Ericsson AB’s profit beat analysts’ expectations after sales of 5G telecom equipment stabilized in the second quarter.

Adjusted earnings before interest and taxes were 7 billion Swedish kronor ($728 million) in the second quarter, the Stockholm-based company said in a statement on Tuesday. That compared to an average analyst estimate compiled by Bloomberg of 6.55 billion kronor.

“We have structurally lowered our cost base and are strongly focused on delivering further efficiencies,” Chief Executive Officer Börje Ekholm said in the statement. “It is encouraging that Americas’ growth continues, and that Europe has stabilized.”

The market for 5G equipment from Ericsson and its Nordic competitor Nokia Oyj is slowly picking up after years of sluggish sales when mobile operators delayed expensive upgrades. That rebound has been tempered by a weak currency in the US, Ericsson’s largest market, as the Trump administration’s tariffs and their chaotic rollout raised have questions about the stability of the world’s reserve currency.

Ericsson said in April that it expected tariffs to impact its network business by one percentage point in the second quarter, whereas Nokia warned its operating profit in the period could fall by €20 million ($23.4 million) to €30 million due to the measures.

Shares closed down 0.1% at 77.34 kronor in Stockholm on Monday. They have fallen 15% this year.