Ericsson net sales in India grow 3.5 times to Rs 7,400 crore in Q3

Swedish telecom gear maker Ericsson has reported a significant increase in its net sales in India. The company's net sales in the country grew by over 3.5 times to about Rs 7,400 crore (9.6 billion Swedish Krona) in the third quarter ended September 30, 2023, as per its financial report released on Tuesday.

India Contributes 15 Percent to Ericsson's Global Sales

In the September 2022 quarter, India had contributed 4 percent of Ericsson's total net sales, which amounted to 2,721.6 million SEK (about Rs 2,100 crore). The net sales of Ericsson at the global level during the September 2023 quarter fell by 5 percent to 64.5 billion SEK due to a sharp decline in business in North America. However, this decline was partly offset by increased sales in South East Asia, Oceania, and India.

North America Decline Offset by Growth in India and Other Markets

Ericsson's President and CEO, Brje Ekholm, attributed the decline in North America to customers' inventory adjustments and a slower deployment pace. However, he noted that the decline was partly offset by growth in India and some early 5G markets that resumed investments.

India Becomes Second Biggest Market for Ericsson

The net sales in South East Asia, Oceania, and India grew by 74 percent on a year-on-year basis to 13,764 million SEK during September 2023 from 7,914 million SEK a year ago. India emerged as the second biggest market for Ericsson, with its net sales accounting for 15 percent of the total net sales during the September 2023 quarter. This implies a business of 9,671 million SEK, which is close to Rs 7,400 crore at the current exchange rate.

Ericsson's impressive growth in India reflects the country's rapidly expanding telecom market. The company's focus on 5G technology and its strong presence in the Indian market position it well to continue benefiting from the country's digital transformation.