W © Telefonaktiebolaget LM Ericsson 2024 | Third quarter report 2024 | October 15, 2024 Ericsson Third quarter 2024 October 15, 2024 Third quarter 2024 This presentation contains forward-looking statements. Such statements are based on our current expectations and are subject to risks and uncertainties that could materially affect our business and results. Please read our earnings reports and our most recent annual report for a better understanding of these risks and uncertainties and please see the last pa ...

Core Viewpoint - Ericsson is expected to report a decline in revenues for Q3 2024 due to reduced network investments in various regions, although demand in North America and cost optimization efforts may provide some support [2][10]. Financial Performance Expectations - The Zacks Consensus Estimate for total revenues in Q3 2024 is $5.73 billion, down from $5.96 billion in the same quarter last year [10]. - The adjusted earnings per share estimate is 9 cents, an increase from 7 cents reported in the prior-year quarter [10]. - Revenue estimates for the Networks segment are SEK 38.09 billion, reflecting an 8.3% year-over-year decline [11]. - The Cloud Software and Services segment is expected to generate SEK 15.8 billion, indicating a 1.5% year-over-year increase [11]. - The Enterprise business revenue estimate stands at SEK 5.45 billion, suggesting an 18.9% year-over-year reduction [11]. Key Developments - Ericsson signed a multi-year global patent cross-license agreement with OPPO, which is likely to support net sales during the quarter [3]. - Turkcell Communication and Spark New Zealand Limited deployed Ericsson's advanced technologies, which are expected to enhance performance in Q3 [4]. - A significant milestone was achieved in mobile connectivity through collaboration with Telstra, improving network capacity and energy efficiency [5]. - Vonage, a subsidiary of Ericsson, partnered with SAP to explore generative AI use cases, which may positively impact upcoming results [6]. - Ericsson agreed to divest its U.S.-based telecommunications solution provider, iconectiv, for approximately $1 billion, expected to close in the first half of 2025 [8][9]. Market Challenges - Constrained spending from operators in certain regions and increased competition in the wireless equipment market are anticipated to hinder net sales [7]. - Ongoing geopolitical unrest remains a significant concern for the company [7].

Ericsson (ERIC) recently reaffirmed its partnership with Tmcel Mozambique, aimed at digitally transforming the African telecommunications provider's monetization suite and enhancing customer experiences. ERIC's Extensive Suite of Solutions Per the agreement, Ericsson will deploy Ericsson Charging and Ericsson Mediation from its state-of-the-art Business and Operations Support Systems (BSS/OSS) portfolio. Ericsson Charging provides an effective route to capture and secure revenue streams and take advantage o ...

Ericsson (ERIC) has inked an agreement with Viettel for an undisclosed amount to help create a robust digital infrastructure in Vietnam and provide superior 5G connectivity across the country. The deal strengthens the long-term business relationship between Ericsson and the state-owned telecommunications conglomerate and paves the way for developing an innovative 5G ecosystem in the Southeast Asian nation. Here's What the ERIC-Viettel Deal Brings to the Table Per the deal, the two firms will work in unison ...

Ericsson (ERIC) recently announced that it has collaborated with Telenor Microfinance Bank ("TMB") to upgrade the digital financial capabilities of easypaisa. Based in Pakistan, easypaisa is a subsidiary of TMB and one of the prominent digital service providers in the country, serving millions of users every day. Digital banking services are growing in prominence across industries, owing to several advantages offered compared with legacy banking system. 24/7 accessibility and remarkable flexibility enable u ...

Core Insights - Ericsson's stock has increased by approximately 26% year-to-date, outperforming broader indices [1] - The company reported Q2 results with a 7% year-over-year revenue decline to SEK 59.8 billion ($64.4 billion), but exceeded expectations due to a 5G licensing deal [1] - Net income for Q2 was SEK -11 billion, impacted by a SEK -11.4 billion impairment [1] - North America sales grew by 15% year-over-year, while sales in South East Asia, Oceania, and India fell 44% year-over-year in Q1 [1] - Adjusted gross margins improved to 43.9% from 38.3% year-over-year, driven by higher sales from the U.S. market [1] - Future revenue growth is projected to be low single digits, with modest operating leverage potential [1] - The company's revenue forecast for fiscal year 2024 is $23.5 billion, down 6% year-over-year, with a revised valuation of $7 per share [3] Financial Performance - Q2 EPS was SEK -3.34 compared to -$0.21 in the same quarter last year [1] - The stock has underperformed the broader market in the last three years, with returns of -7% in 2021, -44% in 2022, and 13% in 2023 [2] - Current stock valuation appears expensive, with a 10% discount from the market price based on projected EPS of $0.53 and a P/E multiple of 13.2x for fiscal year 2024 [3] Market Context - The company faces uncertain macroeconomic conditions, including potential rate cuts and geopolitical tensions, which may impact performance [3] - There is a lack of fundamental shifts toward new deployments, indicating a sluggish long-term growth trajectory unless strategic initiatives gain momentum [1]

Ericsson (ERIC) recently announced that it formed a partnership with INFORM, a prominent provider of AntiMoney Laundering (AML) and Fraud Management Solutions. The collaboration will work to bolster the security posture of financial services. ERIC offers a robust and simple digital wallet and payment service named Ericsson Wallet Platform that combines mobile communications and financial services capabilities. The platform has 114 million active users across 24 countries. Every month, it processes around 3 ...

Singtel, a leading telecom operator in Singapore, recently announced that it has become the first company in the world to commercially deploy Ericsson's (ERIC) newly launched Automated Radio Resource Partitioning (ARRP) solution. Unlike traditional network slicing methods that require customers to specify their network needs in advance, this cutting-edge software solution intelligently allocates network resources to meet varying workloads of enterprises and consumer applications. This flexibility aims to el ...

49% of Businesses Show Poor Collaboration Experiences Negatively Impacted Customer Experience Business leaders share insight into what they need to better communicate and collaborate internally and externally HOLMDEL, N.J., Sept. 24, 2024 /PRNewswire/ -- In a study conducted by Forrester Consulting on behalf of Vonage, new insights have emerged demonstrating the significant effects of inadequate internal collaboration on organizational performance. The data reveals that businesses plagued by siloed departme ...

Group 1 - Carolina Dybeck Happe has resigned from Ericsson's Board of Directors after serving since 2022 [1] - The resignation follows her appointment as Executive Vice President and Chief Operations Officer at Microsoft on September 12, 2024 [1] - Jan Carlson, Chair of the Board, expressed gratitude for Dybeck Happe's contributions and wished her success in her new role [2] - Börje Ekholm, President and CEO of Ericsson, acknowledged Dybeck Happe's value as a Board member and looked forward to continued collaboration with her at Microsoft [2]