Mobile phone maker Nokia said selling prices of its phones continued to fall in the fourth quarter and it expected prices to be at best on the same level in the first three months of 2006.
Nokia reported sales of €10.3 billion, above forecasts of €10.0 billion, boosted by strong Christmas handset sales.
The company repeated its forecast for more than 10 per cent growth for global phone shipments from the €795 million sold in 2005.
But Nokia expects its average selling prices in the first quarter be stable at best compared to the €99 in the last three months of 2005.
The Finnish mobile firm has regained some of the market share it lost in previous years to rivals who had more popular cellphones, including folding handsets.
It has added new models with improved cameras and business functions such as e-mail, but most of its growth has come from cheaper handset sales in developing markets, with lower average prices and continued pressure on margins