STOCKHOLM, SWEDEN — (Marketwired) — 04/09/13 —
Ericsson (NASDAQ: ERIC) President and CEO Hans Vestberg presented an
overview of
the company-s 2012 financial performance, key business developments and
governance framework at the Annual General Meeting of Shareholders in
Stockholm,
Sweden.
Vestberg said: “Our sales in 2012 were basically flat compared to 2011. We
reported sales of SEK 227.8 million for the year, which is more than 600
million
per day. We saw variation in growth for the different segments, but overall
we
are not satisfied with profitability.”
For two of Ericsson-s three business segments, Global Services and Support
Solutions, business grew and Vestberg highlighted a new acquisition within
IPTV.
“We help our customers create and deliver TV and video services with the
best
picture quality and end-user experience for interactive TV services. Our TV
solutions now have over 2000 customers globally. Yesterday we announced the
acquisition of Microsoft-s IPTV solution, called Mediaroom, which will make
Ericsson the leading provider of IPTV and multi-screen solutions with a
market
share of over 25%,” he said.
From 2011 to 2012, sales grew 16% for Global Services. The segment, with
60,000
employees, represents more than half of Ericsson-s global workforce. Key
deals
within Managed Services were highlighted during the shareholders- meeting
and
Vestberg said that customers are seeking more consulting and systems
integration
capabilities.
Within Networks, Ericsson remains market leader with 35% of mobile network
equipment market and has twice the size of installed base as the number two
and
three-ranked players combined. While 2011 was stronger than 2012 for
Networks,
the segment represents 51% of the company-s sales, and during the year,
Ericsson
won key deals for LTE delivery in North East Asia, Brazil, and North
America.
Illustrating how the world is moving toward a Networked Society, Vestberg
reviewed business deals from 2012 with industries such as shipping,
utilities,
and IT. “We stand strong in the transformation toward Information and
Communications Technology, successfully reshaping our business while not
losing
sight of our unique competitive advantages,” he said.
Wherever Ericsson works in the world, making a positive impact and
conducting
business responsibly is prioritized. Vestberg invited Elaine Weidman-
Grunewald,
head of Sustainability and Corporate Responsibility, onstage to outline the
highlights of the newly-released 2012 Sustainability and Corporate
Responsibility report.
Weidman-Grunewald said: “The theme of our report is Technology for Good,
which
summarizes our firm belief that mobile broadband is a transformational
technology that can help address global sustainability challenges.
“Our 2012 performance can be briefly described in three key focus areas:
The
positive impact of mobile broadband, energy continued. and climate change,
and
conducting business responsibly,” she
She covered specific activities that Ericsson is driving in the areas of
human
rights, and anti-corruption. She said: “We have updated our Code of
Business
Ethics to reflect the new UN Guiding Principles for Business and Human
Rights as
well as initiated a two-year business learning program on human rights and
business.
“Our Zero tolerance for corruption sets a high bar for responsible business
and
during the year we joined the Partnering Against Corruption Initiative,
PACI,
established by members of the World Economic Forum, to counter bribery and
provide a platform for corporate anti-corruption programs,” Weidman-
Grunewald
concluded.
Vestberg wrapped up his presentation to shareholders by awarding three
Ericsson
employees the title “Inventor of the Year.” Together, the three engineers
are
behind 292 patent applications, related to antenna and radio technology
within
HSPA and LTE.
Vestberg said: “We continuously aim to create a culture where our
colleagues can
be creative and contribute to Ericsson-s ability to always be on the
cutting
edge, and create new technologies as well as invent new solutions.
“Bo Göransson, George Jöngren, and Henning Weimann are some of
the many
fantastic examples of the unique competence, experience and professionalism
that
our 110,255 employees bring to work every day. Their work is extremely
important
to ensure Ericsson-s leadership,” Vestberg concluded.
NOTES TO EDITORS
Ericsson-s 2012 Sustainability and Corporate Responsibility report
Press release on the sustainability report
Download high-resolution photos and broadcast-quality video at
Ericsson is a world-leading provider of communications technology and
services.
We are enabling the Networked Society with efficient real-time solutions
that
allow us all to study, work and live our lives more freely, in sustainable
societies around the world.
Our offering comprises services, software and infrastructure within
Information
and Communications Technology for telecom operators and other industries.
Today
40 percent of the world-s mobile traffic goes through Ericsson networks and
we
support customers- networks servicing more than 2.5 billion subscriptions.
We are more than 110,000 people working with customers in more than 180
countries. Founded in 1876, Ericsson is headquartered in Stockholm, Sweden.
In
2012 the company-s net sales were SEK 227.8 billion (USD 33.8 billion).
Ericsson
is listed on NASDAQ OMX, Stockholm and NASDAQ, New York stock exchanges.
Focus on profitable growth and sustainability at AGM:
This announcement is distributed by Thomson Reuters on behalf of
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originality of the information contained therein.
Source: Ericsson via Thomson Reuters ONE
[HUG#1691337]
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