Core Viewpoint - Nokia Corporation reported solid performance in Q2 2025, although results were impacted by currency fluctuations, particularly a weaker USD, leading to a decline in net sales on a constant currency basis [7][12][13]. Financial Performance - Q2 2025 comparable net sales decreased by 1% year-over-year on a constant currency and portfolio basis, while reported sales declined by 2% [8][15]. - Mobile Networks experienced a significant decline of 13% in net sales, primarily due to a prior year settlement benefit and project timing in India [7][8]. - Network Infrastructure grew by 8%, and Cloud and Network Services saw a growth of 14% [8][9]. - Comparable gross margin remained stable at 44.7%, while the operating margin decreased by 290 basis points to 6.6% due to a negative impact from venture funds and tariffs [10][14]. - The company reported a comparable diluted EPS of EUR 0.04, with a free cash flow of EUR 0.1 billion and a net cash balance of EUR 2.9 billion [8][10]. Outlook - The full-year 2025 comparable operating profit outlook has been revised to a range of EUR 1.6 billion to EUR 2.1 billion, down from EUR 1.9 billion to EUR 2.4 billion, due to currency impacts and tariffs [12][13][20]. - The company expects a stronger performance in the second half of 2025, particularly in Q4, with anticipated growth in Network Infrastructure and Cloud and Network Services [12][19]. - The underlying business is trending largely as expected, with stable net sales in Mobile Networks on a constant currency basis [12][19]. Strategic Positioning - The CEO emphasized the importance of connectivity in the AI supercycle, positioning Nokia as a leader in mobile and fiber access, data center, and transport networks [4][6]. - There is a focus on unifying corporate functions to enhance productivity and customer value [5]. - Continued strong order momentum in Optical Networks was noted, with a book-to-bill ratio above 1, driven by new hyperscaler orders [11].