Nokia lifts long-term network targets

Reuters News
Posted: Nov 14, 2014 2:24 AM

HELSINKI (Reuters) - Finnish mobile network equipment maker Nokia on Friday lifted its long-term targets and said it expected the business to grow next year.

The company, which ranks third in the global network-equipment market after Ericsson and Huawei Technologies Co Ltd, said it now targets long-term networks operating margin in the range of 8 and 11 percent.

That compares to its previous target of 5 to 10 percent.

Analysts had widely expected a lift. Nokia's third-quarter networks margin stood at 13.5 percent.

Nokia, which on Friday holds its first capital markets day in five years, said it expects its networks sales to grow in 2015, and forecast the operating margin to be in line with its new long-term target next year.

The company sold its struggling handset business in April to Microsoft in a 5.6 billion euros ($7.0 billion) deal that transformed it into an almost pure play network equipment maker.

(Reporting By Jussi Rosendahl, editing by William Hardy)