Nokia (NOK) Gets More Income from Apple (AAPL) than Smartphones
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Nokia (NYSE: NOK) is a phenom. Despite being one of the world's largest phone vendors, the company made more money from Apple (Nasdaq: AAPL) patent licensing fees last quarter. As pointed out by AppleInsider earlier, Nokia profited about $600 million from those fees.
Nokia moved about 11.9 million smartphones (including 2 million attributed to the Lumia 710 and 800) with an average selling price of €143, for total revenue of €1.704 billion. With a non-IFRS gross margin of 24.4 percent, that is whittled down to €415.2 million, or about $553.9 million based on the conversion rate at March 30th.
Hmm...
Obviously, when taking into consideration costs of sales, operating margin was much less. In fact, as previously reported, Nokia's operating margin was a negative 3 percent in the last quarter. Nokia would have been almost better off not selling smartphones. (Margins include things like rebates and other promotions, along with typical SG&A).
For its Lumia lineup, which utilizes Microsoft's (Nasdaq: MSFT) Windows Phone 7 (WP7) platform, Nokia sold 2 million units at an average selling price of €220. Assuming the gross margin of 24.4 percent, that's €53.7 per unit, or €107.4 million ($143.2 million).
Let's hope Lumia 900 is able to meet (and exceed) expectations.
Shares of Nokia are slightly higher Friday morning.
Nokia moved about 11.9 million smartphones (including 2 million attributed to the Lumia 710 and 800) with an average selling price of €143, for total revenue of €1.704 billion. With a non-IFRS gross margin of 24.4 percent, that is whittled down to €415.2 million, or about $553.9 million based on the conversion rate at March 30th.
Hmm...
Obviously, when taking into consideration costs of sales, operating margin was much less. In fact, as previously reported, Nokia's operating margin was a negative 3 percent in the last quarter. Nokia would have been almost better off not selling smartphones. (Margins include things like rebates and other promotions, along with typical SG&A).
For its Lumia lineup, which utilizes Microsoft's (Nasdaq: MSFT) Windows Phone 7 (WP7) platform, Nokia sold 2 million units at an average selling price of €220. Assuming the gross margin of 24.4 percent, that's €53.7 per unit, or €107.4 million ($143.2 million).
Let's hope Lumia 900 is able to meet (and exceed) expectations.
Shares of Nokia are slightly higher Friday morning.
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