Ericsson: returns to positive EPS in Q3

(CercleFinance.com) - Ericsson reports Q3 2024 EPS of 1.
14 SEK, compared with -9.21 SEK a year earlier, with adjusted EBITA of 7.8bn SEK, i.e. a 5.3 point margin improvement to 12.6%.

The latter benefited from a 7.1-point improvement in adjusted gross margin to 46.3%, as well as cost-cutting measures, partly offset by targeted R&D investments.

At 61.8bn SEK, sales were down 4% on a reported basis and 1% organically, with strong growth of 55% in North America offset by declines in most other market areas.

We expect our network sales to stabilize y-o-y in Q4, thanks to continued good growth in North America, it says.

However, we expect further sales pressure in the short term in the enterprise sector, as we focus on profitable segments, the telecom equipment supplier CEO warns.


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