Nokia goes deep in the red in the second quarter, smartphone sales collapse to 16.7 million

Nokia goes deep in the red in the second quarter, smartphone sales collapse to 16.7 million
Nokia, the company which shaped the smartphone market back in 1996, swings deep in the red in the second quarter after smartphone sales collapsed by 31% to 16.7 million units with operating loss amounting to nearly $692 million (487 million euro). The company struggles to sell Symbian smartphones as the decline of smartphone sales amounted to the whopping 7.6 million in comparison to the 24.3 million smartphones sold in the first quarter. Nokia's CEO Stephen Elop has reportedly admitted that the results were "clearly disappointing," while Nokia's official statement clarified that challenges "manifested in a greater than expected way in Q2 2011." 

This means that Apple's iPhone which triggered Nokia's decline back in 2007 and Apple has become the biggest smartphone maker in the world. Cupertino was thriving with sales of 20.3 million units for the quarter is now selling more than Nokia smartphones. Samsung, Nokia's other big rival, sold 13.6 million smartphones last quarter and might also outgrow the Finns in terms of smartphone sales. At the same time, the anticipated Nokia Windows Phone savior is coming up only as early as the end of the year. 

Nokia's went into the red with a net loss of $521 million (368 million euro) compared to a net profit of $322 million (227 million euro) for the same period last year. Nokia's net sales decreased to $13.19 billion (9.275 billion euro) in the quarter, down from nearly $14.2 billion (10 billion euro) in Q2 last year. The company also posted negative earnings per share of -$0.14 (0.1 euro).

Analysts expected the Finnish company to post earnings of 3 cents per share with revenue standing at just above $13 billion. Two months ago, in May, Nokia has revised its earlier guidance on phone revenue saying that it won't be able to meet its target of more than some $8.7 billion (6.1 billion euro).

Back in February, Nokia shocked the industry when it announced that it's abandoning Symbian and is adopting Windows Phone as its main platform. Since then, the company's shares have halved in value with market share collapsing faster than that of any other company in the history of the industry.

source: Nokia



1. dionddc

Posts: 129; Member since: Jul 19, 2011

Samsung sold at least over 19 million smartphones in Q2. How come that wasn't mentioned?

15. The_Miz

Posts: 1496; Member since: Apr 06, 2011

Because Samsung spends their time copying Apple?

53. Heatfan316 unregistered

And you spend your time copying the real Miz,let me tell you something kid, Samsung put out a product that looks similar to what apple has on their home screen but when you copy something it has to be exactly the same that's what copy means in case you didn't know, maybe the Miz should file a lawsuit on you for impersonating his wresting character.Just a reminder from your friendly neighborhood troll hunter.

54. Heatfan316* unregistered

So heatfan.. Im copying your name but it is slightly different.. Is this not Copying? YES! Im not an Apple fan but what Miz is saying is that Samsung has pretty much "copied" the look of how the IPhone looks.. look at them side by side! Is "The Miz" copy protected? is it Trademarked? I dont think so. You should look up "copy" ( And troll hunter? You like to hunt trolls? get real! Little Kid! Grow up!

60. Heatfan316 unregistered

And yes you are a crapple fan only an immature fanboy would talk like that. Android fans don't talk like that, this is you Miz your so immature you can't even hide it.

70. dionddc

Posts: 129; Member since: Jul 19, 2011

@The_Miz Apple copied Motorola though. The only reason they copied Apple is because Apple is s**t, and Samsung improved on their designs. That's why people are moving to Android.

27. Victor.H

Posts: 1079; Member since: May 27, 2011

Thanks for the input, dionddc, it seems like that's only analysts' estimates for sales (and that's why it's not included, even though it sounds credible). We'd appreciate if you could share a link to any official data for that!

31. gallitoking

Posts: 4721; Member since: May 17, 2011

.............. thats what i thought..... no link

35. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@dionddc. Samsung only sold 13 million smartphones in the last quarter, and it is stated in this article.

71. dionddc

Posts: 129; Member since: Jul 19, 2011

@530gemini In all honesty, all those who asked for a link - this shows how dumb the community is here. I could own all you iPhone retards in an argument. 530gemini, this shows how much of an idiot you truly are. That 13.6 million smartphones is more likely for Q1 of this year. It's Phone Arena - they always use outdated statistics to make Apple look bigger than it really is. There's your link. 19 million smartphones. Samsung is increasing way faster than Apple. The lack of research and knowledge the iOS fans have in this community is lackluster. You should learn to listen to the latest forecasts, instead of just assuming that the "last quarter" means the "latest quarter". I hope you realise how much of a dumbass you are 530gemini, for actually believing Samsung only sold 13.6 million smartphones in Q2. That was Q1. It shows how stupid you really are. You're still living in 2007, and you fail to see the trend. I'd wish you luck in whatever career path you're undertaking, it better not involve being smart though.

49. messiah

Posts: 438; Member since: Feb 19, 2010

"it announced that it's abandoning Symbian and is adopting Windows Phone as its main platform. Since then, the company's shares have halved in value " isn't that a great testimony of how disappointing Wikndows platform is? i mean, to bring the number one company and destroy their sales in less than 6 months?

2. Mat4Maemo unregistered

Poor Nokia, they invented something as unnecessary and pointless as smartphone and than came bad guys and started selling and producing them better than our heroes. Today they struggle to survive in this wild and so mad world of cellphone industry where it is so hard to sell things which nobody really needs because others sell the same thing better. They have to live on a broken penny, lower than my grandmother retirement rate, that is almost 17 millions a quarter. POOOOOOOOOOOR NOKIA......

5. ilia1986 unregistered

You're clearly an idiot. First of all why on earth smartphones are useless? You're just a troll. Second of all - for a company that used to dominate the market until 2007 - that's a huge hit. Not saying that that's not their fault - but nevertheless. So yeah - bad news for Nokia. I just hope Apple sinks down someday as well..

18. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

From my experience with my brothers Windows Phone 7, I have to say that Nokia STILL has a fighting chance. Windows makes more money from Android phone sales than they do from their WP7. So now they can theoretically invest double the amount of money that they have been investing in WP7. Also this new Mango update includes 500 NEW features. That is truly impressive. With all that Windows is putting into WP7 & Nokia's great hardware I feel that Windows Phone 7 is primed to become something VERY strong. I think that WP7 OS is very intuitive, extremely smooth & fresh, everything that Apple's iOS is not. Nokia didn't get hurt from their hardware, they got hurt on their OS. With the feature rich WP7 OS & Nokia's great hardware, I think this combo can do some serious damage. Who knows maybe even take a bite out of Apple's pie. Maybe in the next 4 years Apple will be in Nokia's boat, because iOS is the most stagnant OS out right now. People ARE getting BORED with iOS!

20. ilia1986 unregistered

Exactly.. I so wish that Apple and it's iSheep burn down together.. I would like to see a future in which only open source OS would dominate. Sure, WP7 isn't quite Android - but MS actually let's people hack it and install it on devices like the HD2, unlike Apple which continues to be ignorant and arrogant about it.

25. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Couldn't have said it any better, well maybe the burning of iSheep. Now if you meant it on a metaphorically level then yes. (Which I think you did.) If it was literal then I can't condone the burning of people even if they are iSheep. lol Just having a laugh, but I do get what you are saying though! :-)

32. gallitoking

Posts: 4721; Member since: May 17, 2011

and now is where you two hold hands and look a the sunset... jk.. is funny how you critize Apple for not giving options to customer, and u dont want to have competition.. there is no denying that Apple set the bar high.. but we need Apple just as Batman needs the joker....

34. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Yes & no. Apple doesn't play well with others. This mobile market was strong before Apple & will be after Apple. I think that if Windows steps up & makes a difference in the mobile game then the market will keep getting stronger. Apple is a company who succeeded because they stole ideas from other corporations. Apple infringed on Nokia’s patents & became what they are now because of it. How can Apple be allowed to have any patents of their own when these new patents they have, resulted from patents stolen from Nokia? Nokia didn't resort to banning Apple, they just make them pay royalties. Apple is trying to ban because they fear the competition. At one time Apple was the very best phone out. That is not the case anymore. Apple knows this & that is why they want to ban HTC & Samsung. If they win the banning of course then they will go after Motorola, & LG because they too have better phones than Apple at this moment. So we really don’t need Apple. The mobile market is too healthy with or with out Apple!

39. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Ohh I forgot my DC comics reference. The mobile market is Superman & Apple is kryptonite. All we need is to get rid of the kryptonite & Superman will be as he always was & will be in the future, STRONG! I know you will like that one gallitoking!

46. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@superfandroidevo. WP is stepping up alright, and that will be the demise of android :) Android is the one that stole everything from iOS. That's the only reason why people are buying android devices. Coz it's just like the iphone, but it's cheaper, and is more open. Apple pays for licensing fees, unlike google who just rips off ideas from Apple. What? Nokia didn't resort to have Apple products banned? Then how would you explain this. Hahaha. Nokia was the one who tried to have Apple products banned first, not the other way around. So I guess Nokia was afraid of Apple, and they should :) You don't know what you're talking about. Shame, shame, shame :)

50. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

That was in 2010 last year when Nokia was desperate because Apple gobbled all their market share. In 2007 Nokia didn't need to resort to that because they were the king of the mobile market. Nice try though. I know exactly what I am talking about. Apple is king now but they are scared & want to eliminate competition because they can’t make the better products anymore. That is cowardly & weak. lol Apple infringed on Nokia's patents thus the patents that Apple came up with a result should not count. If Apple can do it and become the behemoth that it is, why can’t anyone else do it? Why is it good for Apple but not good for everyone else. It's a very hypocritical thing. Kind of like how hypocritical iSheep are! Dude I love how this is a Nokia article yet you 530gemini can make this an Android vs. Apple thing. lol

61. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@superfandroidevo. And now comes the excuses because I proved you wrong :) It still doesn't change the fact that you said that Nokia didn't resort to having Apple banned, when they did :) Gotcha :) Just admit it. You think it's ok when the others want to ban Apple, but it's not when Apple requests to ban the others, right? Come on....just admit it mr fandroid, hahahaha. I love proving you wrong all the time. You're probably turning red :) Fandroids are sooooo ignorant :)

43. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@superfandroidevo. Here he goes again with his relatives, lol. You said that the iphone is not intuitive, not smooth, and not fresh. Wow, those are exactly the core things that made the iphone a huge success, lol. What? Nokia didn't get hurt on their hardware but only on their OS? They lost money. I think that would hurt them as a whole, lol. What? iOS is a stagnant os? So you mean to say that iOS from 2007 and iOS5 are the same? People are getting bored with iOS, but they're growing and growing and has a 70% user satisfaction. Wow, the facts really support your findings, lol. Nice one superfandroidevo.

45. ngo2dd

Posts: 896; Member since: Jul 08, 2011

Ya and iOS user are the dumbest of all the users. 38% of them believe that have a 4g phone? So what is your point?

47. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@ngo2dd. The reason that some ip4 users believe that their iphone4 is a 4g phone, is because of its name iphone 4. And also because it works so well, comparable to any 4g phones :)

51. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Yeah an iPhone 4 is in the same league as any 4G phone, sure. lol That is funnier that the stupid Apple owners who think an iPhone 4 is 4G. lol

62. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@superfandroidevo. But it's true. Check out the latest smartphone comparison here on PA. The iphone works just as fast as the droid3. The droid3 is only a tad faster, and the iphone is still the more smoother and more responsive device :)

67. ngo2dd

Posts: 896; Member since: Jul 08, 2011

Droid 3 is not a 4g phone, and the loaded the webpage faster too? so what is your point?

59. AndroidtopsApple

Posts: 7; Member since: Jun 07, 2011

hmm.. If IPhone 4 users think they have a 4g phone just because of the name, then clearly that means they dont buy an IPhone because of its technologies.. its because "their friends" have it.. and think that "it's cool" to have one.. When I ask friends and random users why they bought an IPhone.. Majority of them say: Because everybody has one. But When you ask an Android user, its because they want to program apps or use it in everyday Productivity. Not just to play music and have Itunes

63. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@androidtopsapple. And who has the most quality apps again? It's the iphone. And which platform developers favor again? It's iOS. So you are definitely wrong in saying that iOS devices are only good in playing music. Another ignorant fandroid :)

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