You are using an older browser version. Please use a supported version for the best MSN experience.

Ericsson posts Q1 loss of $A1.6b

dpa logodpa 25/04/2017

Swedish mobile telecom equipment maker Ericsson has reported a slightly bigger than expected first-quarter operating loss.

Swedish telecommunications technology giant Ericsson has posted a first-quarter net loss of 10.9 billion kronor ($A1.6 billion).

Previously announced restructuring costs and writedowns weighed strongly on results.

Ericsson reported a net profit of 2.1 billion kronor in the corresponding business period a year ago.

The company said year-on-year sales in the quarter declined 11 per cent to 46.4 billion kronor, although its mainstay division Networks delivered "a solid result," chief executive Borje Ekholm said in a statement.

The company said the mobile broadband market remained weak and investments were low in parts of Europe, Latin America and Africa.

Ekholm, a veteran board member who took the helm on January 16, said the company would step up cost-cutting measures since its current program "is not yielding sufficient results."

Ericsson has, in recent years, seen increased competition from Huawei of China and Finland's Nokia.

image beaconimage beaconimage beacon