Nokia Sold “Over 1 Million” Lumia Windows Phone, Posts €1 Billion Q4 Loss

Posted on Jan 26 2012 - 2:19pm by Editorial Staff

Nokia has just revealed its Q4 2011 financial results and the figures aren’t exactly what we call as “superb” in nature. The company posted an operating loss of €954 million for the last three months of 2011. In concern with the sales of Nokia Lumia windows phone, the company topped with 1+ million units sales in its kitty. The report also revealed that Microsoft paid Nokia $250m in Q4 2011 for adopting Windows Phone.

As for smartphone sales, they hit 19.6 million units, down 31% compared to the same quarter a year ago, but constantly up by 17% from Q3 2011. Feature phones did marginally better, 93.9 million units sold, down just a single percentage point compared to the same quarter last year, and up 5% compared to Q3 2011. The average price of a smartphone Nokia sold in Q4 2011 is up by 7% from the quarter prior, but down 9% from the same quarter a year ago. The average price of a feature phone during Q4 2011: 32 Euros, the same as it was in Q3 2011, but down 25% compared to a year ago.

Key quote from Stephen Elop, the CEO of Nokia:

“And, while we progressed in the right direction in 2011, we still have a tremendous amount to accomplish in 2012, and thus, it is my assessment that we are in the heart of our transition.

Specifically, changing market conditions are putting increased pressure on Symbian. In certain markets, there has been an acceleration of the anticipated trend towards lower-priced smartphones with specifications that are different from Symbian’s traditional strengths. As a result of the changing market conditions, combined with our increased focus on Lumia, we now believe that we will sell fewer Symbian devices than we previously anticipated.”

In total 2011, the Finnish mobile maker Nokia posted an operating loss of €1.73 billion compared to an operating profit of €2 billion in 2010. Now if we compare the results with Apple – the quarter results numbers is astonishing.

(Image Source: Flickr)

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Editorial Staff at I2Mag is a team of subject experts led by Karan Chopra.