Turnover fell to 52.7 billion kronor (4.8 billion euros), partially down to unfavourable exchange rate movements and one-off licence income which underpinned revenue a year ago, the group said in a statement.
Operating profit was down 7 per cent to 5.9 billion kronor, below the 6.3 billion consensus forecast of analysts published by the group.
Ericsson CEO Börje Ekholm, who is to step down in October after ten years in the role, said the company had taken measures to mitigate a rise in component costs over the quarter. He added coming quarters would see the group continue to adjust pricing to offset the effect.
The group had already suffered during the first quarter from soaring semiconductor prices, due in part to AI-linked demand.
Regarding outlook, like Finnish rival Nokia, the Swedish group says it has strengthened its portfolio to capitalise on the next wave of AI-based connectivity.
Telecoms equipment manufacturers have faced several years of pressure on sales for several years, as the roll-out of 5G has not lived up to expectations, while growth in India – long a source of expansion – has now levelled off.
Earlier this year, Ericsson announced 1,600 job losses in Sweden out of a total of 90,000 employees worldwide.