Nokia Announces Q2 Results, Disappointing, As Was Expected

So the Finnish giant, once the leader of the mobile industry, released its Quarter 2 results today. Disappointing, yes, they were. Relevant enough, is another thing altogether.

To put things into perspective, Nokia reported a massive loss of around half a billion Euros. Sales, both smartphone and the feature phones, were down by 32% and 20% respectively, YoY (year on year). To put that into sheer numbers, Nokia shipped 88.5 Million devices (both smartphones and feature phones) this quarter, whereas in the same quarter last year, it shipped around 111 Million devices.

These are the numbers we should be bothered about, not so much about the Navteq and Nokia Siemens Network. Just don’t let all the ‘analysts’ out there bother you with their wild tweets and swipes. This is nothing that a sane man wouldn’t expect, or at least, guess.

Because of this…

Nokia announced that Windows Phone would be it’s platform of choice going ahead, with it’s current primary OS, Symbian, relegated to the status of a cash cow. It said it still plans to sell another 150 million odd Symbians, with a promise to support them right through till 2016.

This, naturally, was treated as Symbian’s death, albeit a slow one. Symbian now had an expiry date. Any person who knew this, would do good to avoid purchasing one. Also, considering the poor state of Symbian as a modern day OS, it is quite obvious that the customer refused to buy their devices, hence the lower sales figure. All this added up, and hence the huge loss for Nokia. I can’t help but wonder why did Elop have to assign an expiry date to Symbian, which, till date, is their only OS they’re selling till date. No, the N9 isn’t out for the public yet. It won’t be until this fall. Obviously, a strategic mistake. A massive one at that. Had Nokia announced Symbian’s death when it had a Windows Phone to announce, things would have been different. They wouldn’t have had to suffer losses to such an extent.

But.. but.. thinking from another point of view, it so seems that Elop tried to justify his move to Windows Phone (did he have to?) by doing what he did to Symbian? Wise enough? Only time will tell, but at the moment, the company is bleeding and badly at that.

The full report is here (PDF)