Net loss attributable to the equity holders of Nokia Corp. was €384 million for the fourth quarter of 2017, compared to net profit attributable of €659 million in the previous year.
Diluted loss for the company was 7 cents per share in the quarter, compared to earnings of 11 cents per share in the fourth quarter of 2016.
The company recorded an expense of €738 million due to a remeasurement of deferred tax assets following the U.S. tax overhaul in the fourth quarter of 2017, while tax benefit of €439 million recorded in the year-ago period was also missing in the most recent quarter.
Non-International Financial Reporting Standards, or non-IFRS, diluted EPS was 13 cents for the quarter.
The company's fourth-quarter 2017 net sales slipped year over year to €6.65 billion from €6.66 billion. Operating profit rose by 32% in the quarter to €419 million from €317 million in the last quarter of 2016.
For full year 2017, Nokia's attributable net loss almost doubled year over year to €1.47 billion, or 26 cents per share, from a loss of €757 million, or 13 cents per share, in 2016. Net sales for the year fell to €23.15 billion in 2017 from €23.64 billion in the previous year.
Full-year non-IFRS diluted earnings per share rose by 50% to 33 cents from 22 cents in 2016.
The company expects non-IFRS earnings per share of 23 cents to 27 cents in 2018 and 37 cents to 42 cents for full year 2020.
Looking forward on the Networks side, Nokia expects its market to decline again in 2018, although at a slightly lower rate than projected, given early signs of improved conditions in North America. For 2019 and 2020, the company expects market conditions to improve markedly, driven by full-scale rollouts of 5G networks.
"As a result of the acceleration of investment in 5G due to the opportunity provided by the accelerated timeframe of 5G deployments, Nokia's operating margin will come under some pressure in 2018," Nokia President and CEO Rajeev Suri said.
Nokia's board will propose an increase in the annual dividend by 2 cents per share to 19 cents per share for 2017.
