“BlackBerry (BBRY), the Canadian smartphone maker, fell as much as 20 percent in early trading after posting a surprise quarterly loss and lower-than-projected sales, hurt by sluggish demand and currency restrictions in Venezuela,” Hugo Miller reports for Bloomberg.
“The loss in the three months through June 1 was 13 cents a share, excluding some items, the Waterloo, Ontario-based company said in a statement,” Miller reports. “Analysts had estimated a profit of 8 cents on average, according to data compiled by Bloomberg. Sales were $3.07 billion in the period, compared with the $3.37 billion predicted by analysts.”
Miller reports, “BlackBerry’s new Q10 and Z10 models, the linchpin of its comeback effort, are struggling to reignite demand for the platform… ‘BlackBerry 7 units and subscribers are tailing off more quickly than we had originally modeled,’ said Ehud Gelblum, an analyst at Morgan Stanley in New York. BlackBerry shares plunged as low as $11.60 in early trading after falling 2.9 percent to $14.48 in New York yesterday.”
“Phone shipments missed analysts’ predictions as well,” Miller reports. “The company shipped 6.8 million smartphones last quarter, including both the new BlackBerry 10 models and older devices. Analysts had estimated 7.5 million… BlackBerry faces an uphill battle to claw back market share lost to rivals such as Apple Inc (AAPL)… BlackBerry’s share of the global smartphone market shrank to 2.9 percent last quarter from 6.4 percent a year earlier, according to research firm IDC.”
Read more in the full article here.
MacDailyNews Take: Color us unsurprised.
RIM. Dead Company Walking. – MacDailyNews, August 5, 2010
BlackBerry CEO: In five years, I don’t think there’ll be a reason to have a tablet anymore – April 30, 2013
Beleaguered BlackBerry shares drop 7% as Z10′s U.S. launch gets subdued reception – March 22, 2013
Gartner: Beleaguered BlackBerry in an ‘extremely difficult’ spot – March 19, 2013
Why the Z10 won’t save beleaguered Blackberry – March 11, 2013