Finnish cell phone maker Nokia (NYSE:NOK) had another bad quarter. The company posted a $1.72 billion net loss during the second quarter, more than three times worse than the $452 million loss it posted during the same period last year.
Sales dropped to €7.54 billion, down 19%, but still better than the €7.36 billion that Wall Street had forecast, the Associated Press noted.
Despite the bad news, investors send Nokia shares up more than 6% in Thursday morning trading in New York.
Making the news worse, smartphone sales — a category in which Nokia is desperately trying to gain market share — plummeted 34% to €1.54 billion. Lower-end phone shipments rose to 84 million units during the quarter, topping the 80 million units predicted by analysts.
Desperate to fend off fierce competition in the smartphone market from Apple‘s (NASDAQ:AAPL) iPhone and phones running Google‘s (NASDAQ:GOOG) Android operating system from manufacturers like Samsung, Nokia partnered with Microsoft (NASDAQ:MSFT) to create a line of Windows smartphones.
Its flagship Windows phone line, Lumia, sold more than 4 million units during the quarter. However, the company recently cut the price of its Lumia 900 model by 50% after Microsoft revealed that the phone would not receive its Windows 8 operating system.
Nokia has seen its share of the global cell phone market fall from 40% just four years ago to 29% last year.