Ericsson third quarter net profit dips 13%

Swedish telecommunications equipment maker Ericsson reported a 13-per-cent drop in third-quarter net profit on Friday.
The net profit of 2.6 billion kronor (357 million dollars) compared with 3 billion kronor in the corresponding period of 2013, dpa reported.
Higher spending on research and development, as well as costs for currency hedging of US dollars, weighed on results.
Net sales, however, rose 9 per cent year-on-year to 57.6 billion kronor, with stronger growth in China, India, the Middle East and Russia.
Sales were lower in North America as mobile operators in the region focused on 'cash flow optimization,' chief executive Hans Vestberg said.
The mainstay networks division accounted for well over half of Ericsson's sales, totalling 30 billion kronor, up 4 per cent on the previous quarter.
Ericsson said it had about 117,500 employees at the end of September, an addition of 2,100 people compared to the end of June.