Finnish handset manufacturer Nokia has announced that it made a profit of $269 million during 2012's fourth quarter.
The figure represents a significant increase compared to the $1 billion it lost during the same period in 2011. However, revenue dropped to $10.6 billion and smartphone sales decreased by 55 percent.
To save money during 2013, Nokia confirmed that it would not be paying a dividend to shareholders. Nokia entered 2012 with $7.4 billion in cash but ended the year with a $2.9 billion loss.
The company sold 15.9 million smartphones in the quarter, representing a decrease from 19.6 million a year earlier. Nokia sold 86.3 million handsets in total during the fourth quarter, as well as 4.4 million Lumia smartphone units.
"We are very encouraged that our team’s execution against our business strategy has started to translate into financial results. Most notably we are pleased that Nokia Group reached underlying operating profitability in the fourth quarter and for the full year 2012," said Nokia chief executive Stephen Elop.
"We remain focused on moving through our transition, which includes continuing to improve our product competitiveness, accelerate the way we operate and manage our costs effectively. All of these efforts are aimed at improving our financial performance and delivering more value to our shareholders."
During the December of 2012, Nokia sold its Finland headquarters for $222 million in order to reduce costs.