This Article is From Apr 24, 2013

Ericsson's India net sales up 13 per cent at Rs 1,314 crore in March quarter

Ericsson's India net sales up 13 per cent at Rs 1,314 crore in March quarter
New Delhi:

Telecom equipment-maker Ericsson on Wednesday reported a 13 per cent rise in net sales to 1.61 billion Swedish Krona (about Rs 1,314 crore or $242.63 million), from its India operations for the quarter ended March.

The Swedish firm said that regulatory uncertainty is leading to cautious spending.

The company had posted net sales of Swedish Krona (SEK) 1.42 billion (about Rs 1,161 crore) during the first quarter in 2012, it said in a statement.

"Operator spending remains cautious, principally because of sustained regulatory uncertainty. The momentum for managed services continued with a major contract signed in the quarter," the statement added.

The company's revenues from its network operations stood at SEK 858 million (about Rs 702 crore), global services at SEK 627 million (about Rs 513 crore) and those from support solutions were SEK 121 million (about Rs 99 crore) during the January-March 2013 quarter.

The number of employees at the firm's Indian arm stood at 14,588 at the end of March 31, 2013 compared to 12,567 during the same period of 2012. The total global employee strength of Ericsson stood at 109,648 as on March 31, 2013.

Overall, the company's net sales rose by 2 per cent to SEK 52 billion (about USD 7.8 billion) from SEK 51 billion in January-March 2013. Net income of the company fell by 86 per cent to SEK 1.2 billion from SEK 8.8 billion during the reviewed period.

"While macroeconomic and political uncertainty continues in certain regions, the long term fundamentals in the industry remain attractive and we are well positioned to continue to support our customers in a transforming ICT market," said Hans Vestberg, CEO and president of Ericsson, on the outlook.