NOKNokia Oyj
Is the business good?
The checks split: nothing decisive, though earnings fully cash-backed (3.4×).
Operating profit is fully backed by cash. Conversion is improving vs a year ago.
Margins have held roughly steady, a stable cost structure.
A balanced mix of margins, efficiency, and leverage. ROE 3% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is NOK?
Nokia Oyj earns 3.8% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 5.2 points below what the capital costs: growth destroys value
- Operating margin
- 4.5%
Operating margin · Communication Equipment median 5.2% · fiscal year to FY2025
- Cash conversion
- 3.36×
Cash conversion · 1.55× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −0.50%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 4.0% |
| FY2021 | 9.7% |
| FY2022 | 9.7% |
| FY2023 | 8.2% |
| FY2024 | 10% |
| FY2025 | 4.5% |
Details›
- Gross marginfiscal year to FY2025
- 44%
- Operating marginfiscal year to FY2025
- 4.5%
- Net marginfiscal year to FY2025
- 3.3%
- R&D as % of revenue
- 24%
- Revenue, trailing twelve months
- $19.9B
- Net income, trailing twelve months
- $651M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 3.8%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Customers and suppliers
Who buys from NOK and who it buys from, as the companies report it.
None disclosed.
- FNFabrinet11%
NOK is 11% of its revenue · FY2026 10-K
A company has to disclose every customer behind 10% or more of its revenue. Each share comes from the latest annual report of the company that states it and shows on both companies’ pages; NOK’s own figures are from its FY2025 20-F. Smaller customers and suppliers go unreported.