Mobile network equipment maker LM Ericsson Telephone Co. (ERIC) reported Friday that net income for the second quarter declined 20 percent to 2.1 billion Swedish kronor from last year's 2.1 billion kronor. Earnings per share also decreased 19 percent to 0.64 krona from 0.79 krona last year.
Excluding items, adjusted earnings for the quarter was 1.45 kronor per share, compared to last year's 1.07 kronor per share.
Net sales for the quarter grew 11 percent to 60.7 billion kronor from 54.8 billion kronor in the same quarter. Sales for comparable units, adjusted for currency, decreased 6 percent from last year, mainly impacted by less capacity business in North America.
Gross margin for the quarter also contracted to 33.2 percent from last year's 36.4 percent, due to lower capacity business in North America and continued 4G coverage deployments in Mainland China, lower IPR revenues and higher share of services sales.
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