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TMCNet: Financial: Nokia phone sales turn corner

[January 11, 2013]

Financial: Nokia phone sales turn corner

(Guardian (UK) Via Acquire Media NewsEdge) Nokia has reported record demand for its Lumia smartphones in the first sign that the Finnish mobile phone giant's long commercial winter may be thawing.

Nokia's handset business will break even or move into operating profit, ending three straight quarters of losses, the company said in an unscheduled update.

Helped by a multimillion-dollar marketing blitz, Nokia sold 4.4m Lumia phones in the Christmas quarter, more than in any previous three month period since the range was launched in 2011 as a crucial plank in chief executive Stephen Elop's turnaround plan. The company is struggling to keep up with "better than expected" Lumia sales, Elop said, with retailers and mobile networks selling out across its major markets. The update sent Nokia's shares up as much as 18%, with Elop hailing a "solid quarter". The shares closed up over 10% at euros 3.324 in Finland.

Suggestions that Lumia is gaining traction should boost Microsoft. The handsets use Windows phone software, which has been slow to attract consumers who favour Apple products and Google's Android interface. Android has helped Samsung overtake Nokia as the world's largest phone maker.

(c) 2013 Guardian Newspapers Limited.

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