New long-term financial target and strategic KPIs

Nokia is introducing a new long-term financial target to achieve comparable operating profit of EUR 2.7 billion to EUR 3.2 billion by 2028, an increase from the EUR 2.0 billion generated in the last 12 months (Q4'24-Q3'25). This is a separate long-term target for Nokia, not part of the group level financial outlook and replaces Nokia's prior long-term targets to grow faster than the market, achieve a comparable operating margin of at least 13% and free cash flow conversion from comparable operating profit of 55% to 85

Nokia is exposed to different trends across its primary segments and will use different strategic levers across the company maximise shareholder value creation based on the greatest opportunities. Nokia is introducing a series of strategic KPIs which best illustrate the expected outcomes of Nokia's strategy. These KPIs for the business are not part of the group level financial outlook.

• Net sales growth in Network Infrastructure: Nokia targets 6-8% net sales CAGR during 2025-2028. This includes a 10-12% target for the combined Optical Networks and IP Networks.
• Network Infrastructure operating margin: 13% to 17% by 2028
• Mobile Infrastructure gross margin: 48-50% by 2028
• Mobile Infrastructure operating profit: Grow from a base of EUR 1.5 billion
• Group Common and Other operating expenses: EUR 150 million operating expenses down from the current EUR 350 million run-rate by 2028.
• Free cash flow conversion: Nokia targets to deliver free cash flow conversion from comparable operating profit of between 65% and 75%.