Friday January 23 2009 Nokia, the world's largest mobile-phone maker, slashed its dividend for the first time in seven years and forecast a 10pc slide in industry sales as the global crisis saps consumer demand.
Fourth-quarter net income slumped to the lowest level since 2001, and revenue fell by a fifth, the Finland-based company said yesterday. Profit and sales missed analysts' estimates, sending Nokia shares 9.1pc lower in Helsinki trading.
Nokia sold 15pc fewer phones in the quarter than a year earlier and cut its industry sales forecast for a third time since November. The economic slump has led competitors Motorola Inc and Sony Ericsson Mobile Communications Ltd to post losses.
Chief financial officer Rick Simonson said Nokia lowered its dividend and put share buybacks on hold to reflect lower earnings and to preserve cash.