Nokia stock dropped on dim financials

Scandinavian tech and telecoms firm Nokia (NYSE:NOK) saw its New York stock fall around 7% after its second-quarter financials revealed a significant decline.

Revenue was down 18% year-over-year to €4.47 billion, and was below the forecast €4.74 billion.

Nokia made a net loss of €142 million, reversing a profit of €289 million in the same period last year, whilst the comparable operating profit was 32% lower at €423 million.

A slowdown in 5G investment in India was a factor as Nokia’s mobile networks segment fell by 24%.

The company, meanwhile, said it is ‘submarine’ networks business to the French government. With the aim of capitalising on demand for AI-related applications, Nokia recently announced a deal to acquire optical networks firm Infinera for $2.3 billion.

Clutching to a forecast recovery in sales in the latter part of the year and an improved pipeline for US fiber networks, Nokia stuck with optimistic full-year guidance .

Nokia was down 7.3% to trade at $3.62 in New York.