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  • Ericsson Nikola Tesla - The business results of the joint stock company in the first quarter of 2006
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Ericsson Nikola Tesla - The business results of the joint stock company in the first quarter of 2006
“The operation of Ericsson Nikola Tesla during the first three months this year is in compliance with our plans.\" – said Gordana Kovačević, president of Ericsson Nikola Tesla.
\"The main characteristics of the company’s operation are stability and business growth, company’s positioning as a system integrator, strengthening of old partnerships and stronger regional and global positioning within Ericsson.\"

In line with our expectations a tougher market competition and price pressure had effects on the decrease of gross margin.
Accordingly, the operating profit is lower compared to the preceding year and it amounts to HRK 38,8 million.

Return on sales before tax was 11,5%, while the targeted goal was 10%.
Profit before tax in the value of HRK 35,7 million is by 10% less than the net profit realized in the first quarter 2005.

Financial situation of the company is still strong though considerable funds were invested in customer financing during the first quarter. Also, the redemption of stock capital by HRK 100 per share was paid out.










 
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