Ericsson reported a strong first quarter for 2025, posting SEK 55.0 billion (USD 5.1 billion) in net sales, a 3% increase year-over-year. Adjusted gross income jumped to SEK 26.7 billion (USD 2.5 billion), up from SEK 22.8 billion a year earlier, with adjusted gross margin climbing to 48.5%. Adjusted EBITA grew 36% year-over-year to SEK 6.9 billion (USD 640 million), yielding a 12.6% margin. The company noted operational efficiency across all segments, despite macroeconomic volatility.
Growth in the Americas offset sales declines in other markets. Ericsson announced its first programmable network deployment in the Asia Pacific region with Telstra, marking the launch of 5G Advanced capabilities. Additionally, the company rolled out its network API fraud detection platform with all three major U.S. operators and expanded its enterprise collaboration with Aduna.
The company aims to ship a portfolio of 130 programmable network-ready radios by year-end. While enterprise activity is expected to stabilize over the coming quarters, Ericsson continues to focus on resilient operations with geographically diversified production and flexible adaptation to market conditions.
- Q1 2025 net sales: SEK 55.0B (USD 5.1B), +3% YoY
- Adjusted gross income: SEK 26.7B (USD 2.5B), +17% YoY
- Adjusted EBITA: SEK 6.9B (USD 640M), +36% YoY
- Adjusted EBITA margin: 12.6% vs. 9.6% in Q1 2024
- Net income: SEK 4.2B (USD 390M), up 61% YoY
- Free cash flow before M&A: SEK 2.7B (USD 250M), down 26% YoY
- First Asia Pacific programmable network deployed with Telstra
- Network API fraud detection adopted by all U.S. mobile operators
“We sustained solid momentum in Q1, despite a challenging and fast-changing macro backdrop, and our results highlight our competitiveness,” said Börje Ekholm, President and CEO of Ericsson. “We extended our technology leadership position further and are on track to offer a portfolio of 130 radios this year that support programmable networks.”
