IN NUMBERS: How Swedish telecoms giant Ericsson fared in 2021

Ericsson has released its latest quarterly report, revealing both ups and downs.

IN NUMBERS: How Swedish telecoms giant Ericsson fared in 2021
Ericsson's headquarters in Kista, Stockholm. Photo: Fredrik Sandberg/TT

Ericsson said on Tuesday that its net profit soared in 2021, with a better-than-expected performance in the fourth quarter despite losing ground in the key Chinese market.

The world’s number two telecoms equipment maker is competing with China’s Huawei in the global rollout of ultra-fast 5G mobile phone networks.

But Ericsson’s sales in China have taken a major hit as it has faced reprisals there since Sweden banned Huawei and another Chinese firm, ZTE, from the European country’s 5G network in 2020 for security reasons.

Despite the challenges, the Swedish company expects to reach its long-term profitability target sooner than previously estimated.

“Our strategy to invest in technology leadership and grow market share in our core business underpinned a robust financial performance in 2021 and ensured a good Q4 for Ericsson overall,” chief executive Börje Ekholm said in a statement.

Net profit soared by 30 percent last year to 23 billion kronor ($2.5 billion). Sales were stable at 232.3 billion kronor in 2021.

Its profit surged by 41 percent in the fourth quarter to 10.1 billion kronor, while sales rose by three percent at 71.3 billion kronor.

Analysts surveyed by Bloomberg had expected a quarterly profit retreating to 7.1 billion kronor.

In mainland China, sales plunged by 7.7 billion kronor last year, but Ericsson made up those losses by gaining ground in other markets.

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Scandinavian airline SAS plans to launch electric planes in 2028 

Despite a number of economic challenges, airline SAS has announced an agreement with a Swedish company that will enable it to purchase electric aircraft and add them to its fleet. 

Scandinavian airline SAS plans to launch electric planes in 2028 

SAS has signed an agreement with Swedish company Heart Aerospace that could see it operating electric planes from 2028, the airline said in a press statement.

The model of plane that SAS would purchase from Heart Aerospace seats 30 passengers and has a range of 200 kilometers, SAS wrote.

“Along with the entire industry, we are responsible for making air travel more sustainable,” CEO of SAS Anko van der Werff said in the statement.

“SAS is dedicated to transforming air travel so future generations can continue to connect the world and enjoy the benefits of travel – but with a more sustainable footprint,” he said.

The aircraft will be installed with a hybrid system enabling them to double their range, SAS wrote.

“This has the potential to be a significant step on SAS’ sustainability journey, enabling zero-emission flights on routes within Scandinavia,” the press release stated. 

SAS has previously been involved in the development of another electric aircraft, the ES-30, which it partnered with Heart Aerospace on in 2019.

“The electric airplane will be a good supplement to our existing fleet, serving shorter routes in Denmark, Norway and Sweden in a more sustainable way,” van der Werff said.

READ MORE: SAS cancels 1,700 flights in September and October