Nokia finally reports profit after six quarters of losses →

Aaron Souppouris, The Verge:

As previously announced, [Nokia] sold 4.4 million Lumias over the quarter, a more-than 50 percent jump from Q3’s 2.9 million, and its best quarter since launching its Windows Phone line. The uptick in sales contributed to €8.04 billion ($10.73 billion) in overall revenue for the quarter, which when balanced with Nokia’s continued restructuring and other costs resulted in a €439 million ($585 million) profit. That’s a significantly healthier figure than last quarter’s $754 million loss, and a big improvement on Q4 2011’s figure, a huge $1.2 billion deficit.

While this is certainly good news, the Verge’s article also reveals some less rosy bits. Measured year-over-year, overall mobile phone sales dropped 24%, but the sales of smartphones dropped a staggering 66% as Symbian sales start to evaporate. Not only are the majority of former Nokia “feature phone” users not choosing Nokia smartphones when they upgrade into that space, the majority of former Nokia smartphone users are defecting when they leave Symbian.

And, there’s one interesting bit of sideways news the Verge points out:

Despite strengthening sales of its Lumia line, and a return to profitability for its long-troubled Devices & Services division, the bulk of Nokia’s income came from its Nokia Siemens Network arm.

While I don’t expect Nokia as a company to go away, I have to wonder if they’re going to be a very different company in five years or so—one that may be focusing more on competing with Cisco and Juniper than with Apple and Samsung.

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