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Retained earnings is the accumulated portion of net income that is not distributed to shareholders. Telefonaktiebolaget L M Ericsson's retained earnings for the quarter that ended in Jun. 2026 was €0 Mil.
Telefonaktiebolaget L M Ericsson's quarterly retained earnings
declined
from Dec. 2025 (€5,983 Mil) to Mar. 2026 (€0 Mil) but then
stayed the same
from Mar. 2026 (€0 Mil) to Jun. 2026 (€0 Mil).
Telefonaktiebolaget L M Ericsson's annual retained earnings
declined
from Dec. 2023 (€4,511 Mil) to Dec. 2024 (€3,677 Mil) but then
increased
from Dec. 2024 (€3,677 Mil) to Dec. 2025 (€5,983 Mil).
Telefonaktiebolaget L M Ericsson (HAM:ERCB) Retained Earnings Explanation
Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.
For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.
If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.
Of course, many companies with negative retained earnings have indeed lost money in the past.
Retained Earnings: Warren Buffett's Secret.
One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.
If the company loses more than it has accumulated, retained earnings is negative.
If a company isn't adding to its retained earnings, it isn't growing its net worth.
Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.
Microsoft is negative because it chose to buyback stock and pay dividends.
The more earnings retained, the faster it grows and increases growth rate for future earnings.
Telefonaktiebolaget L M Ericsson Retained Earnings Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Telefonaktiebolaget L M Ericsson Retained Earnings Chart
Telefonaktiebolaget L M Ericsson Retained Earnings Calculation
Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.
Of course, if a company loses, it is called retained losses, or accumulated losses.
Telefonaktiebolaget L M Ericsson (HAM:ERCB) has a Retained Earnings of €0 Mil as of Jun. 2026. Retained earnings is the amount of net income not issued to shareholders. View historical data on Telefonaktiebolaget L M Ericsson and its competitors.
Is Telefonaktiebolaget L M Ericsson's Retained Earnings too high?
Telefonaktiebolaget L M Ericsson's current Retained Earnings is €0 Mil. Overall, Telefonaktiebolaget L M Ericsson has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telefonaktiebolaget L M Ericsson's Retained Earnings compare to CSCO and CIEN?
Telefonaktiebolaget L M Ericsson's Retained Earnings of €0 Mil can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Retained Earnings for a Hardware company?
A good Retained Earnings depends on the Hardware industry context. However, Retained Earnings should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Retained Earnings mean?
A high Retained Earnings can signal that a stock is expensive relative to its fundamentals. Retained earnings is the amount of net income not issued to shareholders. View historical data on Telefonaktiebolaget L M Ericsson and its competitors. Telefonaktiebolaget L M Ericsson's current Retained Earnings is €0 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telefonaktiebolaget L M Ericsson stock overvalued right now?
Based on GuruFocus' analysis, Telefonaktiebolaget L M Ericsson (HAM:ERCB) is currently considered Modestly Overvalued. The stock's GF Value™ is €6.37, compared to a current price of €8.26 — trading 29.7% above its estimated fair value. The current Retained Earnings is €0 Mil. Telefonaktiebolaget L M Ericsson's overall GF Score™ is 64/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Retained Earnings calculated?
Retained Earnings is calculated from a company's financial statements. For Telefonaktiebolaget L M Ericsson (HAM:ERCB), the current Retained Earnings is €0 Mil as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Telefonaktiebolaget L M Ericsson (HAM:ERCB) Overvalued in 2026?
Based on GuruFocus' analysis, Telefonaktiebolaget L M Ericsson stock appears to be overvalued.
The current stock price of €8.26 is trading 29.7% above its estimated GF Value™ of €6.37.
GuruFocus considers Telefonaktiebolaget L M Ericsson to be Modestly Overvalued.
Key valuation signals for HAM:ERCB:
Retained Earnings: €0 Mil
GF Value™: €6.37 vs. price of €8.26 (29.7% above fair value)
No single metric tells the full story. See the HAM:ERCB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Telefonaktiebolaget L M Ericsson Business Description
Ericsson is a networking equipment and software provider, primarily selling mobile networking equipment and services to wireless service providers. Ericsson operates in three segments: networks, cloud software and services, and enterprise. While large wireless carriers are its largest customers, Ericsson has expanded its offerings for large enterprises. These products and services include private 5G networking, contact centers as a service, and application performance interfaces. Ericsson aims to combine its 5G network expertise with cloud-native, as-a-service platforms offering a more comprehensive hardware and software package. Ericsson also monetizes its research and development investments by licensing patents to handset manufacturers.
64GF Score
Get the complete analysis for HAM:ERCB
Retained Earnings is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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