HELSINKI, FINLAND — Finnish telecommunications equipment manufacturer Nokia reported a net loss of 68 million euros for the first quarter, attributing the downturn to ongoing tariff disputes and a “rapidly evolving global trade landscape.”
The company indicated that tariffs imposed by the United States could lead to “some short-term disruption” in its operations.
“We are not immune to the rapidly evolving global trade landscape. However based on early customer feedback, I believe our markets should prove to be relatively resilient,” stated Justin Hotard, President and CEO of Nokia, in an official release.
Hotard further commented on the immediate financial impact, saying, “Based on what we see today, we currently expect a EUR 20 to 30 million impact to our comparable operating profit in the second quarter from the current tariffs.”
This month saw the implementation of a 10 percent tariff on global imports by US President Donald Trump. However, plans for higher duties on numerous countries, including a proposed 20 percent levy on goods from EU nations, have been temporarily suspended.
Nokia also reported net sales of 4.4 billion euros ($4.9 billion), reflecting a one percent decrease compared to the same period last year. In the first quarter of the previous year, the company had recorded a net profit of 438 million euros.
Looking ahead, Nokia anticipates growth across its Network Infrastructure, Cloud and Network Services, and Mobile Network segments to drive sales in 2025.
Coinciding with the release of its first-quarter report, Nokia announced a contract extension with T-Mobile US on Thursday, noting that the company continues “to see positive signs of stabilization” within its Mobile Networks division.
