Nokia Company (NYSE: NOK) This autumn 2020 earnings name dated Feb. 04, 2021
Good day and welcome to the Nokia Fourth Quarter and Full-Yr 2020 Earnings Teleconference and Video Name. [Operator Instructions] Please observe that this occasion is being recorded.
I might now like to show the convention over to Mr. Matt Shimao, Head of Investor Relations. Sir, you might start.
Matt Shimao — Head of Investor Relations
Women and gents, welcome to Nokia’s fourth quarter and full-year 2020 convention name. I’m Matt Shimao, Head of Nokia Investor Relations. Pekka Lundmark, President and CEO of Nokia; and Marco Wiren, CFO of Nokia, are right here with me through teleconference and video immediately.
Throughout this name, we’ll be making forward-looking statements concerning our future enterprise and monetary efficiency. These statements are predictions that contain dangers and uncertainties. Precise outcomes might subsequently differ materially from the outcomes we at the moment anticipate. Elements that would trigger such variations will be each exterior, in addition to inner working elements. We have now recognized such danger in additional element within the part titled, Working and Monetary Evaluate and Prospects-Danger Elements of our 2019 Annual Report on Kind 20-F, our Monetary Report for Q1 printed on April 30 on Kind 6-Okay, in addition to our different filings with the US Securities and Change Fee.
Please observe that our outcomes launch, the entire report with tables, and the presentation on our web site embody non-IFRS and comparable outcomes info along with the reported outcomes info. Our full monetary report with tables out there on our web site features a detailed rationalization of the content material of the non-IFRS info and a reconciliation between the non-IFRS and the reported info. At present’s inventory alternate launch and presentation will be discovered on the Investor Relations part of the Nokia web site.
With that, I might now like to show the decision over to Pekka.
Pekka Lundmark — President and Chief Government Officer
Thanks very a lot, Matt, and pricey buyers welcome to hitch us immediately. I’m completely happy to report that we had a stable This autumn to finish 2020, and really, as you’ll have seen, we got here in on the high-end of our beforehand communicated outlook vary. The Nokia degree non-IFRS consequence, each gross margin and working margin, had been wholesome they usually had been up. Non-IFRS working margin was 16.6% and that was up 20 foundation factors after which, after all, for the full-year the rise was greater. We got here in at 9.7% and former 12 months was 8.6%. And as you’ve seen, gross margin improvement, fairly good non-IFRS gross margin 41.8% for the quarter and 40% the 12 months earlier than. This was pushed by, initially, regional combine shift in direction of higher-margin North American market. It was additionally pushed by our R&D efforts to reinforce product high quality and price competitiveness and that is, after all, fairly encouraging [Indecipherable]. Most of this was within the Networks enterprise after which, after all, this was the final 12 months. Now, after we report on this construction, the place Networks is one enterprise this 12 months we are going to resume a bit of bit deeper into the completely different elements of the Networks enterprise.
What we wish to spotlight is that, This autumn working revenue benefited about EUR250 million from two drivers, EUR150 million early cost after which EUR100 million from Nokia’s enterprise fund valuation that Marco will discuss a bit extra intimately. And in the event you flip or form of calculate that how a lot the EPS impact out of those two objects would have been, it might have been EUR0.035.
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