Nokia profit soars on buoyant sales for 5G technology

HELSINKI (AP) - Wireless network maker Nokia on Thursday reported substantially improved, better than expected first-quarter profit on buoyant sales of its new generation 5G equipment.

The company based in Espoo, Finland, reported net profit of 375 million euros ($454 million) for the January-March period, up from 33 million euros a year earlier. Sales were up 3%, to 5.1 billion euros.

CEO Pekka Lundmark said the figures 'œdelivered a robust start to the year'ť for Nokia, which is seeking to become a global leader in 5G technology in a tight race with Nordic competitor Ericsson, China's Huawei and South Korea's Samsung, among others.

'œToday's results demonstrate that we are on track to deliver on our three-phased plan to achieve sustainable, profitable growth and technology leadership as announced,'ť Lundmark said in a statement.

Nokia said the company's operations were driven in the quarter by strong growth in sales for 5G networks and equipment, particularly in the U.S and Chinese markets.

Under the leadership of Lundmark, who took over the company's top job last year, Nokia has revamped its business strategy. He has said that Nokia aims to become the world leader in 5G - the new generation of broadband technology - even if it means sacrificing short-term profitability.