Nokia Q2: AI & Cloud Sales Double, Operating Profit Climbs 18%, Outlook Lifted
NOK has more than doubled off its 52-week low of $4.
Summary
Nokia's Q2 results beat expectations as AI & Cloud sales doubled and comparable operating profit rose 18%. The full-year profit outlook was raised and a dividend declared, reinforcing a positive turnaround narrative.
Key Events · Earnings and Guidance · NOK
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Q2 Earnings Beat
Net sales grew 8% y-o-y to EUR 4,815M, while comparable operating profit rose 18% to EUR 434M, delivering comparable diluted EPS of EUR 0.07.
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AI & Cloud Demand Surge
AI & Cloud sales more than doubled y-o-y, with order intake of EUR 2.8B in Q2, supporting strong future revenue conversion.
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Full-Year Outlook Raised
Comparable operating profit guidance increased to EUR 2.1–2.6B (from EUR 2.0–2.5B), driven by operational strength and a technical revision from discontinued operations.
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Restructuring Acceleration
Restructuring charges are expected to reach EUR 800M in 2026, including EUR 200M for new European programs, to improve agility and reallocate resources toward growth.
Analysis · NOK · Manufacturing
A strong Q2 saw net sales rise 8% and comparable operating profit jump 18%, fueled by a 105% surge in AI & Cloud sales. Reflecting that momentum and a technical revision from discontinued operations, the full-year comparable operating profit outlook was raised by EUR 0.1 billion to EUR 2.1–2.6 billion. AI & Cloud order intake reached EUR 2.8 billion, signaling robust demand that underpins future revenue. Restructuring charges are accelerating to EUR 800 million this year, which will pressure reported earnings but aims to improve long-term agility. The dividend declaration and U.S. optical manufacturing expansion underscore confidence in sustained growth.
At the time of this filing, NOK was trading at $10.51 on NYSE in the Manufacturing sector, with a market capitalization of approximately $58.4B. The 52-week trading range was $4.00 to $17.45. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.