RIM’s Q3
Posted Dec 15, 2011 05:09:45 PM.
This article is more than 5 years old.
Waterloo-based Research In Motion is reporting a profit of US$265 million in its latest quarter as revenue slipped despite a big increase in BlackBerry subscribers around the world.
The smartphone maker, which keeps its books in U.S. dollars, says the profit amounted to 51 cents per share, down from $911 million or $1.74 per share a year ago.
Excluding one time items, including a writedown to the value of its inventory of PlayBook tablets, the company says it earned $667 million or $1.27 per share in the quarter.
Revenue for what was the company’s third quarter totalled $5.17 billion, down from $5.5 billion.
RIM reported it now has about 75 million BlackBerry users around the world, up from 70 million previously.
The average analyst estimates compiled by Thomson Reuters had expected earnings of $1.15 per share and $5.26 billion in revenue.
RIM had warned investors that it will book a US$485-million charge on the cost of discounting the price of PlayBooks by more than half to help boost sales.
As well, the company had warned that it expected about US$50 million in lost revenues from the massive outage in October that affected millions of BlackBerry email and text users around the world.
