Nokia sales and profits dip in 2nd quarter

From CNET News.com: Nokia, the world's largest maker of mobile phones, reported Thursday that its second-quarter operating profit fell 71 percent to 427 million euros ($600 million) from 1.47 billion euros during the same quarter a year earlier.

The company also reported that sales fell about 25 percent to 9.9 billion euros in the second quarter. But sales were up 7 percent sequentially from the first quarter of 2008.

Nokia shipped 103.2 million units during the quarter, which was down about 15 percent compared with a year earlier. But shipments were up 11 percent sequentially compared with the first quarter of this year.

And the company reiterated its expectation that the entire mobile market would contract about 10 percent during 2009.

That said, CEO Olli-Pekka Kallasvuo said in a statement that the worst may be over.

"Competition remains intense, but demand in the overall mobile device market appears to be bottoming out," he said. "As before, we are continuing to tightly manage our operating expenses."

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