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Nokia sheds Windows Phone to Microsoft, soars back into profit

Nokia Corporation's quarterly earnings have seen the former mobile giant sneak back into profit with a 13 per cent rise in revenue, owing to its deployment of high-speed mobile networks in North America and China.

Nokia's net profit for the quarter was €747 million (£589m), which, aided by a large tax gain, was a great improvement on the €91 million (£71.8m) loss in the third quarter of the previous year. Revenue exceeded the market expectations of €3.02 billion, with a figure of €3.32 billon (£2.62bn).

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"Progress was widespread, with four of our six regions increasing sales," Nokia's chief executive, Rajeev Suri, said.

Since 2009, Suri has been head of Nokia's mobile network unit, having been appointed as company CEO in late April 2014, as the company jettisoned its loss-making smartphone business to Microsoft. Having shed the lead weight of Windows Phone, Nokia now operates as a mobile networks firm, competing for space with Huawei Technologies Co. and Ericsson.

Nokia's mobile-network arm, having been through a difficult merger with Siemens mobile network unit, has bounced back with an impressive performance this year. Deals with China Mobile Ltd. and Sprint Corp. in the US, have been highly beneficial, both companies expanding their high-speed mobile Internet services.

Nokia has accordingly changed its outlook for the year. It is now expecting a full-year operating profit margin of just over 11 per cent (it's previous estimate was below the double-digit mark). The company's stock also rose after announcement, trading 4.5 per cent higher at €6.80 (£5.36).

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"Particularly satisfying" was Suri's assessment of the success, but said that the figure owed to "unique developments" in the quarter.