Nokia

INTERIM REPORT

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Nokia Corporation

April 19, 2012 at 13:00 (CET +1)

Nokia Corporation Q1 2012 Interim Report

FINANCIAL AND OPERATING HIGHLIGHTS Q1 2012 net sales of EUR 7.4 billion (Q1 2011: EUR 10.4 billion) Non-IFRS EPS of EUR -0.08 and reported EPS of EUR -0.25 Losses incurred due to greater than expected competitive challenges and seasonality; reported losses also primarily driven by charges related to restructuring activities Implementation of smartphone strategy proceeding: o Expansion of Lumia portfolio to cover higher and lower price points (Lumia 900 and Lumia 610 announced in Q1) o Expansion of geographic coverage to 45 countries currently (31 new countries in Q1) o Encouraging launch of Lumia 900 with AT&T in US in April Renewing feature phone portfolio with 7 new Asha products ramping up Taking action to drive improvements in the trajectory of Lumia sales and to support feature phone sales Plans to accelerate and substantially deepen Devices & Services cost savings, consistent with strategic focus. Nokia will share further details as quickly as possible. Balance sheet remains strong with EUR 9.8 billion of gross cash at end-Q1; EUR 4.9 billion of net cash at end-Q1 Estimates that current annual IPR royalty income run-rate is approximately EUR 0.5 billion

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Commenting on the Q1 results, Stephen Elop, Nokia CEO, said: “We are navigating through a significant company transition in an industry environment that continues to evolve and shift quickly. Over the last year we have made progress on our new strategy, but we have faced greater than expected competitive challenges. We have launched four Lumia devices ahead of schedule to encouraging awards and popular acclaim. The actual sales results have been mixed. We exceeded expectations in markets including the United States, but establishing momentum in certain markets including the UK has been more challenging. At the same time, the lower price tiers of our industry are undergoing a...