Nokia delivered a resilient Q1 with 4% revenue growth driven by strong demand in optical and infrastructure networks, and improved profitability amid strategic product launches and hypergrowth in AI-related markets.
- Revenue increased to EUR 4.5 billion with a 320 bps gross margin expansion, reflecting operational efficiencies and product mix.
- Optical Networks surged 20%, benefiting from AI and cloud customer demand, contributing to a revision of 2026 growth outlook to 12–14%.
- The new Mobile Infrastructure segment showed stability, with software growth of 5% and upcoming AI RAN innovations in pipeline.
- Free cash flow remained robust at EUR 629 million, supporting strong balance sheet positioning with EUR 3.8 billion net cash.
- Market expectations for AI CapEx now surpass EUR 700 billion, bolstering Nokia’s view of a sustained, structural market shift.
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