Nokia reports Q2 2026: profit up 18% as AI data center demand doubles cloud sales

Nokia posted comparable operating profit of €434 million for the second quarter of 2026, up 18% from the same period a year earlier and well above the analyst consensus of €382 million (per a LSEG poll). Net sales of €4.82 billion were driven by demand from companies racing to build data centers for artificial intelligence.

What the quarterly report shows

Nokia's comparable operating profit was €434 million, against the €382 million that analysts surveyed by LSEG expected on average, so profit beat the forecast by almost 14%. Net sales grew 8% year over year to €4.82 billion, or 9% excluding currency fluctuations. "Comparable" profit excludes one-off items such as restructuring, so it reflects operating performance more accurately than IFRS net profit. The Finnish vendor attributes the 18% growth to a wave of infrastructure investment by telecom and cloud players.

• Comparable operating profit: €434 million (+18% year over year)
• LSEG analyst forecast: €382 million; the actual result came in above it
• Net sales: €4.82 billion (+8%, or +9% in constant currency)
• Key driver: construction of data centers for AI
• Reporting period: second quarter of 2026 (April–June)

Why sales grew

Nokia's sales are growing because of the boom in building data centers for AI. Hyperscalers and cloud providers are buying networking and optical equipment to link their accelerator clusters together, and this demand, as The Next Web reports, pushed quarterly net sales up to €4.82 billion. For Nokia, whose business was associated with mobile networks for decades, data centers are becoming a new growth area alongside its telecom segment.

The gap between the €382 million forecast and the €434 million actual result shows that analysts underestimated how fast this demand is converting into profit.

"The result was driven by companies racing to build data centers for AI,"

The Next Web writes, citing Nokia's quarterly report.

Data centers as an industry driver

Demand for AI infrastructure does not go only to chipmakers. Every new accelerator cluster needs optical links, switches and high-speed networks, a segment where Nokia has historically been strong since its acquisition of Alcatel-Lucent. As hyperscalers raise their AI capex, orders for this equipment grow with it. Quarterly net sales of €4.82 billion and profit of €434 million show that this demand is already showing up in the financials rather than remaining a promise for the future.

What this means

Nokia's report is another signal that the money in the AI race is spread more widely than "GPU makers": infrastructure suppliers of optics and networking equipment are also skimming the cream. Profit up 18% and net sales of €4.82 billion turn the talk about "pipes for AI" into concrete numbers from a telecom vendor. For investors, it is a reason to look more closely at the entire AI supply chain, not just at chipmakers.

Frequently asked questions

How much did

Nokia's profit grow in the second quarter of 2026?

Comparable operating profit rose 18% year over year to €434 million, beating the LSEG analyst consensus of €382 million.

Why is demand for Nokia's equipment growing?

The main driver is the construction of data centers for artificial intelligence. Companies are buying Nokia's networking and optical equipment to connect compute clusters, which lifted net sales 8% year over year to €4.82 billion.

How does the AI data center boom help telecom vendors?

AI data centers need optical networks and switches to connect servers. Nokia supplies this equipment, so the construction boom directly increases orders. In the second quarter of 2026 it contributed to the 8% growth in net sales.