Nokia: cash in reserve but until when?

In response to the recent deterioration of its debt rating by rating agencies, the Finnish manufacturer Nokia has highlighted its strong financial position, including cash reserves enabling it to avoid an insurmountable debt.

This reserve should enable him to get through the difficult transition to Windows Phone, pending sales of its smartphones Lumia really take off. But the resource is not inexhaustible and the new mobile strategy group will take time to be confirmed, the position will be more difficult to maintain.

Reuters reports that some analysts are concerned precisely the rate at which society must tap into this reserve to fuel its operations and its restructuring. Having already sunk 2.1 billion euros last five years, there should be little more than two years to see melt almost 5 billion euros available to it again, say observers

Nokia leads precisely a great plan to reduce costs to improve its cash flow and maintain a healthy financial position but time is short and the specter of a further deterioration could jeopardize the company is no longer ruled.

Reuters noted however that all analysts are not necessarily pessimistic about the cash management of Nokia. It is also necessary that the range Lumia Windows Phone meets the expectations and allows the manufacturer to improve its sales volumes.

Failing that, some believe that Microsoft could exceed its partnership role and take more direct control in the operations of the manufacturer, a hypothesis proposed (but never confirmed) of an early rapprochement between Nokia and the group of Redmond.

You have read this article older with the title Nokia: cash in reserve but until when?. You can bookmark this page URL https://angryblackmf.blogspot.com/2012/05/nokia-cash-in-reserve-but-until-when.html. Thanks!