Ericsson Posts Drop In Q2 Profit

Ericsson

reported a decline in its second-quarter earnings. Ericsson's quarterly net profit dropped to 1.11 billion Swedish kronor ($159 million), versus SEK3.12 billion, in the year-ago quarter. Its gross margin dropped to 32.0% from 37.8%. However, analysts were expecting a net profit of SEK1.67 billion. Its net sales declined to SEK55.32 billion from SEK54.77 billion, versus analysts' estimates of SEK54.5 billion. Ericsson shares fell 0.84% to close at $8.31 yesterday.