Ericsson(US:ERIC) Prnewswireยท2025-04-15 05:19Core Insights - The company demonstrated solid momentum in Q1 2025, achieving a 48.5% adjusted gross margin and a 12.6% adjusted EBITA margin, despite a challenging macroeconomic environment [2][5]. Financial Performance - Net sales for Q1 2025 reached SEK 55.025 billion, a 3% increase from SEK 53.325 billion in Q1 2024 [4][5]. - Adjusted gross income rose to SEK 26.7 billion from SEK 22.8 billion year-over-year, driven by sales growth and improved gross margins [5]. - Adjusted EBITA was SEK 6.933 billion, reflecting a 36% increase compared to SEK 5.098 billion in Q1 2024, with a margin of 12.6% [6]. - Net income increased to SEK 4.217 billion from SEK 2.613 billion, resulting in a diluted EPS of SEK 1.24, up from SEK 0.77 [5][6]. - Free cash flow before M&A was SEK 2.704 billion, down from SEK 3.671 billion in the previous year [5]. Technology Leadership - The company is on track to offer a portfolio of 130 radios supporting programmable networks in 2025, further extending its technology leadership [3][5]. - A partnership was announced with Telstra for the first Asia Pacific programmable network, including the deployment of 5G Advanced [3][5]. Market Outlook - The company remains confident in its strong position in Mobile Networks and anticipates stabilization in the Enterprise segment by 2025 [4]. - The focus will continue on controlling internal factors and delivering to customers amidst global trade volatility [4].