STOCKHOLM: Swedish telecommunications equipment giant Ericsson posted a jump in first-quarter net profit Tuesday as North American sales soared ahead of tariffs, but warned it was not “immune” from the trade war.
Ericsson said its profit after tax reached 4.2 billion kroner ($430.7 million) in the first three months of the year, surging 61 percent compared to the same period in 2024.
Sales rose three percent to 55 billion kroner, slightly lower than forecast by analysts surveyed by Bloomberg.
It sales in the Americas region surged 20 percent, offsetting declines in other parts of the world, the company said in its quarterly earnings statement.
“In North America, sales in Networks grew strongly, benefiting from previous contract wins and accelerated network investments by other customers, in part reflecting tariff uncertainty,” Ericsson said.
Ericsson’s Q4 core profit rises
North America is a key market for Ericsson, accounting for almost a third of its revenue.
US President Donald Trump implemented a tariff of 10 percent on global imports this month, but he paused plans for higher duties on dozens of countries, including a 20 percent duty for goods from EU nations.
“In the evolving global trade landscape and macro volatility, we continue to focus on controlling what we can control and delivering to our customers,” Ericsson chief executive Borje Ekholm said, “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,” he said.
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