Jul 4, 01:50 AM

Ericsson to Record $1.1 Billion Impairment Charge on 2021 Vonage Acquisition; Shares Fell 2%

Ericsson, the mobile telecoms equipment maker, announced it will record a $1.1 billion noncash impairment charge related to its 2021 acquisition of cloud communications company Vonage. The impairment charge, equivalent to 11.4 billion Swedish crowns, will be recorded in the second quarter of 2024. This follows a $2.9 billion impairment charge in 2023. The weaker outlook for Vonage has led to this financial adjustment. As a result, Ericsson shares fell by 2% in early trade.

#Ericsson #Vonage #Swedish

Written with ChatGPT (GPT-4o).