HELSINKI, July 23, 2026, 12:08 EEST — Nasdaq Helsinki opens for trading.
- Comparable operating profit increased by 18% to €434 million, surpassing consensus by approximately 14%.
- Sales for AI and cloud soared to €446 million, representing a doubling. New orders totaled €2.8 billion.
- The stock rose 1.0% to €9.26 at 11:26 EEST. The official guidance upgrade was technical.
Nokia Oyj posted a quarterly profit that beat expectations, boosted by stronger demand from data centres. The stock was last up 1.0% in late-morning trade in Helsinki.
The main indication for investors is found beneath the profit headline. Based on reported numbers, AI and cloud accounted for roughly 61% of the growth in group sales at Nokia.
Sales from that customer segment totaled €446 million, marking a 105% increase. Based on the reported growth, estimated sales for the previous year were about €218 million. The contribution to group revenue increased to 9.3%, up from approximately 4.9%.
Order sizes increased significantly. Nokia secured €2.8 billion in AI and cloud contracts, representing 6.3 times the quarterly revenue from these clients.
Management anticipates approximately half will convert to revenue within 12 months, amounting to roughly €1.4 billion—equivalent to 3.1 quarters based on the most recent sales rate.
| Q2 metric | 2026 | 2025 | Change or investor read-through |
|---|---|---|---|
| Group net sales | €4.815 bln | €4.443 bln | Increase of 8% |
| AI and cloud sales | €446 mln | ≈€218 mln | Jumped 105%; accounts for roughly 61% of group growth |
| AI and cloud orders | €2.800 bln | Not disclosed | Equivalent to 6.3 times quarterly sales |
| Comparable operating profit | €434 mln | €367 mln | Up 18%; approximately 14% ahead of consensus |
| Comparable operating margin | 9.0% | 8.3% | Improvement of 70 basis points |
| Reported operating margin | -1.0% | 3.3% | Restructuring led to a decline of 430 basis points |
Nokia’s rounded 105% growth rate implies the 2025 AI and cloud value. Calculations use company data and market forecasts referenced by Reuters.
Network Infrastructure saw most of the demand. Sales in the segment increased by 12%, with Optical Networks rising by 20% and IP Networks up 16%.
“Demand is still robust, with supply persisting as the industry’s primary limitation,” Chief Executive Justin Hotard said. Extended lead times are prompting customers to submit bigger orders with longer horizons. Nokia Corporation | Nokia
Comparable operating profit increased to €434 million from €367 million, surpassing the market expectation of €382 million. Comparable gross margin widened by 70 basis points to reach 46.0%.
Nokia has officially raised its annual profit forecast to a range of €2.1 billion–€2.6 billion. The €100 million increase resulted solely from reclassifying two business units as discontinued operations. The company’s operational outlook was not updated.
Hotard continues to anticipate performance slightly higher than the revised €2.35 billion midpoint. Nokia projects third-quarter sales to rise between 3% and 7% compared to the previous quarter. Operating profit is expected to stay largely stable before a more substantial increase in the fourth quarter.
Nokia posted a €50 million operating loss, citing an acceleration of restructuring efforts, particularly in Europe and China. The company anticipates full-year restructuring charges to total €800 million.
The difference among peers stands out. Ericsson STO:ERIC-B posted a 6% drop in sales and a 7% decrease in adjusted operating profit last week. Revenue from its Networks division slid 8%, with executives cautioning that rising memory costs due to AI may weigh on margins.
Ericsson’s stock dropped almost 12% following the warning. In contrast, Nokia’s comparable margin rose, indicating that AI-driven demand is presently boosting revenue rather than fueling component price increases.
Nokia showed gains even as the sector lagged. Earlier on Thursday, European technology stocks dropped 2.7%, while the STOXX 600 index slipped 0.5%.
Risks are still focused. Supply constraints could slow order conversion, and chip price increases may pressure margins. Nokia is also projecting restructuring cash outflows of €700 million–€800 million for this year.
The next challenge is delivering on orders. Nokia needs to fulfill new contracts while maintaining margins, and achieve the expected uptick in fourth-quarter profit.
