updraftplus domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/aonyeani76/cryptocurrencypanther/wp-includes/functions.php on line 6131hustle domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/aonyeani76/cryptocurrencypanther/wp-includes/functions.php on line 6131wpforms-lite domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/aonyeani76/cryptocurrencypanther/wp-includes/functions.php on line 6131Swedish telecoms giant Ericsson says despite its poor Q4 2022 earnings, it sees significant patent revenue growth in the next 24 months.
Ericsson recently reported a larger-than-anticipated decline in its Q4 2022 earnings statement. The Swedish telecommunications giant said its underwhelming fourth-quarter earnings are due to a slowdown in sales of 5G equipment in high-margin markets. The pullback in spending on 5G networks by some customers, most notably in the US, saw Ericsson shares decline to a four-year low. Furthermore, the multinational networking and telecommunications company’s latest report comes amid an uncertain economic environment. Global tech stocks have experienced massive selloffs as customers exercise caution in the face of a looming recession.
Ericsson shares dipped 8% on Friday following news of its latest quarterly report. Furthermore, the company’s stock is now at a 50% drawdown since February last year.
According to Ericsson, its adjusted earnings before interest and taxes for Q4 2022 came in at 8.1 billion Swedish kronor ($785 million). This figure fell well below the consensus estimate of 10.74 billion kronor for the same period. Ericsson also reported a rise in net sales for the fourth quarter of last year. Net sales surged 21% to 86 billion crowns, surpassing the 84.2 billion crown estimate. However, the company’s margins, net income, and core earnings declined. Gross margin, in particular, for the period ended December 31st dropped from 43.2% to 41.4%. Ericsson’s Q4 adjusted operating earnings, minus restructuring charges, fell to 9.3 billion Swedish crowns from 12.8 billion a year earlier. This development also represented a significant drawdown from the 11.22 billion analysts expected for the same period.
Ericsson foresees its core 2023 first-quarter earnings being lower year-over-year (YoY) than last year’s. In addition, the Stockholm-based telecoms giant also forecasts lower margins on its networks business in the first six months of 2023. Furthermore, Ericsson explained in the earnings statement that cost-saving initiatives would come into effect in the year’s second quarter. Elaborating further on its operational development for 2023, Ericsson chief executive officer Borje Ekholm said:
“There are near-term uncertainties, however, we are still in the early phase of global 5G rollout and widespread enterprise digitalization.”
Ericsson previously indicated plans to reduce its costs by 9 billion crowns ($880 million) by the end of 2023. According to chief financial officer Carl Mellander, such an agenda would entail cutting down on consultants, real estate, and staff headcount. Also commenting further on the projected cuts, Mellander added:
“It’s different from geography to geography, some are starting now, and we’ll take it unit by unit, considering the labor laws of different countries.”
Despite Ericsson’s demonstrated clear outlook regarding cost-cutting measures, the company’s CFO declined to add any perspectivism. Mellander did not state whether the projected headcount downsizing would be similar to 2017, when Ericsson axed thousands of workers. When the company took such drastic measures, it sought to return its bottom line to a profitable state.
As it stands, Ericsson expects significant patent revenue growth across the coming 18-24 months.
Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge.
When he’s not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.
Police in Malaysia are alleged to have destroyed over 1,000 mining machines at the end of last week
In a rather unusual incident, authorities in Malaysia have steamrolled millions of dollars worth of crypto mining equipment. A video clip doing the rounds on social media on Friday showed several ASIC mining rigs being destroyed. Initially, the clip led to confusion before it was later discovered that it was the Malaysian police involved in the obliteration.
The video originally spread in the Chinese crypto community via WeChat and speculation was rife over where exactly the destruction was taking place with speculation that it could have been in Chinese or Latin American territory. However, news outlets in Malaysia later confirmed that this was actually in the Sarawak State’s city of Miri and that a total of 1,069 Bitcoin mining machines had been disposed of.
Malaysia has been at war with crypto miners who have notoriously been stealing electricity and illegally using it to mine crypto. In this instance, the affected institution, Sarawak Energy Berhad, had carried out a joint operation with the Miri police force between February and April this year, leading to the arrest of eight miners and the consequent seizure of $1.25 million worth of equipment.
Further, it was determined that up to $2 million worth of electricity had been lost to the illegal power grid tapping. Six of the eight arrested individuals have since been charged with the theft of electricity for which they face fines worth $2,000 each and up to eight months served in prison, alongside which the court ordered the destruction of all mining equipment.
“A total of six people have been successfully charged under Section 379 of the Penal Code for electricity theft and have been fined up to RM 8,000 and jailed for up to eight months,” Hakemal Hawari, the Miri Police Assistant Commissioner confirmed.
This is not the first time that crypto miners have targeted the Malaysian power grid as a cheap source of electric power. In March, the state of Melaka was pursuing a Bitcoin miner accused of siphoning electricity resulting in losses worth $2.2 million for Tenaga Nasional Berhad electricity company.
Friday’s incident has raised eyebrows with questions as to why the police would steamroll such valuable equipment rather than recoup the value of electricity lost using the rigs.
The war against illegal crypto mining has been unswerving as governments around the world grapple with the impact of these activities. An operation conducted in Ukraine earlier in the month saw the seizure of equipment from a mining farm that used PlayStation 4 consoles as mining rigs. Iran is another nation that has ramped up the war against miners following the country’s recent acute shortage of power.