Nokia's shares on the Helsinki Stock Exchange fell 24 percent, the biggest drop since 1991. In the afternoon, losses were rather moderate and weakened by less than 21 percent.
"Nokia has disappointed investors when its management decided not to pay dividends for the third and fourth quarters of last year. Nokia recognizes that it is difficult for him to make money. However, he plans to continue dividend payments in the future, "Štěpán Křeček, chief economist at BHS, commented.
He no longer produces cellphones
Nokia has worsened its estimated revenue for this year and beyond. The company failed to increase revenues from the 5G cellular network in major markets in the US and China. Conversely, the cost of developing 5G technology has increased.
In China, the company faces fierce competition from domestic Huawei, supported by the government, writes FT. In the US, uncertainty on the 5G demand side is a merger of the upcoming Sprint and T-Mobile technology companies. Another big competitor is Swedish Ericsson.
Nokia is a Finnish company that deals with network infrastructure and Internet protocols, software, and related services.
Formerly famous for the production of mobile phones. From 1998 to 2011, it was even the largest cellular phone producer in the world. However, the company was unable to capture the arrival of smartphones and in 2014 sold its mobile division to Microsoft Mobile.