ZAGREB, February 23, 2018 - Ericsson Nikola Tesla on Friday reported a drop in sales revenues and a double-digit decline in net profit in 2017.
Sales dropped by 6.9% to 1.48 billion kuna as a result of a decline in sales on export markets, the company's financial statement shows. Net profit fell by 38.7% to 67.9 million kuna due to provisions and adjustments.
Sales on the domestic market increased by 3% to 276.6 million kuna, while foreign sales fell by 38% to 279.2 million kuna. Sales on Ericsson's market amounted to 925.8 million kuna, up 6% compared to 2016.
Domestic sales accounted for 18.7% of total sales revenues, services for Ericsson made up 62.5%, while the share of other export markets in total revenues was 18.8%.
Operating profit decreased by 33.4% to 75.7 million kuna as a result of a decline in the volume of sales and gross profit.
The share of exports in total revenues is about 70%, which makes this company the biggest Croatian exporter of information and communications technologies.
