(Bloomberg) -- Nokia Oyj said it won't meet its full-year outlook for sales, operating margin and free cash flow because it hasn't concluded license renewals for its technology unit.
The Finnish telecom company said it expected to reach agreements by year's end, but now anticipates the deals won't close until 2024.
“While there have been intense negotiations between the relevant parties and courts around the world have found in Nokia's favor, the company will prioritize protecting the value of its patent portfolio versus achieving certain timelines for resolution,” Nokia said Friday in a statement.
Earlier this month, Nokia cut its longer-term profitability target after losing a key contract in the US and saying its 5G networks business faces challenges over the next two years.
The company said it will report results for the fourth quarter and full year on Jan. 25. The initial 2024 outlook provided when the company cut its long-term profit guidance on Dec. 12 remains “unchanged,” Nokia said.
--With assistance from Rafaela Lindeberg.
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