Image Source: Business Standard
Ericsson’s CFO Lars Sandström has reassured investors that the company’s recent dip in India is temporary, with expectations of a strong rebound. Despite missing Q4 profit estimates and a sharp drop in stock value, Ericsson remains optimistic about longterm growth in the region.
Key Highlights:
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India’s slowdown stems from reduced telecom capex and post5G rollout stabilization.
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Q4 adjusted EBIT came in at $894 million, below Bloomberg’s $943 million forecast.
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Retail sentiment remains bullish despite a 10% stock dip in premarket trading.
Market Dynamics:
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North America saw a 54% sales surge, offsetting declines in Asia.
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India remains Ericsson’s secondlargest market, with high data consumption and smartphone growth expected to drive future demand.
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The company is investing in a 6G R&D center in Chennai and partnering with Indian institutes.
Outlook:
Ericsson anticipates renewed telecom investments and sustained demand for digital infrastructure.
Sources: TechResearchOnline, Stocktwits, Financial Express.
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