Research in Motion Limited, the BlackBerry maker, on Thursday lowered its earnings outlook for the first quarter of fiscal year 2012 due partly to expectations of lower shipment volumes of smartphones than originally forecast.
For the quarter ending May 28, 2011, RIM has revised its guidance to fully diluted earnings per share of between $1.30 and $1.37. The Waterloo, Ontario, Canada-based company previously forecast EPS in the range of $1.47 to $1.55.
This shortfall is primarily due to shipment volumes of BlackBerry smartphones that are now expected to be at the lower end of the range of 13.5-14.5 million forecasted in March and a shift in the expected mix of devices shipped towards handsets with lower average selling prices,” RIM stated.
RIM further disclosed that it anticipates revenues slightly below the previously forecasted range of $5.2 billion to $5.6 billion.
Shares of RIM (Nasdaq: RIMM; TSX: RIM) have suffered a beating in recent months and were down about 14 percent Friday on the NASDAQ, last trading at $48.65.
About a year ago, the stock was trading at $73.37. (To see how RIM”s stock has fared over the last six months, check out this chart).
In March, RIM reported its fiscal year 2011 results. The BlackBerry manufacturer shipped 52.3 million smartphones, posted revenues of $19.9 billion and a profit of $3.4 billion.
In the most recent quarter, the company derived 81 percent of its revenues from devices, 16 percent from service and 3 percent from software and other items.
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November 20 2018 @ 01:01:50 UTC