Ericsson reports first quarter results 2025

STOCKHOLM,April 15, 2025/PRNewswire/ --

Strategic highlights – solid momentum in technology leadership and programmable networks  

  • Extending technology leadership with expanded high-performing and energy-efficient product portfolio.  
  • First high-performing programmable networks partnership forAsia Pacificwith Telstra announced.  
  • Announced network API fraud detection deployment by all threeUSAoperators and further Aduna partnerships.  

First quarter highlights – strong growth in gross income and margins 

  • Organic sales were stable, with strong growth in market area Americas offset by declines in other market areas. Reported sales wereSEK 55.0(53.3) b.  
  • Adjusted[1] gross income increased toSEK 26.7(22.8) b. driven by sales growth and strong gross margin expansion. Reported gross income wasSEK 26.5(22.7) b.  
  • Adjusted[1] gross margin was 48.5% (42.7%) supported by improvements in all segments with strong operational execution. Reported gross margin was 48.2% (42.5%).  
  • Adjusted[1] EBITA wasSEK 6.9(5.1) b. with a 12.6% (9.6%) margin, benefiting from higher gross income. EBITA wasSEK 6.7(4.9) b. Q1 2024 included a one-time gain ofSEK 1.9 b.   
  • Net income wasSEK 4.2(2.6) b. EPS diluted wasSEK 1.24(0.77).  
  • Free cash flow before M&A wasSEK 2.7(3.7) b.  

Börje Ekholm, President and CEO, said:"We sustained solid momentum in Q1, despite a challenging and fast changing macro backdrop, and our results highlight our competitiveness. Our solid execution contributed to a strong 48.5% adjusted gross margin and 12.6% adjusted EBITA margin.  

We extended our technology leadership position further and are on track to offer a portfolio of 130 radios this year that support programmable networks. In Q1, we announced the firstAsia Pacificprogrammable network, including deployment of 5G Advanced, with Telstra.  

Looking ahead, we remain confident of our strong position in Mobile Networks and expect Enterprise to stabilize during 2025. In the evolving global trade landscape and macro volatility, we continue to focus on controlling what we can control and delivering to our customers. We are not immune, but we are resilient, with well diversified production close to the customer and the flexibility to adapt to changing conditions over time." 

SEK b.

Q1

                                    2025

Q1

                                    2024

YoY

                                    change

Q4

                                    2024

QoQ

                                    change

Net sales

55.025

53.325

3 %

72.913

-25 %

 Organic sales growth*[2] 

-

-

0 %

-

-

Gross margin[2]

48.2 %

42.5 %

-

44.9 %

-

EBIT 

5.931

4.100

45 %

7.958

-25 %

EBIT margin[2]

10.8 %

7.7 %

-

10.9 %

-

EBITA[2]

6.652

4.893

36 %

8.623

-23 %

EBITA margin[2]

12.1 %

9.2 %

-

11.8 %

-

Net income 

4.217

2.613

61 %

4.879

-14 %

EPS diluted, SEK 

1.24

0.77

61 %

1.44

-14 %

Free cash flow before M&A[2]

2.704

3.671

-26 %

15.824

-83 %

Net cash, end of period[2]

38.647

10.807

258 %

37.830

2 %

Adjusted financial measures[1][2]

Adjusted gross margin 

48.5 %

42.7 %

-

46.3 %

-

Adjusted EBIT 

6.212

4.305

44 %

9.584

-35 %

Adjusted EBIT margin 

11.3 %

8.1 %

-

13.1 %

-

Adjusted EBITA 

6.933

5.098

36 %

10.25

-32 %

Adjusted EBITA margin 

12.6 %

9.6 %

-

14.1 %

-

* Sales adjusted for the impact of acquisitions and divestments and effects of foreign currency fluctuations.   

[1] Adjusted metrics exclude restructuring charges. This is a change in nomenclature only, compared with previous reports. 

[2] Non-IFRS financial measures are reconciled at the end of this report to the most directly reconcilable line items in the financial statement. 

NOTES TO EDITORS 

You find the complete report with tables in the attached PDF or on www.ericsson.com/investors

Video webcast for analysts, investors and journalists 

President and CEO Börje Ekholm and CFOLars Sandströmwill comment on the report and take questions at a video webcast at9:00 AM CEST(8:00 AM GMTLondon,3:00 AM ESTNew York).  

Join the webcast or please go to www.ericsson.com/investors

To ask a question: Access dial-in information here

The webcast will be available on-demand after the event and can be viewed atwww.ericsson.com/investors. 

FOR FURTHER INFORMATION, PLEASE CONTACT 

Contact person 

Daniel Morris, Head of Investor Relations 

Phone: +44 7386657217 

E-mail:investor.relations@ericsson.com

Additional contacts 

Stella Medlicott, Senior Vice President, Marketing and Corporate Relations 

Phone: +46 730 95 65 39 

E-mail:media.relations@ericsson.com

Investors 

Lena Häggblom, Director, Investor Relations 

Phone: +46 72 593 27 78 

E-mail: lena.haggblom@ericsson.com

Alan Ganson, Director, Investor Relations 

Phone: +46 70 267 27 30 

E-mail:alan.ganson@ericsson.com

Media 

Ralf Bagner, Head of Media Relations 

Phone: +46 76 128 47 89 

E-mail:ralf.bagner@ericsson.com

Media relations  

Phone: +46 10 719 69 92 

E-mail: media.relations@ericsson.com

This is information that Telefonaktiebolaget LM Ericsson is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at07:00 CESTonApril 15, 2025. 

This information was brought to you by Cisionhttp://news.cision.com

https://news.cision.com/ericsson/r/ericsson-reports-first-quarter-results-2025,c4136005

The following files are available for download:

https://mb.cision.com/Main/15448/4136005/3390844.pdf

Q1 2025 GB

https://mb.cision.com/Public/15448/4136005/bf50c50a80eaf8e8.xlsx

Q1 2025

 

CisionView original content:https://www.prnewswire.com/apac/news-releases/ericsson-reports-first-quarter-results-2025-302428477.html

SOURCE Ericsson