Nokia profit plunges 90% in 1st quarter

HELSINKI: Nokia Corp. says its profits plummeted 90% in the first quarter amid a slump in demand for mobile phones.

The world's top mobile phone maker says net profit was only 122 mn euros ($161 mn) compared to euro 1.2 bn in the same period last year.

Sales dropped 27 percent to euro9.28 bn from euro12.7 bn in the first quarter of 2008. As it presented its first-quarter report on Thursday, Nokia said phone sales were down 33 percent to euro6.2 bn.

Nokia has fared better than many rivals during the world economic slump. But it, too, has been hit by falling demand. Last month it announced 1,700 layoffs worldwide.