Company Announcements

STOCKHOLM , April 15, 2025 /PRNewswire/ --

Strategic highlights – solid momentum in technology leadership and programmable networks  

• Extending technology leadership with expanded high-performing and energy-efficient product portfolio.  
• First high-performing programmable networks partnership for Asia Pacific with Telstra announced.  
• Announced network API fraud detection deployment by all three USA operators and further Aduna partnerships.  

First quarter highlights – strong growth in gross income and margins 

• Organic sales were stable, with strong growth in market area Americas offset by declines in other market areas. Reported sales were SEK 55.0 (53.3) b.  
• Adjusted[1] gross income increased to SEK 26.7 (22.8) b. driven by sales growth and strong gross margin expansion. Reported gross income was SEK 26.5 (22.7) b.  
• Adjusted[1] gross margin was 48.5% (42.7%) supported by improvements in all segments with strong operational execution. Reported gross margin was 48.2% (42.5%).  
• Adjusted[1] EBITA was SEK 6.9 (5.1) b. with a 12.6% (9.6%) margin, benefiting from higher gross income. EBITA was SEK 6.7 (4.9) b. Q1 2024 included a one-time gain of SEK 1.9 b.   
• Net income was SEK 4.2 (2.6) b. EPS diluted was SEK 1.24 (0.77).  
• Free cash flow before M&A was SEK 2.7 (3.7) b.  

Börje Ekholm, President and CEO, said: "We sustained solid momentum in Q1, despite a challenging and fast changing macro backdrop, and our results highlight our competitiveness. Our solid execution contributed to a strong 48.5% adjusted gross margin and 12.6% adjusted EBITA margin.  

We extended our technology leadership position further and are on track to offer a portfolio of 130 radios this year that support programmable networks. In Q1, we announced the first Asia Pacific programmable network, including deployment of 5G Advanced, with Telstra.  

Looking ahead, we remain confident of our strong position in Mobile Networks and expect Enterprise to stabilize during 2025. In the evolving global trade landscape and macro volatility, we continue to focus on controlling what we can control and delivering to our customers. We are not immune, but we are resilient, with well diversified production close to the customer and the flexibility to adapt to changing conditions over time." 

* Sales adjusted for the impact of acquisitions and divestments and effects of foreign currency fluctuations.   

[1] Adjusted metrics exclude restructuring charges. This is a change in nomenclature only, compared with previous reports. 

[2] Non-IFRS financial measures are reconciled at the end of this report to the most directly reconcilable line items in the financial statement. 

NOTES TO EDITORS 

You find the complete report with tables in the attached PDF or on www.ericsson.com/investors

Video webcast for analysts, investors and journalists 

President and CEO Börje Ekholm and CFO Lars Sandström will comment on the report and take questions at a video webcast at 9:00 AM CEST (8:00 AM GMT London, 3:00 AM EST New York).  

Join the webcast or please go to www.ericsson.com/investors

To ask a question: Access dial-in information here

The webcast will be available on-demand after the event and can be viewed at www.ericsson.com/investors. 

FOR FURTHER INFORMATION, PLEASE CONTACT 

Contact person 
Daniel Morris, Head of Investor Relations 
Phone: +44 7386657217 
E-mail: investor.relations@ericsson.com

Additional contacts 
Stella Medlicott, Senior Vice President, Marketing and Corporate Relations 
Phone: +46 730 95 65 39 
E-mail: media.relations@ericsson.com

Investors 
Lena Häggblom, Director, Investor Relations 
Phone: +46 72 593 27 78 
E-mail:  lena.haggblom@ericsson.com

Alan Ganson, Director, Investor Relations 
Phone: +46 70 267 27 30 
E-mail: alan.ganson@ericsson.com

Media 
Ralf Bagner, Head of Media Relations 
Phone: +46 76 128 47 89 
E-mail: ralf.bagner@ericsson.com

Media relations  
Phone: +46 10 719 69 92 
E-mail: media.relations@ericsson.com

This is information that Telefonaktiebolaget LM Ericsson is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 07:00 CEST on April 15, 2025. 

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