Helsinki, Jan 29, 2026, 12:18 EET — Regular session
- Nokia shares dropped roughly 6% in Helsinki following the company’s release of its profit guidance for 2026 and an updated outlook for investors.
- The telecoms equipment maker reported Q4 comparable operating profit near 1.06 billion euros and set its 2026 comparable operating profit forecast between 2.0 and 2.5 billion euros.
- Nokia revealed plans for a new board chair ahead of its April AGM.
Nokia Oyj (NOKIA.HE) shares fell roughly 6% on Thursday, erasing earlier gains as investors digested a cautious profit forecast for 2026 despite a quarter that mostly met expectations. The stock changed hands near 5.34 euros in Helsinki, while Nokia’s U.S.-listed ADR slipped 1.7% to $6.82 in premarket trading. 1
The reaction is crucial as telecom gear makers push to prove they can expand despite mobile operators holding back on spending. For Nokia, the immediate challenge is whether demand from data centres and AI can make up for patchy carrier orders—without draining cash reserves.
Politics adds another layer of tension beyond the income statement. Nokia CEO Justin Hotard stressed that big tech firms “cannot subsist on one continent or the other,” pointing to the deep ties between Europe and the U.S. This comes as Brussels weighs more support for local industry and tougher regulations on so-called “high-risk” suppliers. 2
Nokia reported a fourth-quarter comparable operating profit of 1.058 billion euros, down slightly, on comparable net sales of 6.125 billion euros. Looking ahead to 2026, the company forecasts comparable operating profit between 2.0 billion and 2.5 billion euros, with a comparable gross margin expected in the 46% to 49% range. Nokia also announced a dividend of 0.03 euros per share, payable on Feb. 12. It plans 250 million euros in cost savings next year, but will also incur 250 million euros in restructuring and related charges. 3
Network Infrastructure stood out, buoyed by Nokia’s solid performance in optical and IP routing. “Order intake was strong … with book-to-bill remaining above one,” Hotard noted — a sign that new orders outpaced sales during the quarter — driven in part by demand from AI and cloud sectors. 4
Nokia is shaking up its governance. Chair Sari Baldauf intends to step down following the annual general meeting. The board is putting forward Timo Ihamuotila as her successor. They’re also nominating Meredith Whittaker, president of the Signal Technology Foundation, to join the board. The AGM will take place April 9 in Helsinki. 5
Despite the dip in shares, some analysts held their ground. Jefferies’ Janardan Menon stuck with a “buy” rating on Nokia, maintaining a 7.20-euro target price, according to a note released Thursday. 6
The downside remains clear. Nokia wants investors to overlook restructuring expenses and a hefty investment cycle, even as major carriers can halt spending abruptly and competition keeps pricing tight across the industry.
Investors are parsing management’s remarks closely, looking for hints that the 2026 range marks a floor—not a ceiling—particularly regarding order momentum in optical networks and data centre routing. The next key update will come with Nokia’s first-quarter earnings on April 23. 7
