Finally Nokia admitted that it suffered a huge loss in Q1 2012 which cost around $17 billion because Nokia recently announced its Q1 2012 financial results, with a huge €1.34bn ($1.7bn) operating loss despite sales of $7.4bn ($9.7bn) in sales. Main reason behind this loss is the declination of symbian os, 38-percent from Q4 2011.
Nokia warned of underwhelming performance earlier this month, when it said it had sold around 12m smartphones. In actual fact, according to the more accurate numbers today, the Q1 2012 figure is actually 11.9m. Two million of those were Lumia Windows Phones.
This is what said by Full Stephen Elop (Lumia sales)
“We are navigating through a significant company transition in an industry environment that continues to evolve and shift quickly. Over the last year we have made progress on our new strategy, but we have faced greater than expected competitive challenges.
We have launched four Lumia devices ahead of schedule to encouraging awards and popular acclaim. The actual sales results have been mixed. We exceeded expectations in markets including the United States, but establishing momentum in certain markets including the UK has been more challenging.
At the same time, the lower price tiers of our industry are undergoing a structural change, and traditional feature phones are challenged by full touch devices. As a result we are taking deliberate measures to continue to renew our Series 40 platform, and we plan to strengthen our line-up in Q2 2012. We are making investments in our Mobile Phones business unit aimed at addressing the gaps in our offering.
We have a clear sense of urgency to move our strategy forward even faster. We are pursuing step function changes by having launched the Lumia 610 and Lumia 900 in the first quarter, expanding market coverage, increasing advertising, introducing key customer-requested features and broadening our most successful go-to-market activities. At the same time, we have focused our efforts in the low-end of smartphones and feature phone asset to drive improved business results and conserve cash.
We are confident in our strategy and focused on responding urgently in the short term and creating value for our shareholders in the long term.”