Telecom equipment maker Alcatel-Lucent (ALUA.PA), which is set to be bought by larger rival Nokia (NOK1V.HE), improved profit margins in the first quarter despite a marked sales slowdown in its biggest market, the United States. Although it reported a net loss, higher software sales, a weak euro, and strong demand for its Internet routing products – which help telecom operators handle heavy broadband traffic from online video – helped the French firm post a better quarter than Nokia and mobile market leader Ericsson (ERICb.ST).