Headquarters of Finnish telecoms company Nokia
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Nokia Tuesday upgraded its financial guidance for 2021 and estimated that it would have a comparable operating margin this year.
The Finland-based telecoms equipment maker, in its first guidance for 2022, said that the better-than-expected performance came from its venture fund investments, with its underlying business performing as expected last year.
Nokia venture investments notably include funds managed by NGP Capital, formed by the Finnish group in 2005 under the name of Nokia Growth Partners to invest in high-growth companies in areas such as mobility, digital health or connected technologies.
The group’s operating margin came in at between 12.4% and 12.6%, the company said, against the company’s previous estimate of 10%-to-12%. Net sales were around €22.2 billion, within the guidance.
Operating margin in 2022 should be in the 11% to 13.5% range, the group said.
Nokia (ticker: NOKIA.Finland) shares were up 2.4% in European morning trading. The stock is up 72% over the last year.
