Nokia's third-quarter profit beats forecasts as AI and cloud orders surge

what happened

Finnish telecom equipment maker Nokia said on Thursday that its quarterly earnings grew more than analysts had expected, Reuters reported. Comparable operating profit reached 605 million euros ($680.20 million) in the third quarter of 2026, up from 448 million euros a year earlier. The average estimate in a poll commissioned by the company stood at 453 million euros.

Comparable net sales climbed 10% to 5.15 billion euros, beating a company-provided consensus of 5.05 billion euros. Orders tied to AI and cloud customers grew 118% year on year to 1.5 billion euros, and demand from these clients has become a bigger growth driver for the company. Nokia maintained its full-year financial outlook.

CEO Justin Hotard said: "We expect our combined Optical and IP Networks businesses to grow between 25% and 30% in 2027." Nokia's share price is up 48% so far this year.

why it matters

The results point to growing demand for networking gear linked to AI and cloud infrastructure, a theme that has drawn investor attention. The exchange rate of $1 = 0.8894 euros matters for investors comparing the figures in dollars.

market impact

Nokia shares and telecom equipment sector: strong results and rising AI-client orders support the stock.

tags

instruments