Under pressure from other mobile phones maker, Nokia's mobile phones net sales continue to decrease.

Highlights of second quarter 2004

• Net sales declined 5% to EUR 6 640 million (EUR 7 019 million in Q2 2003), up 1% at constant currency
• Operating profit was EUR 907 million (EUR 818 million), including a one-time positive item of EUR 90 million representing a premium return related to our insurance program, with operating margin of 13.7% (11.7%) 
• Net financial income was EUR 135 million (EUR 131 million), including a one-time positive item of EUR 71 million from the gain on the sale of the France Telecom bond
• EPS (diluted) was EUR 0.15 (EUR 0.13) on total net profits of EUR 712 million, including a favorable EUR 0.03 impact on EPS (diluted) from the two above-mentioned, one-time positive items
• Mobile Phones net sales decreased 13% to EUR 4 167 million (EUR 4 806 million), with EUR 797 million operating profit (EUR 1 308 million) and operating margin of 19.1% (27.2%)
• Multimedia net sales increased 24% to EUR 739 million (EUR 596 million); Enterprise Solutions net sales decreased 2% to EUR 189 million (EUR 193 million)
• Networks net sales increased 6% to EUR 1 576 million (EUR 1 480 million), with EUR 255 million operating profit (EUR 349 million operating loss) and an operating margin of 16.2% (-23.6%).  In Q2 2003, Networks business had a restructuring charge of EUR 399 million included in the Networks operating loss of EUR 349 million, which negatively impacted Nokia EPS (diluted) by EUR 0.06
• Operating cash flow was EUR 1.4 billion (EUR 1.3 billion) and overall cash position was EUR 11.5 billion (EUR 9.9 billion) at the end of the quarter

Read the full report here

http://press.nokia.com/PR/200407/952952_5.html