Nokia Siemens Q2 profit in line with expectations

HELSINKI: Nokia's telecom gear venture Nokia Siemens Networks posted profit largely in line with average forecasts on Thursday and repeated its forecast for no growth in the telecom equipment market this year.

Nokia Siemens Networks, a 50-50 venture of Nokia and Siemens, has struggled to make a profit since its 2007 start amid falling operator spending and fierce pricing from Asian rivals Huawei and ZTE.

An April-June underlying operating profit of 51 million euro ($65 million) was up from 2 million euros a year earlier and compared with a forecast for a 48 million profit in a Reuters poll where estimates ranged widely. Second quarter sales fell 5 per cent from a year ago to 3 billion euros, below analysts' average forecast of 3.18 billion in the poll.

Nokia Siemens rival Sweden's Ericsson is expected to report a 6 percent fall in its second-quarter core profit when it unveils earnings on Friday.