TECH - Ericsson's Q4 Sales Plunge 16% As Global Challenges Weigh Forecasts Further Decline Outside China | Benzinga
Ericsson (NASDAQ:ERIC) reported a fourth-quarter FY23 sales decline of 16% year-on-year to SEK 71.9 billion versus the consensus of $7.0 billion.
Group organic sales declined by 17% Y/Y. Networks’ organic sales decreased by -23% as customers focused on cash flow. Sales in India declined Q/Q, partly mitigated by a 7% organic growth in Enterprise.
Ericsson reported an EPS of SEK 1.02 versus SEK 1.82 last year versus the consensus of $0.16.
Adjusted gross margin of 41.1% declined 40 bps Y/Y due to lower sales and lower gross margin in Networks. The normal gross margin declined 160 bps to 39.8%.
Adjusted EBIT margin improved by 90 bps to 10.3%, primarily due to higher-margin software sales and lower sales of 5G equipment in lower-margin markets such as India. Adjusted EBITA ...