Shares of Nokia Oyj (NYSE: NOK) experienced a significant decline in pre-market trading following the company's downward revision on its financial guidance for the full year 2023.

The new net sales outlook for the year is expected to be in the range of EUR 23.2 billion to EUR 24.6 billion, compared to the previous estimate of EUR 24.6 billion to 26.2 billion. Similarly, the comparable operating margin range has been adjusted to 11.5% to 13%, compared to the previous range of 11.5% to 14%.

The updated negative outlook is attributed to weaker demand in the second half of the year, driven by both macroeconomic factors and customers' inventory adjustments.

Nokia also reported preliminary Q2 financial results, disclosing net sales of approximately EUR 5.7 billion and a comparable operating margin of 11%.

In pre-market, $NOK is currently trading at $3.98, reflecting a notable decrease of $0.37 (-8.50%).

In other news, Telefonaktiebolaget LM Ericsson (Nasdaq: ERIC) announced its second-quarter 2023 financial results, revealing a loss of $0.02 per share. This figure fell short of the consensus estimate of earnings per share (EPS) at $0.04.

$ERIC is trading at $5.23 in pre-market, down $0.51 (8.89%)

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