Last week, Ericsson announced its intention to to exit certain subscale agreements and product offerings in its Cloud Software and Services group.
The exit is expected to have with a one-off negative impact on EBIT of SEK -0.8 b. in Q4 2022, of which SEK -0.7 b. is expected to impact cash flow, mainly in 2023.
Ericsson said the move is in-line with the strategy outlined at in Capital Markets Day in December, when the company highlighted key priorities such as limiting subscale software development, accelerating automation to lower deployment and maintenance efforts and changing focus from market share gains to profitable business.
Ericsson’s Q4 and full-year 2022 results will be published January 20 at approximately 7:00 am CET.
Source: Ericsson
