 percent in Nokia's 'smart' devices range: unpopularity for Symbian and MeeGo, and a tepid consumer response to the Lumia range. 

  • Nokia shipped 6.3 million 'smart' devices in total, including 2.9 million Lumia devices -- a 28 percent drop from Q2 -- meaning 3.4 million devices shipped were running the Symbian or MeeGo mobile operating systems;
  • Smartphone shipments were down from 10.2 million 'smart' devices in Q2, and down from 16.7 million 'smart' devices in Q2.
  • Compare this to recent figures by Strategy Analytics, where Samsung sold 55 million devices and Apple sold 27 million iPhones, Nokia's performance in the smartphone sector is pretty abysmal.

Breaking down the numbers by geographical area and region, Nokia lost out across all continents year-on-year, but was hardest hit in Greater China and North America where interest for Nokia feature phones are in decline. 

Europe, where Nokia is based, also saw a 19 percent decline year-on-year. However, from the previous quarter, only the Asia-Pacific and European regions saw growth.

Having said that, the firm's telecoms joint venture, Nokia Siemens Networks, showed record profits. Sales at the division rose by 3 percent to €3.5 billion ($4.58bn).

While Nokia's deep decline during the first and second quarter, the firm's share price is looking healthier again. Nokia currently looks like this:

  • Nokia's share price is up more than 8 percent on NYSE pre-market trading, but settling down around 5--6 percent in the early morning;
  • Nokia's market cap stands at $11.01 billion, around 92 times less than its peak in 2000;
  • Nokia shares have dropped 68 percent since unveiling its Windows phones strategy;
  • 15,000 employees lost year-on-year. Currently, Nokia has 105,000 employees across its entire global operations.

Topics: Nokia, Microsoft, Smartphones, Tech Industry

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Talkback

22 comments
Log in or register to join the discussion
  • "due to Nokia's unwillingness to upgrade existing Lumia smartphones "

    "due to Nokia's unwillingness to upgrade existing Lumia smartphones "

    Doesnt the fault lie with microsoft for this? Nokia cant possibly upgrade those phones due to hardware compatibility.
    hrr4
    • Good point

      Changed that paragraph. Thanks for spotting -- been a crazy morning!
      zwhittaker
    • Nokia/MS will be upgrading existing Lumia smartphones.

      Obviously they cant upgrade the hw so the sw upgrade wont have the features that supported the new hw but 900s with WP7.8 will still be better than any other phones like the ip5 and GS3.
      Johnny Vegas
  • Stick a fork in Nokia!

    They lost 3/4 of a Billion dollars, and China and North America had a heart attack on sales. Good thing the Germans are having fun blowing their retirement plans on useless endeavors, because shoveling more good rich Rhineland manure into Nokia is gonna take a LOT of beer at next year's Oktoberfest to get over!
    Tony Burzio
  • Meego

    It was very unfortunate that nokia decided to let go of Maemo and Meego. I am still carrying N9 one ot the best phones i have ever used. I also have a n900 as a backup which is literally a computer in your palms.
    hrr4
    • No those were both dead ends. Get a 920. It will be the new best phone you

      ever used and literally a better computer in your palm.
      Johnny Vegas
  • None of this is unexpected

    Anyone who has followed the Nokia timeline since its adoption of the Windows Phone operating system is well aware of the problems Nokia has suffered. Nothing is going to change fundamentally for Nokia until the new Lumia phones go on sale soon.

    Accordingly, I reject a lot of the negative comments I see on many sites relating to Nokia's past. Quite literally, that is all "history", and not necessarily representative of what will occur going forward.

    I see interest in Windows Phone 8 devices rising, as recent news of sold-out pre-orders in Europe indicate. While I don't expect iPhone owners to switch, I think owners of Android-based devices are not nearly as tied to their devices, and can be potential customers for Nokia.

    The Lumia 920 is a solid device that clearly eclipses the iPhone 5, which is only a catch-up device without any real innovation. As a recently-off-contract subscriber with Sprint, I am looking for a new smartphone, and I want to purchase a Lumia 920 when they go on sale. I don't think I'm going to be alone, either.

    With Lumias available for purchase during the holidays, Nokia has every opportunity to make a creditable showing for the 4th quarter, and hit the ground running for a successful launch of Windows Phone 8. Obsessing about Nokia's past is a waste of time, I think. Let's see what develops for here on.
    DrTechnical.db
    • In Europe

      Multi-year contracts and carrier subsidies in Europe are way less common that in the US.

      For example, where I live, one can but the iPhone for around 600 EUR with no commitment and unlocked, or for 300-400 EUR subsidised, locked and with one/two year contract. But since those contracts are relatively inexpensive, 10-30 EUR/month, it all ends up again at the price for the unsubsidised phone. Thing is, for exchange of your phone being locked you get two years of essentially free mobile service. Your choice. There is enough competition and all carriers are compatible, offering more or less the same services at the same prices.

      So the buying tendency in Europe, with regards to expensive smartphones is buy the phone unlocked and select your plans as you please. Therefore, one looks for longer-life phones, first, then brand loyalty, excitement etc. This is why Nokia used to be so popular in Europe, despite their phones lacking many features found in the competition -- they simply lasted more.

      Now, while you can expect an iPhone to last several years, while staying "current" (on features, more or less), the Windows Phone experiment has proven to be bad buy. None of those phones Nokia sold are going to be upgraded and will very soon be obsolete. That makes them feature phones, not smart phones.
      Anyone who is more excited about the latest developments, experimental features, raw performance etc will look at Android based phones, because there is where these features have focus.
      Anyone interested in longer-term stability will look at the iPhone.
      This leaves no market for the Windows Phone, except die-hard Microsoft devotees and people who like to experiment and who hope something might happen, out of the blue.
      danbi
      • The above is complete rubbish

        Most contract phones are bought locked, and on 12-24 month contracts, with the handsets subsidised by the contract, which is usually less than you will get robbed in the US.

        Pay as you go phones are also usually carrier locked too.
        neil.postlethwaite
      • Thats completely false. The 900s will be upgraded to WP7.8 and will be

        better phones than the iphone5. Better, not obsolete. nor do iphones stay current, they just give the os the same number to fool people. MS could have called WP7.8 WP8 too and tried to fool people like apple but they didnt. The things the 920/WP8 can do that the 900/WP7.8 cant are the same things the iphone 5 cant do. Like OIS, NFC, etc. that require new hw that neither the 900 nor the iphone 5 have. A 900 with WP7.8 is a much better phone than an iphone5 or samsung s3. An iphone 4s "upgraded" to io6 doesnt even come close. And no sorry on raw performance WP kicks android senseless. android on a quad core is slower than WP on a single core. And it's less secure, and it's less stable, and the apps crash, hang, and need to be killed. And the ux is vastly inferior.
        Johnny Vegas
    • Can't find anyone offering it, no sold outs anywhere.

      Had a rummage around UK networks and can't find anyone offering it.

      ...no sold outs anywhere.

      Are you mis-informed.

      Plenty 800's in the sh1t bin though
      neil.postlethwaite
  • Nokia Q3: By the numbers

    And next quarter when the 920 is released sales will be up. A non story.
    Loverock Davidson-
    • Next quarter

      What happens next quarter will be reported then. This article is about the facts so far.

      Poor Nokia, to believe anything Microsoft. But then, one pays for their own mistakes.
      danbi
    • Correction

      And next quarter the 920 is released it will be a non story.
      Alan Smithie
    • Even Nokia say Q4 will suck

      Even Nokia say Q4 will suck as well, with W8 handsets building into next year.

      Have you not read the advance copy of the press release Microsoft would have sent yesterday to their employee's/acolytes.
      neil.postlethwaite
      • Of course the next quarter will suck. WP8 wont be out for the first month

        of it. But after that Nokia will see a nice ramp up.
        Johnny Vegas
  • Microsoft Kiss of Death, again

    Same ocurred with Palm, once they get married to MS, they are done.

    They should had kept Symbian, or use Android instead of putting all their bets on an orphaned OS unable to drive more than 1 core, something than any decent modern OS is able to do.
    theo_durcan
    • WP is not an orphaned os. MS will be in the WP os world for a long time to

      come. As for WP7.x no it is not orphaned either. It's getting a 7.8 update. In fact it's a lot less orphaned than ios5 or android jb. As far as single core goes they had no reason to use more as WP on single core still out performed android on dual and quad cores. Why would they drain the battery when they dont need to? That's why android battery life on those equivalent era hw sucked so horribly bad. That android needed to power battery draining multicores and still came in last in performance shows that it is not a decent modern os. On top of that its a security nightmare where WP is rock solid.
      Johnny Vegas
      • Re: MS will be in the WP os world for a long time to

        Tell that to the Windows Mobile users.
        ldo17
  • God would be unable to spin this

    "Nokia shipped 6.3 million 'smart' devices in total, including 2.9 million Lumia devices -- a 28 percent drop from Q2 -- meaning 3.4 million devices shipped were running the Symbian or MeeGo mobile operating systems;"

    "Smartphone shipments were down from 10.2 million 'smart' devices in Q2, and down from 16.7 million 'smart' devices in Q2."

    "However, Symbian and MeeGo continue to hold the crown in Nokia's smartphone device portfolio, despite pushing for the Lumia lineup. The figures show a year-on-year decline by 63 percent in Nokia's 'smart' devices range: unpopularity for Symbian and MeeGo, and a tepid consumer response to the Lumia range. "

    You could not positively spin this, even with Omnipotent Powers.

    - Windows Phone 7 down
    - MeeGo down, though killed at birth, hardly surprising
    - Symbian down, but still shipping more than Windows Phone even after 18 months - LOL

    Nokia are a patent bucket, Nokia Siemen's Networks, with a rapidly disappearing cash pile.

    They might as well go into liquidation now, before more of the cash pile is torched.
    neil.postlethwaite