Ericsson's sales down 6% in 3rd quarter

The world's leading telecom company Ericsson said Thursday its sales were down 6 percent to 46.4 billion Swedish crowns (6.74 billion U.S. dollars) in the third quarter of this year.

Operating income excluding joint ventures and restructuring charges amounted to 5.5 billion Swedish crowns (799 million U.S. dollars), down 3 percent from a year earlier, Ericsson said in a report.

"Sequential sales decreased 11 percent, negatively impacted by currency exchange rate effects, seasonality and a reduced scope of the renewed managed services agreement in Italy. The lower year-over-year sales in Networks and Multimedia were partly offset by stronger sales in Professional Services," said the report.

"Sales of network equipment declined due to lower demand in the current tougher market environment. Despite lower volumes, Network margins remain stable. The strong development in Professional Services continued," said Carl-Henric Svanberg, president and CEO of Ericsson.

Source:Xinhua