Shares in Nokia Oy fluctuated yesterday after the company reported 1996 pre-tax profits down 21% but in line with analysts’ forecasts. The company said it was confident of holding cellular phone margins above 10% in 1997, and on telecommunications, it said the company did not see any major change in the growth picture this year on the 30% current run rate, and it asserted that it had almost able to match price erosion by increasing productivity. Cellular phone margins were about 13% in the second half of the year, with profitability only achieved in that period and the fourth quarter was stronger than the third. On an overall basis, we believe that we are well positioned to exploit new opportunities during 1997 and that Nokia will continue to demonstrate strong growth and good profitability, Nokia chief executive Jorma Ollila summed up.
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