Ericsson sees ‘uncertainties’ after earnings miss estimates

The Stockholm-based company said first-quarter earnings would also be “somewhat lower” than a year ago

The Ericsson AB logo on day two of the MWC Barcelona. Photographer: Angel Garcia/Bloomberg

Ericsson AB reported a bigger-than-expected drop in fourth-quarter earnings after some of its major customers for 5G networks pulled back on spending following an uncertain economic environment. 

The Swedish maker of mobile networks on Friday reported an adjusted earnings before interest and taxes of 8.1bn Swedish kronor (€725m) in the quarter, well below analysts’ estimate of 10.74 billion kronor, according to the average in a Bloomberg survey.