ERCB Income Statement - Telefonaktiebolaget LM Ericsson

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Price: 8.918 EUR 1.36%

Market Cap: €49.2B

T	Telefonaktiebolaget LM Ericsson XMUN:ERCB	SE
	Endeavour Silver Corp TSX:EDR	CA
	American Tower Corp NYSE:AMT	US
	M P Evans Group PLC LSE:MPE	UK
C	Commerzbank AG XHAN:CBK	DE
	E.ON SE XETRA:EOAN	DE
B	Banco de Sabadell SA SWB:BDSB	ES
R	Rush Enterprises Inc F:RUNA	US
	Colgate-Palmolive Co NYSE:CL	US
	China Coal Energy Co Ltd HKEX:1898	CN
	Noble Corporation PLC F:85V1	US
T	Tesla Inc F:TL0	US
	ORIX Corp TSE:8591	JP
	Tencent Holdings Ltd HKEX:700	CN
B	BWX Technologies Inc F:4BW	US
	LK Technology Holdings Ltd HKEX:558	HK
S	Sagility Ltd NSE:SAGILITY	IN
	Hanjaya Mandala Sampoerna Tbk PT F:HSZ	ID
	Essilorluxottica SA XETRA:ESL	FR
	Advanced Micro-Fabrication Equipment Inc China SSE:688012	CN
	Rivian Automotive Inc NASDAQ:RIVN	US
D	Diamondrock Hospitality Co NASDAQ:DRH	US
B	Bank of New York Mellon Corp XMUN:BN9	US
T	Teleflex Inc F:TBH	US

Financial profile · Q1 FY2026

A cash-generative telecom supplier facing quarterly earnings volatility

Ericsson’s multi-year history shows cyclical revenue, resilient operating cash generation, and moderate capital intensity. Profitability is more volatile than cash flow because restructuring, impairments, financing, and other non-operating items can materially separate net income from operating performance.

What is developing

The latest results preserve the cash-generative profile but show a sharper earnings squeeze: reported revenue declined despite disclosed organic growth, while restructuring charges substantially reduced quarterly operating and net income. This matters because the pressure is currently more visible below the operating-cash-flow line than in the underlying cash-generation pattern.

What matters next

Whether operating margin and net income recover as restructuring charges normalize while organic sales growth remains positive.

Metric	FY2016 Dec 2016	FY2017 Dec 2017	FY2018 Dec 2018	FY2019 Dec 2019	FY2020 Dec 2020	FY2021 Dec 2021	FY2022 Dec 2022	FY2023 Dec 2023	FY2024 Dec 2024	FY2025 Dec 2025
Revenue	220.3B	205.4B	210.8B	227.2B	232.4B	232.3B	271.5B	263.4B	247.9B	236.7B
Cost of Revenue	(151.6B)	(152.2B)	(136.7B)	(142.1B)	(137.9B)	(131.3B)	(158.1B)	(158.9B)	(136.5B)	(122.7B)
Gross Profit	68.7B	53.2B	74.1B	85.2B	94.4B	101B	113.5B	104.4B	111.4B	113.9B
Operating Expenses	(55.1B)	(66.6B)	(64.5B)	(74.3B)	(65B)	(68.5B)	(83.1B)	(86.2B)	(88.3B)	(81B)
Selling, General & Administrative	(27.5B)	(31.7B)	(27.2B)	(25.3B)	(26.4B)	(26.9B)	(35.6B)	(38.2B)	(38.5B)	(33B)
R&D	(28.9B)	(35.6B)	(37.6B)	(38.5B)	(39.3B)	(41.9B)	(47.2B)	(48.2B)	(50B)	(48.3B)
Other Operating Expenses	1.3B	668m	319m	(10.5B)	739m	303m	(249m)	300m	143m	262m
Operating Income	13.6B	(13.5B)	9.7B	10.9B	29.5B	32.5B	30.4B	18.2B	23.1B	33B
Net Interest Income (Expense)	(3B)	(856m)	(2.1B)	237m	(135m)	(2.1B)	(1.1B)	(2.1B)	(919m)	944m
Interest Expense	1.4B	1B	997m	1.9B	1.4B	951m	1.4B	2.7B	2.9B	2B
Non-Recurring Items	(7.6B)	(21.2B)	(8.4B)	(1.7B)	(1.4B)	(682m)	(4B)	(38.4B)	(18.4B)	5.3B
Total Other Income	(153m)	(454m)	(654m)	(690m)	(762m)	(469m)	(666m)	(1.1B)	(1.2B)	(936m)
Pre-Tax Income	2.9B	(36B)	(1.5B)	8.8B	27.2B	29.3B	24.6B	(23.3B)	2.6B	38.3B
Tax Provision	(1.9B)	3.5B	(4.8B)	(6.9B)	(9.6B)	(6.3B)	(5.5B)	(2.8B)	(2.2B)	(9.6B)
Income from Continuing Operations	1B	(32.4B)	(6.3B)	1.8B	17.6B	23B	19.1B	(26.1B)	374m	28.7B
Income to Minority Interest	(179m)	(143m)	(254m)	383m	(140m)	(286m)	(388m)	(342m)	(354m)	(286m)
Net Income	833m	(32.6B)	(6.5B)	2.2B	17.5B	22.7B	18.7B	(26.4B)	20m	28.4B
EPS (Diluted)	0.26	(9.94)	(1.98)	0.67	5.26	6.82	5.62	(7.94)	0.01	8.51