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Nokia Leapfrogs BlackBerry with Lumia Sales, But Still Posts Q2 Losses

by Jacob Kleinman | July 18, 2013July 18, 2013 9:00 am PST

Verizon Nokia Lumia 928-VS-Nokia Lumia 920

Nokia posted its second quarter earnings today, revealing a mix of success and disappointment for the still-struggling Finnish smartphone maker. Despite increased sales thanks to its line of Lumia devices, the company still lost $151 million in Q2.

First the good news: Nokia sold 7.4 million Lumia handsets, and posted a significantly smaller loss this quarter that the $196 million deficit we saw in Q1. Nokia Lumia shipments actually beat out BlackBerry’s total phone shipments for the first time ever this quarter, marking a drastic turnaround in the past few years as Nokia builds up its arsenal of Windows handsets while BlackBerry continues to struggle. It looks like the Finish company’s partnership with Microsoft may finally be paying off, with Windows Phone 8 pulling into third-place among competing mobile platforms.

The bad news though, is that in the face of continued deficits Nokia is looking at another round of layoffs. The earnings report released today hints at a massive restructuring which will “impact a maximum of 440 positions globally.” Some of these employees will be redeployed to new positions though, and one Finnish paper claims just 160 staff members working in the company’s domestic offices will be fired.

Overall, Nokia appears to be making solid progress in the face of a number of obstacles. With the flagship Lumia 1020 launching on July 26 and a rumored low-cost 4.7-inch device in the works as well the company may see even better results next quarter, though we wouldn’t go as far as to predict actual profits any time soon.


Jacob Kleinman

Jacob Kleinman has been working as a journalist online and in print since he arrived at Wesleyan University in 2007. After graduating, he took a...

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