Nokia has reported its earnings for the fourth quarter 2011. While its new strategy finally seems to be paying off a bit, it is still very much in the red when it comes to profits. It posted a massive operating loss of €954 million, around $1.3 billion. Its sales have improved a bit over Q3 2011, up 11% with net revenues of €10 billion ($13.2 billion). It is still worse off compared to where it was last year, but things seem to be looking up compared to last quarter. Its cash reserves have dropped by around €1.4 billion ($1.84 billion), compared to Q4 2010.
Nokia also announced some interesting numbers which reveal some important information about its Windows Phone strategy. It has sold over 1 million Lumia units to date, and received $250 million from Microsoft in Q4 2011, for using Windows Phone.
While the number is hardly impressive compared to Apple’s quarterly iPhone sales of 37 million units, it does indicate that Lumia is gaining at least some traction. The Lumia 900 also hogged most of the limelight at CES 2012, so the number should only improve going forward.
While it may be faltering in smartphones, Nokia remains the king of feature phones. It announced that it had sold more than 1.5 billion S40 handsets to date. Nokia announced that it expects to break even in Q1 2012, maybe even turn a small profit.
Check out the complete Nokia Q4 2011 results here: Nokia Q4 2011