We realize how important a network is especially when it slows down: during a video call, an online payment or an evening streaming. Behind these daily gestures there is an infrastructure that must transport more and more data. Nokia wants to make it more efficient using artificial intelligence, from data center links to mobile networks.
The third quarter 2026 results show that demand related to AI and cloud is already a source of growth for the Finnish group. However, they also tell the other side of the transformation: while comparable operating profit improves, restructuring costs and investments absorb liquidity.
Between July and September, Nokia reported 5.154 billion euros in sales, up 10% from the same period in 2025. Comparable operating profit rose 35% to 605 million euros. The reported operating profit, which also includes items such as restructuring costs, was 196 million, down 22%.
The distinction helps to read the accounts without stopping at a single number: the ordinary activity has grown, but the transformation of the group has a significant cost. Nokia booked 357 million euros in restructuring charges in the quarter.
The numbers for the quarter, in brief
| Q3 2026 indicator | Result | What does it tell us |
|---|---|---|
| Net sales | 5.154 billion euros, +10% | Growth continues compared to 2025 |
| Comparable operating profit | 605 million, +35% | Improves the profitability of ordinary operations |
| Reported operating profit | 196 million, -22% | It is mainly affected by restructuring costs |
| Sales to AI and cloud customers | 631 million, +123% at constant exchange rates | Demand for AI infrastructure accelerates |
| New AI and cloud orders | 1.5 billion euros | They signal future demand, not revenues already collected |
| Free cash flow | -99 million | Investments and working capital absorbed liquidity in the quarter |
The strongest push comes from network infrastructures: sales in the segment increased by 15% at constant exchange rates. IP networks grew by 43%, optical networks by 18%. Sales to AI and cloud customers exceeded 630 million euros. Orders collected from this category reached 1.5 billion, an increase of 118% compared to a year earlier.
Data centers that train and operate AI systems need fast, reliable connections. Nokia provides part of the networks that connect them: for the group, the race towards AI is already a concrete source of sales and orders. The company also expects 25-30% growth in 2027 for its combined IP and optical networking businesses.
Artificial intelligence also reaches the antennas
The Nokia-Nvidia strategy now extends to the mobile radio network with AI-RAN. This means using artificial intelligence in the part of the network that manages the connection between smartphones and antennas, to better manage traffic and use the radio spectrum more efficiently.
Nokia announced that it has completed the first AI-RAN call on a carrier’s operational network with Nvidia and T-Mobile. The group’s press release also mentions European trials: Elisa carried out tests on a 5G network in Helsinki. BT prepares a test in Birmingham in 2027. Nokia and Deutsche Telekom have recorded typical improvements of 10-15% in the transmission speed from the device to the network in the laboratory. This last result will have to be verified in the field.
For those who use the network, the possible benefit is intuitive: smarter management can help operators make better use of available capacity, but it does not mean that performance or tariffs will change immediately. The tests need to become widely adopted solutions, and Nokia does not yet indicate specific revenues generated by AI-RAN.
Growth yes, but the cash register also tells the story of the cost
Nokia’s free cash flow was negative 99 million euros in the quarter. The company attributes the pressure to working capital draws, restructuring and investments, among other items. In practice, a part of the resources remains tied up in the operating cycle, such as inventories, payments and collections, instead of immediately turning into available liquidity.
Nokia confirms its forecast of a comparable operating profit of between 2.1 and 2.6 billion euros for 2026 and expects to close the year above the midpoint of the range. At the same time, it reduced its estimate of conversion of operating profit to free cash flow to 35-55% and expects restructuring charges of 1.1 billion in 2026.
For Europe and Italy the issue goes beyond the accounts of a single company. Networks and data centers are essential infrastructure for digital services, businesses and families. QuiFinanza has already reported on the development of artificial intelligence hubs in Southern Italy and the global race for infrastructure with the case of the Korean company Elice.
Nokia’s accounts therefore show two different times. AI and cloud are already bringing growth and orders. The new generation of mobile networks is still in the testing and development phase. The test for the group will be to transform technological interest into contracts, widespread services and more robust cash. For those who use these networks every day, it is there that the concrete value of the promise will be measured.
