Feeds

RIM tax break gives firm $14m profit for third quarter

Increases cash reserves ahead of BlackBerry 10 launch

3 Big data security analytics techniques

A settlement of an outstanding tax issue, which netted $166m, has allowed RIM to declare a quarterly profit for the first time in many financial announcements.

The company said that in its third fiscal quarter of 2013 – and no, that's not a typo – its revenues fell 5 per cent to $2.7bn, down 47 per cent from the same period last year. Hardware sales accounted for 60 per cent of this, including the sale of 6.9 million smartphones and approximately 255,000 PlayBook tablets, with services accounting for 36 per cent and software just 4 per cent.

Subscriber numbers for the quarter are down slightly from last quarter at 79 million, although this is three million more than last year's third fiscal quarter. Customer numbers in the US are down sharply, while in Europe, the Middle East, and Africa (EMEA) and Asia, numbers held steady or even rose.

The company promised to save $1bn through restructuring this fiscal year, and this figure was reached this quarter, ahead of schedule. CEO Thorsten Heins said the bulk of the company's restructuring has now been completed, and he thanked staff for their professionalism in "this difficult time."

"Our core restructuring process has delivered results," Heins said during a conference call with reporters and analysts. "The Q3 results show the progresses we are making. Our global team are executing well and showing that with laser focus."

RIM also added over $600m to its cash hoard, even including the costs of restructuring. RIM is now sitting on $2.9bn of cash reserves, with no debt. These funds will be used to finish licking BlackBerry 10 into shape, and to offer $10,000 bounties to software developers to encourage app growth.

RIM is also investing in a big push to get BlackBerry 10 into business he said, with the intention of making the company "the clear leader in the enterprise market." If successful, that would be bad news for Microsoft and its plans for Windows Phone 8.

Heins also used the call to say goodbye to RIM's CIO Robin Bienfait, who he said had done an amazing job in her six years at the company. For the last year she also headed up company's enterprise division. No word was given on her successor. ®

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Record labels sue Pandora over vintage song royalties
Companies want payout on recordings made before 1972
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
Number crunching suggests Yahoo! US is worth less than nothing
China and Japan holdings worth more than entire company
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.