Nokia quarterly profits drop 40 percent year-on-year as CEO says speculation must end 'one way or another'
Olli-Pekka Kallasvuo was already a man in a hot seat and these latest numbers will do little to lower the temperature. Nokia's net profit for Q2 2010 was €221 million, which most companies would be happy with were it not for the fact that this company pulled in €380 million in the same quarter last year -- and that's with 2009, as Nokia's own report indicates, representing an economically tougher environment. Average selling prices for Nokia handsets used to be €64 back then, which dipped to €62 in the first quarter of this year, and is now at €61. Nokia says this has been caused by price pressures, "particularly in certain high-end smartphones," and though the change may appear small, a Euro's difference tends to be amplified when you're shifting upwards of 111 million units each trimester. For his part, OPK has said that the speculation about him being replaced isn't doing Nokia any good and he's determined that it "must be brought to an end one way or another." Guess we better keep an eye on this one then.