InterDigital Inc (IDCC)

[Dave Davis]

IDCC may be discussed in Nokia Conference Call on Thursday morning:

See 'Royalty Case' below, and link to conference call further below.

WSJ.COM/Earnings Preview: Nokia Reports Thursday

Nokia Corp. (NOK) - reports Jan. 26, before the market opens.
The Finnish cellphone maker has been doing a commendable job of bolstering its profit and world-leading market share, but the company said average selling prices will likely come in lower for the fourth quarter. It also warned of lower network-equipment sales, which account for about a fifth of total revenue.

Earnings Outlook: Analysts expect a profit of 25 European cents a share, according to Reuters Research, up from 23 cents a share in 2004's final quarter.

Revenue Outlook: Analysts expect revenue of 10.06 billion, up from 9.06 billion a year earlier.


Key Issues:

Handset trends: Amid strong overall demand, Nokia could score a nearly 22% rise to 80.4 million units sold in the fourth quarter, or about a third of the world market, according to Exane BNP Paribas analysts. Stiff competition in Europe from Samsung and Motorola could squeeze profit margins, however.


Emerging markets: India and markets in the Middle East will serve Nokia well, Russia and Latin America less spectacularly so, Exane says. A distribution expansion in China is winding down, but Nokia is bullish on the country, where it has about 380 million subscribers and a big manufacturing presence.


New gadgets: Nokia expects sales of its camera phones to top 100 million in 2005, aided by the U.S. launch of its two-megapixel N90 late in the year. Its new 770 wireless Internet tool was well-received in an online-only launch.


Royalty case: In December, a U.S. judge confirmed an award of about $250 million for InterDigital Communications in its dispute with Nokia over a 1999 licensing agreement.


See Cheat Sheet previews of other major earnings reports, at WSJ.com/Earnings

(END) Dow Jones Newswires
01-24-06 1642ET
Copyright (c) 2006 Dow Jones & Company, Inc.

Link to conference call:

http://phx.corporate-ir.net/phoenix.zhtml?p=irol-eventDetails&c=107224&eventID=1200070