As demand has slowed in countries such as the United States, Nokia and rival Ericsson (ERICb.ST) have tried to offset some of the weakness with higher sales to India, a low-margin market.
Nokia is targeting savings of between 800 million euros ($842 million) and 1.2 billion euros by 2026, its deadline to deliver a long-term comparable operating margin plan of at least 14%.
Nokia expects at least 400 million euros of savings in 2024, and a further 300 million euros in 2025.
Quarterly comparable net sales fell to 4.98 billion euros from 6.24 billion last year, missing an estimate of 5.67 billion euros according to a LSEG poll.
"There are signs here and there that demand would start to pick up again but it's too early to call it a broad-based trend," Lundmark said.
Persons:
Albert Gea, Pekka Lundmark, Lundmark, it's, Supantha Mukherjee, Anne Kauranen, Anna Ringstrom, Clarence Fernandez, Barbara Lewis
Organizations:
Mobile World Congress, REUTERS, STOCKHOLM, Nokia, Ericsson, Reuters, Thomson
Locations:
Barcelona, Spain, American, HELSINKI, Finnish, United States, India, North American, China, Stockholm, Helsinki