Feeds

RIM revenues rise

Anticipates rosier earnings ahead, too

  • alert
  • submit to reddit

Remote control for virtualized desktops

Blackberry maker Research in Motion this week raised its performance expectations for the coming couple of quarters despite the prospect of its failure to defend itself against patent holder NTP's legal action.

Driving RIM's revised forecast were figures for the company third quarter of fiscal 2005. In the three months to 27 November 2004, RIM realised revenues of $365.9m, up 18 per cent on the previous quarter's $310.2m and 138 per cent on Q3 2004's $153.9m.

Net income for the period was $90.4m (46 cents a share), up 28.1 per cent on Q2's $70.6m (36 cents a share) and 454.6 per cent higher than Q3 2004's figure, $16.3m (ten cents a share).

Q3 2005's figure would have been higher still had RIM not set aside $24.6m to cover litigation expenses, it said. Fighting the legal battle with NTP cost the company a further 12 cents a share's worth of earnings.

RIM's revenues continue to be driven by sales of its Blackberry handhelds, which accounted for 71 per cent of the company's sales during the quarter, up slightly on Q2's share. Of the rest of RIM's Q3 revenue, 17 per cent came from service deals, seven per cent from software licences and five per cent from other sources.

During November this year, RIM announced its user-base had risen beyond 2m individuals. By the end of the quarter, the tally had grown to 2,044,000, up 387,000 on the previous quarter.

Looking ahead, RIM said it now expects the current quarter, Q4 FY2005, to yield sales in the region of $390-410m, up 6.6-12.1 per cent sequentially, both lower than the previous quarter-on-quarter jump. Despite that, Q4 earnings will fall between 54 cents and 48 cents, the company said, higher than previously forecast.

Q1 FY2006 will deliver 51-57 cents per share in earnings on sales of between $430m and $455m, RIM said. Without litigation expenses, the two quarters' incomes would come to 60-67 cents and 64-71 cents per share, respectively.

At the end of Q3, RIM had $1.64bn in cash and investments, up from $1.59bn at the end of the Q2. ®

Related stories

RIM infringed NTP patents, appeal court rules
RIM ships Blackberry Enterprise Server 4.0
RIM takes active-user total to 2m
RIM signs BT to sell Blackberry
RIM rises as PalmOne slides in Euro device market

Remote control for virtualized desktops

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
Just don't blame Bono! Apple iTunes music sales PLUMMET
Cupertino revenue hit by cheapo downloads, says report
US court SHUTS DOWN 'scammers posing as Microsoft, Facebook support staff'
Netizens allegedly duped into paying for bogus tech advice
Feds seek potential 'second Snowden' gov doc leaker – report
Hang on, Ed wasn't here when we compiled THIS document
Verizon bankrolls tech news site, bans tech's biggest stories
No agenda here. Just don't ever mention Net neutrality or spying, ok?
NATO declares WAR on Google Glass, mounts attack alongside MPAA
Yes, the National Association of Theater Owners is quite upset
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Managing SSL certificates with ease
The lack of operational efficiencies and compliance pitfalls associated with poor SSL certificate management, and how the right SSL certificate management tool can help.