Ericsson operating profit rises but misses forecasts

|By:, SA News Editor

Ericsson's (ERIC) Q3 EBIT rose to 4.2B kronors ($658M) from 3.1B kronors a year earlier but missed consensus of 4.5B.

Net profit +34% to 2.92B kronors, with a better business mix strengthening margins.

Revenues -3% to 52.98B kronors vs forecasts of 55.1B kornors; sales were hurt by forex fluctuations as well as by reduced activity in Japan and two large maturing projects in the U.S.

Ericsson CEO Hans Vestberg says the macroeconomic environment has stabilized in many regions, while the "long-term fundamentals in the industry remain attractive." However, "uncertainty still remains in certain parts of the world," Vestberg adds. (PR)