STOCKHOLM, July 14 (Reuters) – Sweden’s Ericsson (ERICb.ST), reported a second-quarter core profit above market expectations on Tuesday, as telecom equipment customers in regions outside North American markets placed more orders.
The company reported an adjusted operating profit of 6.52 billion Swedish crowns ($671.70 million), excluding restructuring charges, for the second quarter, while analysts on average expected 6.42 billion, according to an LSEG poll.
The group’s net sales for the April to June period fell 6% from a year ago to 52.7 billion crowns, lagging the LSEG poll estimate of 53.6 billion crowns.
“In Q2, we took action to mitigate component cost inflation,” outgoing CEO Borje Ekholm said in a statement. He added that the company would continue to pursue internal measures and pricing actions to help offset the effect in the coming quarters.
($1 = 9.7067 Swedish crowns)
Reporting by Supantha Mukherjee in Stockholm, editing by Terje Solsvik.
