Stockholm - Swedish telecommunications equipment maker Ericsson on Tuesday posted a 49-per-cent drop in operating income for second quarter 2008 partly impacted by ongoing cost cutting measures.
Operating income was 4.7 billion kronor (789 million dollars), down from 9.3 billion kronor in the corresponding business period 2007.
The group reported 48.5 billion kronor in sales for the quarter, up 2 per cent on the corresponding business quarter 2007 but a weak dollar rate impacted the group.
Net income was 1.9 billion kronor, down 70 per cent on second quarter 2007, the group said, adding that earlier announced cost cuts including plans to lay off some 4,000 employees impacted the group with 1.8 billion kronor in the quarter.