Telefon AB L.M.Ericsson

ERIC B

Equity

ISIN SE0000108656 / Valor 614663

NASDAQ Nordic Exchange Stockholm, Equities (2025-10-20)

SEK 89.08-0.49%

Telefon AB L.M.Ericsson
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About company

Telefon AB L.M.Ericsson is a Swedish multinational telecommunications company that provides products and services in the areas of network infrastructure, software, and services for telecommunications operators, enterprises, and governments worldwide.

Summarized from source with an LLMView SourceSector: Telecommunications

Sales Growth

Q4 sales increased by 2% year-over-year to SEK 72.9 billion, driven by a remarkable 54% growth in the North America market. Sales in Europe and Latin America also rose, while other regions saw significant declines.

Gross Margin Expansion

Adjusted gross income rose to SEK 33.7 billion, with the adjusted gross margin expanding to 46.3% from 41.1% last year. This improvement was fueled by supply chain efficiencies, commercial discipline, and a favorable market mix.

EBITA and Profitability

Adjusted EBITA reached SEK 10.2 billion, reflecting a margin of 14.1%, supported by higher gross income and cost-saving measures. Net income for Q4 was SEK 4.9 billion, with diluted EPS at SEK 1.44.

Free Cash Flow

Free cash flow before M&A stood at SEK 15.8 billion, underpinned by earnings growth and improved working capital management.

Strategic Developments

Ericsson launched new 5G Advanced software in October and signed a further patent licensing agreement in Q4, anticipating strong IPR revenue in 2024. The company also secured an open programmable network deal with MasOrange, marking a first for Europe.

Summarized from source with an LLMView Source

Key figures

0.07%1Y

44.8%3Y

-9.62%5Y

Performance

29.5%1Y

28.6%3Y

29.7%5Y

Volatility