However, the company reported a net loss of €885 million ($1.15 billion) for the quarter, including an impairment charge of €552 million following a re-evaluation of assets, and restructuring charges of €194 million, among other things, the company said.
Revenue was €3.61 million, up from €3.55 million in the same period last year.
The IP networking equipment division saw particularly strong revenue growth, up almost 21 percent year on year to €624 million.
The increased focus on IP networking is part of Alcatel-Lucent’s “Shift Plan” to transform the company from a telecommunications equipment generalist to an industrial specialist in IP Networking and Ultra-Broadband Access. As part of that plan, the company said it is on target to realise a €1 billion reduction in annual costs by 2015.
Alcatel-Lucent also saw year-on-year revenue growth in its Platforms and Services divisions, with Platforms revenues growing 23 percent to €262 million and Services revenues growing a little over 22 percent to €285 million.
Revenue in its biggest business segment, wireless, remained stable at €1.01 billion.