The company with 14,000 employees Sweden reports an operating profit of SEK 7.3 billion for the second quarter of 2022. Lower than the approximately 8 million that had been predicted by analysts who spoke with the news agency Bloomberg.
Results show an increase in profit compared with the same period last year, SEK 5.8 billion.
The world situation
– It is a complicated environment, and we have focused on being able to deliver. It comes with a cost, we have a slightly weakened gross margin, says Börje Ekhholm.
According to its quarterly report, Ericsson has “proactively increased our buffer stocks” to mitigate the consequences of delivery problems posed globally in several industries.
Ericsson is closing down its operations in Russia at an estimated cost of SEK 1.2 billion.
In China, the company has lost market share, but the country’s 5G investments open up business opportunities, says Börje Ekholm.