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Wednesday, June 11, 2003

Now Nokia Warns



Whatever the reasons, and whatever the final result, it is clear that the long promised 'tech rebound' still isn't with us. The list of excuses is endless, and my feeling is that SARS is serving as a very convenient explanation.

Nokia of Finland warned on Tuesday that its second-quarter sales of mobile telephones may be lower than forecast, blaming general economic weakness, currency fluctuations and the Sars epidemic.However, the world's number one producer of mobile handsets calmed investors by reaffirming its second-quarter profit forecast of pro-forma earnings in the range of 0.13-0.16 euro per share.The Finnish company said sales growth for its mobile phones "is expected to be positive but at the low end or below the guided range of 4 to 12 per cent on last year's sales of 5.4bn euros, with sales growth slightly less for the Nokia group".It added: "Sales reflect continued general economic weakness in Europe and the US, the impact of currency fluctuations and the effect of Sars on consumer behaviour, especially in China."
Source: Financial Times
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