Ericsson Nikola Tesla achieved a net profit of 101.4 million kuna in the first half of the year

The company Ericsson Nikola Tesla achieved a net profit of 101.4 million kuna, representing a growth of 190 percent compared to the same period last year, the company announced on Tuesday.

Gross profit amounts to 154.3 million kuna, an increase of 105.1 percent, while the gross margin records an increase to 15.2 percent (compared to 7.8 percent in the first half of last year) as a result of lower transition and transformation costs, the effect of the cost efficiency program, and a favorable business mix.

Sales revenue in the first half of the year amounted to 1.01 billion kuna, an increase of five percent compared to the same period last year. In total sales revenue, the share of the domestic market accounts for 44.1 percent, services for Ericsson 44.9 percent, while other export markets contribute 11 percent.

Sales revenue in the domestic market amounted to 447 million kuna, an increase of 6.2 percent, while in export markets (excluding services for Ericsson) it increased by 5.7 percent, reaching 111.5 million kuna.

In Ericsson’s market, sales revenue amounts to 455.7 million kuna, an increase of 3.6 percent.

– The uncertainty caused by the COVID-19 pandemic was present during the first half of 2021, and it seems likely that it will continue to some extent. Additionally, political instability in certain markets where we operate, such as Belarus, has continued to escalate, so we can say that business in the first six months of this year has taken place under extremely challenging market conditions –  said the president of Ericsson NT Gordana Kovačević.

Despite this, as she noted, and thanks primarily to a strong focus on customers, responsible risk management, timely quality deliveries of contracted jobs, and a focus on maintaining business continuity and collecting receivables, they have been successful in all segments of business, as evidenced by the achieved business results.

– The results achieved during the first six months, as well as the large number of important and complex projects we are working on, along with the knowledge, motivation, and dedication of our employees, strengthen our belief in achieving the Group’s goals for 2021. –  emphasized Kovačević.

She also notes that they continue to invest in 5G and new technologies, the digital transformation of the Group, retaining key personnel and attracting new talents, as well as developing competencies, because only through technological leadership and with outstanding and motivated experts, as she stated, can they effectively create and implement modern ICT solutions that accelerate the digital transformation of society and contribute to the economic recovery and increase the competitiveness of Croatia.