Nokia sales rachet up to $15.2 billion

Nokia Corp. (NOK) posted a profit of $502 million on sales of nearly $15.2 billion for the first quarter, but the device manufacturer said this quarter could be more challenging. The world’s largest handset manufacturer has been under consistent pressure from smartphone makers including Apple Inc. (AAPL) and HTC Corp., among others.
While the company’s stock initially dipped on the news even though Nokia beat expectations, it had rebounded by press time.
The Finnish-device manufacturer said it sold 108.5 million handsets in the period, up 1% from a year ago. Of those, 24.2 million were smartphones and converged devices, up 13% from the same period one year ago. Its average selling price stood at $94.73.
Sales revenue was up 9% from first-quarter 2010 and its devices and services sales were up 6% year over year.
“In the first quarter, we shifted from defining our strategy to executing our strategy,” said Stephen Elop, Nokia CEO. “On this front, I am pleased to report that we signed our definitive agreement with Microsoft (Corp.) and already our product design and engineering work is well under way. Following a solid first quarter, we expect a more challenging second quarter. However, we are encouraged by our roadmap of mobile phones and Symbian smartphones, which we will ship through the balance of the year. We are fully focused on delivering the needed accountability, speed and results to positively drive our future financial performance.”