Nokia Oyj (ST:NOKIA) announced a return to profitability in the first quarter, driven by increasing demand for optical network infrastructure and artificial intelligence solutions, which strengthened its margins and allowed it to maintain its forecasts for the year. The company reported a net profit of 87 million euros, reversing a loss of 60 million euros from the same period last year. Comparable net sales grew by 4% year-on-year in constant currency, reaching nearly 4.5 billion euros. The main driver of this growth was the Network Infrastructure segment, with a 6% increase in revenue, highlighted by a notable 20% advance in the Optical Networks segment. Comparable operating profit rose by 54%, reaching 281 million euros, and the operating margin improved to 6.2%, up from 4.2% last year. Demand for artificial intelligence client solutions and cloud services remained strong, with a 49% increase in sales from this segment, which now accounts for approximately 8% of the group's total revenue. Additionally, Nokia reported orders worth about 1 billion euros from these clients during the quarter. In terms of Mobile Infrastructure, sales increased by 3% in constant currency, supported by growth in Core Software and Technology Standards, while the Radio Networks segment remained stable. Nokia reaffirmed its comparable operating profit forecast for the year, estimated between 2 billion and 2.5 billion euros. CEO Justin Hotard emphasized that the acceleration of the AI "supercycle" is driving additional investments in optical and IP networks. Source: es.investing.com