Core Insights - Actelis Networks has received approximately $200,000 in new orders from a major U.S. telecommunications carrier, indicating rapid expansion following an initial deployment announcement in December 2025 [1][4] - The new orders reflect the carrier's confidence in Actelis' technology and the urgency for large-scale T1-to-fiber infrastructure modernization [2][4] Company Developments - Actelis has supplied several hundred MetaLIGHT 650SV units to the carrier as part of the initial deployment, with the carrier's network infrastructure having hundreds of thousands of additional points for potential T1 convergence with fiber [3][4] - The carrier has conducted extensive lab evaluations and multiple First Office Applications (FOAs) of Actelis' solutions, with further deployments in progress [3] Market Context - The Federal Communications Commission (FCC) is advancing proposals to accelerate copper-network retirements, increasing the urgency for carriers to adopt cost-effective modernization solutions [4] - Legacy TDM-based services are still widely used in the U.S., highlighting the market need for efficient infrastructure transition solutions [4] Strategic Focus - The company aims to convert initial wins into repeat business and expand deployments within approved customer footprints, demonstrating progress in its strategic focus for 2026 [5]

Group 1 - Vecima Networks Inc. will hold a conference call and live audio webcast on February 12, 2026, at 1:00 p.m. (ET) to discuss its financial and operational results for the three and six months ended December 31, 2025 [1][2] - A news release announcing the results will be issued before the markets open on the day of the call [2] - The conference call will include a question-and-answer session for analysts and institutional investors following management's presentation [2] Group 2 - Vecima Networks is focused on leading the evolution to multi-gigabit, content-rich networks, providing software, services, and integrated platforms for broadband and video streaming networks [3] - The company aims to enhance customer networks with cloud-based solutions that deliver high speed, superior video quality, and new services [3] - Vecima emphasizes the importance of connectivity in enabling growth and thriving communities [3]

Financial Data and Key Metrics Changes - In Q4 2025, net sales increased by 3% to EUR 6.1 billion, with an operating profit of EUR 1 billion and free cash flow of EUR 0.2 billion [4][16] - For the full year 2025, net sales reached EUR 19.9 billion, with an operating profit of EUR 2 billion, slightly above guidance [4][16] - Free cash flow conversion was 72%, consistent with guidance [4][16] - Gross margin improved by 90 basis points to 48.1%, while operating margin was 17.3%, down 90 basis points due to increased investments [16][17] Business Line Data and Key Metrics Changes - Network Infrastructure saw a 7% increase in net sales in Q4, driven by a 17% growth in optical networks [5][17] - Cloud and Network Services experienced a 4% decline in Q4, attributed to revenue recognition timing, but had a 6% growth for the full year [17][18] - Mobile Networks net sales increased by 6%, with growth in the Middle East, Africa, Japan, and Indonesia [18] - Nokia Technologies faced a 17% decline in net sales in Q4, impacted by lower catch-up sales and a EUR 20 million impairment charge [19] Market Data and Key Metrics Changes - AI and cloud customers accounted for 16% of total net sales and 30% of Optical Networks in Q4 [17] - North America showed strong growth in Network Infrastructure, while Cloud and Network Services and Mobile Networks declined [20] - In APAC, growth was noted in Japan and Indonesia, while declines were seen in India and Greater China [20] Company Strategy and Development Direction - The company aims to focus on long-term value creation, emphasizing AI and cloud opportunities, and has simplified its operating model [4][11] - A new Mobile Infrastructure segment was formed to enhance accountability and profitability [8] - The company is investing in defense-grade solutions and has established Nokia Defense as a new incubation unit [10] - The target for operating profit in 2026 is set between EUR 2 billion and EUR 2.5 billion, with a focus on disciplined execution [12][16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term potential of optical networking and AI infrastructure, despite a conservative growth forecast for 2026 [30][31] - The company anticipates a somewhat lower than normal seasonal decline in Q1 2026 due to strong Q4 performance [33] - Management highlighted the importance of clarity in regulatory frameworks like the Cybersecurity Act for future business opportunities [54][56] Other Important Information - The company closed the acquisition of Nokia Shanghai Bell, expecting EUR 200 million in cost synergies [11] - A new head of IP networking has been appointed to enhance focus on this area [47] - The company plans to invest EUR 900 million to EUR 1 billion in CapEx, primarily for optical networks [35][36] Q&A Session Summary Question: Growth expectations for optical networks - Management acknowledged the strong growth in Q4 but guided for a more conservative 10%-12% growth in 2026 due to transitioning from a telco-centric base [30][31] Question: Seasonal trends in Q1 - Management indicated that a slower start to the year is typical following a strong Q4, particularly in mobile networks [33] Question: CapEx visibility and order book - Management emphasized long-term trends and confidence in the market, noting that CapEx investments are aimed at supporting future growth [36] Question: Impact of restructuring costs - Management confirmed ongoing restructuring costs but expects significant savings in the long term [38] Question: North America market dynamics - Management acknowledged headwinds from customer losses but noted positive trends in AI and cloud segments [66][67] Question: Supply constraints in optical networks - Management confirmed supply constraints exist but emphasized ongoing investments to support capacity and capability in the ecosystem [60][62]

Nokia (NYSE:NOK) Q4 2025 Earnings call January 29, 2026 04:30 AM ET Company ParticipantsAlexander Duval - Head of Europe Technology Hardware and Semiconductors Equity ResearchDavid Mulholland - Head of Investor RelationsJustin Hotard - President and CEOMarco Wirén - CFOSami Sarkamies - Head of TMTSimon Leopold - Managing DirectorSébastien Sztabowicz - Head of IT Hardware and Semis Sector ResearchTerence Tsui - VPConference Call ParticipantsArtem Beletski - Equity AnalystDaniel Djurberg - Senior Equity Analy ...

Financial Data and Key Metrics Changes - In Q4 2025, net sales increased by 3% to EUR 6.1 billion, with an operating profit of EUR 1 billion and free cash flow of EUR 0.2 billion [3][14] - For the full year, net sales reached EUR 19.9 billion, with an operating profit of EUR 2 billion, slightly above the midpoint of guidance [3][14] - Free cash flow conversion was 72%, consistent with guidance [3][14] - Gross margin improved by 90 basis points to 48.1%, while operating margin was 17.3%, down 90 basis points due to increased investments [14][15] Business Line Data and Key Metrics Changes - Network Infrastructure saw a 7% increase in net sales in Q4, driven by a 17% growth in optical networks [4][15] - AI and cloud customers accounted for 16% of net sales and 30% of Optical Networks in Q4 [15] - Cloud and Network Services experienced a 4% decline in Q4, but delivered 6% growth for the full year [15][16] - Mobile Networks net sales increased by 6%, driven by growth in the Middle East, Africa, Japan, and Indonesia [16] - Nokia Technologies faced a 17% decline in net sales in Q4, impacted by lower catch-up sales [17] Market Data and Key Metrics Changes - North America showed strong growth in Network Infrastructure, while Cloud and Network Services and Mobile Networks declined [18] - In APAC, Japan and Indonesia grew, but there were declines in India and Greater China [18] - Europe grew by 4%, with strength in network infrastructure, while the Middle East and Africa saw growth in both mobile networks and network infrastructure [18] Company Strategy and Development Direction - The company is focused on disciplined execution to capture growth in AI and cloud, with a simplified operating model and clearer priorities [10][11] - The acquisition of Infinera is part of the strategy to strengthen the portfolio and focus on areas with opportunities for differentiation and sustainable market leadership [3][10] - The creation of Nokia Defense aims to deliver defense-grade solutions based on Nokia's mobile and network infrastructure technologies [9] - The company is investing in optical and IP networks as primary growth engines, with a target of 6%-8% compound annual growth in network infrastructure from 2025 to 2028 [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term opportunities in optical networking and AI infrastructure, despite a conservative guidance for growth [28][29] - The company anticipates a somewhat subseasonal trend in Q1 2026 due to normalization after a strong Q4 [31] - Management highlighted the importance of clarity on replacement schedules and support for network operators in light of new regulations [50][51] Other Important Information - The company closed the transaction to take full ownership of Nokia Shanghai Bell, expecting approximately EUR 200 million in run rate cost synergies [10] - The company is targeting an operating profit of EUR 2 billion to EUR 2.5 billion for 2026, with a focus on new product launches and investments in AI and cloud [11][70] Q&A Session Summary Question: On optical growth guidance - The company acknowledged the strong growth in optical networking but provided conservative guidance for 2026 due to transitioning from a telco-centric base and the need for disciplined execution [28][29] Question: CapEx visibility and order book - Management indicated that CapEx investments are aligned with long-term market trends and near-term demand, emphasizing the importance of these investments for future growth [34][35] Question: Supply-related constraints - The company recognized supply constraints in the broader ecosystem but remains focused on securing supply and managing commitments [57] Question: North America market dynamics - Management noted headwinds from customer losses in North America but highlighted positive trends in AI and cloud segments [63][64] Question: Operating guidance for 2026 - The company provided insights into the EUR 2 billion to EUR 2.5 billion guidance, emphasizing the impact of new product launches and investments in AI and cloud [72][74]

It should be noted that Nokia and its business are exposed to various risks and uncertainties and certain statements herein that are not historical facts are forward-looking statements. These forward-looking statements reflect Nokia's current expectations and views of future developments and include statements preceded by "believe", "expect", "expectations", "commit", "anticipate", "foresee", "see", "target", "estimate", "designed", "aim", "plan", "intend", "influence", "assumption", "focus", "continue", "p ...

Core Insights - Nokia reported a significant increase in sales of its network infrastructure equipment driven by rising demand from artificial intelligence and data-center customers [1] Company Summary - The surge in demand for network infrastructure is attributed to the growing needs of artificial intelligence applications and data centers [1]

Core Insights - Nokia has announced a reorganization of its business into two primary operating segments to better align with customer needs and enhance innovation in response to the increasing demand for advanced connectivity driven by the AI supercycle [2][3] Segment Overview - The new Network Infrastructure segment is recognized as a growth area, focusing on capitalizing on the global AI and data center build-out, and includes three business units: Optical Networks, IP Networks, and Fixed Networks, led by David Heard [3] - The Mobile Infrastructure segment consolidates Nokia's Core Networks, Radio Networks, and Technology Standards, aiming for leadership in core and radio network technology and services, with a focus on AI-native networks and 6G, led by Justin Hotard on an interim basis [4] - A new segment called Portfolio Businesses has been created for units not considered core to Nokia's future strategy, which includes Fixed Wireless Access CPE, Site Implementation and Outside Plant, Enterprise Campus Edge, and Microwave Radio [5] Financial Reporting Changes - Nokia will report its segment financial information according to the new organizational structure starting with Q1 2026, including detailed net sales information for business units within the Network Infrastructure and Mobile Infrastructure segments [6] - Comparative segment financial information for 2025 and 2024 has been recast to reflect the new structure, with no impact on reported or comparable results for the Nokia Group [7] Financial Performance Summary - For the Network Infrastructure segment in 2025, net sales totaled EUR 7,646 million, with a gross profit of EUR 3,281 million and a gross margin of 42.9% [8] - The Mobile Infrastructure segment reported net sales of EUR 11,409 million in 2025, with a gross profit of EUR 5,515 million and a gross margin of 48.3% [9] - The Portfolio Businesses segment achieved net sales of EUR 845 million in 2025, with a gross profit of EUR 183 million and a gross margin of 21.7% [10]

Core Points - Nokia Corporation's Annual General Meeting is scheduled for April 9, 2026, at Finlandia Hall, Helsinki, Finland, with proposals available on the company's website [1] - Sari Baldauf will step down from the Board of Directors, and the Board proposes to maintain the number of Board members at ten [2] - The Board recommends re-election of current members and the election of Meredith Whittaker as a new member [3] - The Board proposes to keep annual fees for Board members at current levels, with approximately 40% paid in Nokia shares [6][8] - The Board seeks authorization to distribute a maximum of EUR 0.14 per share as dividends [10][11] - Deloitte Oy is proposed for re-election as the auditor and sustainability reporting assurer for the financial year 2027 [13][14] - The Board proposes to authorize the issuance and repurchase of a maximum of 550 million shares [15][18] - Other matters to be addressed include adopting the financial statements for 2025 and granting discharge from liability to Board members [19][20]

Core Insights - Nokia's Q4 2025 performance met expectations, with net sales growing 3% to EUR 6.1 billion and full-year operating profit of EUR 2.0 billion, slightly above guidance [4][7] - The company is focusing on long-term growth opportunities, particularly in AI and Cloud, and has simplified its operating model for better accountability and profitability [8][11] Financial Performance - Q4 2025 net sales reached EUR 6.1 billion, a 3% increase year-over-year, while full-year net sales grew 2% on a constant currency basis [4][7] - Comparable gross margin for Q4 improved by 90 basis points to 48.1%, while reported gross margin decreased by 120 basis points to 44.9% due to restructuring charges [7][14] - Full-year comparable operating profit was EUR 2.0 billion, with a free cash flow of EUR 1.5 billion, equating to a conversion rate of 72% [7][12] Business Segments - Network Infrastructure saw a 7% increase in net sales in Q4, driven by a 17% growth in Optical Networks, with strong order intake from AI and Cloud customers [5][6] - Mobile Networks net sales grew by 6% in Q4, while Cloud and Network Services experienced a 4% decline [6][12] - Nokia Technologies maintained a contracted net sales run-rate of EUR 1.4 billion, reflecting stable performance [6] Strategic Initiatives - The acquisition of Infinera has strengthened Nokia's portfolio, aligning with its strategy to leverage AI in network operations [7][9] - The company is investing in AI-native networks and 6G technologies, anticipating significant demand in these areas [10][12] Outlook for 2026 - Nokia targets a comparable operating profit of EUR 2.0 to 2.5 billion for 2026, with expectations of strong demand in Network Infrastructure [12][18] - The company anticipates net sales growth in Network Infrastructure of 6-8% CAGR, with combined IP and Optical Networks expected to grow 10-12% [20][26] - Capital expenditures are projected to be between EUR 900 million and 1 billion, primarily for manufacturing capacity and real estate renewal projects [20][21]