Nokia reported a strong second-quarter earnings beat on July 23, 2026, as surging demand from artificial intelligence and cloud customers lifted results. The Finnish telecom equipment maker posted comparable operating profit of €434 million, an 18% year-over-year increase, well above the average analyst estimate of €382 million. Net sales reached €4.82 billion, also exceeding market expectations.
A standout figure was the performance in AI and cloud: sales to these customers more than doubled, rising 105% year-over-year, while order intake jumped to €2.8 billion, nearly triple the €1 billion booked in the prior quarter. CEO Justin Hotard said demand remained robust, with supply constraints still the main industry bottleneck.
Nokia raised its full-year comparable operating profit guidance to a range of €2.1–€2.6 billion, up from the previous €2.0–€2.5 billion, and declared a dividend of €0.04 per share. The Network Infrastructure segment, most exposed to AI-driven spending, recorded 12% constant-currency revenue growth, with Optical Networks up 20% and IP Networks up 16%.
The stock initially gained over 6% in pre-market trade and ended the session up 1.3% at €9.286, giving back some early gains as investors weighed additional European restructuring charges of €200 million. JPMorgan reiterated its Overweight rating and €18.00 price target. Nokia’s results contrasted with rival Ericsson’s recent warning about rising AI-related component costs, suggesting demand momentum is offsetting cost pressures for now.
