Finnish tech firms ride AI data-centre boom as quarterly results roll in

Two Finnish companies, Wärtsilä and Nokia, have emerged as the clear winners of the current quarterly earnings season, riding a global surge in demand for data-centre infrastructure driven by artificial intelligence.

According to analysts, Nokia’s optical networking equipment for data centres saw strong second-quarter sales growth, while Wärtsilä reported a 30% rise in new orders and an 80% increase in engine power plants destined for data-centre backup and grid stabilisation.

“Both companies are positioned to benefit from the ongoing AI-driven data-centre build-out,” said Hertta Alava, senior strategist at Nordea. “The outlook remains positive for now.”

Other firms posted mixed results. Retail group Kesko and airline Finnair delivered solid profits, with Kesko citing strong demand in construction and home improvement, and Finnair reporting robust demand on routes to Asia and Japan. However, both warned that prolonged geopolitical tensions in the Middle East could push up energy costs and weigh on consumer spending.

Industrial packaging maker Huhtamäki and forestry group Stora Enso reported modest profits but flagged weak demand for their products. Rising energy and transport costs, along with high domestic timber prices, have pressured margins despite cost-cutting measures.

Analysts caution that a clearer picture of consumer demand will emerge only after more companies report in the coming weeks.