RIM Earnings Surge On Strong Overseas Sales >RIMM
TORONTO (Dow Jones) -- Research In Motion Ltd. said strong sales overseas were a key driver of better-than-expected earnings and forecasts, as smartphones like the Blackberry become increasingly mainstream in international markets.
RIM chief executive Jim Balsillie said the fiscal third quarter ended Nov. 28 was the "strongest quarter ever for growth outside of North America," with 37% of revenue and 35% of RIM's subscriber base now coming from those markets. In an earnings conference call, Balsillie cited strong growth in Asia, and even better growth in Latin America and Europe, although the company doesn't break out results by geography.
Balsillie also said the company announced an agreement with China Telecom Corp. on Thursday to offer Blackberry products and services to customers of the Chinese telecommunications giant.
"The international stuff is going very, very well," said Balsillie.
Among RIM's big sellers was the 8520, a low-cost version of the Blackberry Curve, which the company launched during the quarter in 40 countries. Analysts say the 8520 may do particularly well with consumers who want smartphones but can't pony up the money for more expensive Blackberrys or rival high-end devices like the iPhone from Apple Inc.
"People in large parts of the world cannot afford $600 devices," said Deepak Chopra, an analyst at Genuity Capital in Toronto.
RIM's strong earnings also calmed fears that Blackberrys could lose ground against rival handsets like the iPhone and the Motorola Inc.'s Droid smartphone, which operates on software designed by Google Inc. Balsillie acknowledged that "there's a lot of turbulence in the ecosystem right now." But he also said that RIM is buoyed by growth in the overall market for smartphones. "We have a very important place to play in that," he said.
Waterloo, Ont.-based RIM said net income for the quarter ended Nov. 28 rose 59% versus the previous year to $628.4 million, or $1.10 per share, on sales of $3.92 billion. Analysts were predicting earnings per share of $1.04 and revenue of $3.8 billion. The company said it shipped 10.1 million handsets -- far more than the 9.6 million analysts expected.
RIM is expecting even better performance in the current quarter, ending Feb. 27, 2010, forecasting revenue of between $4.2 billion and $4.4 billion, and earnings per share in the range of $1.23 to $1.31. The company expects to ship between 10.6 million and 11.2 million handsets, and forecasts a rise in gross margins to 43.5% from 42.7% in the third quarter.
Shares soared 12% to $71.01 in after-hours trading on the news, which was released after the markets closed. RIM closed down 1.87% Thursday at $63.41 on the Nasdaq stock market.
-By Phred Dvorak, Dow Jones Newswires; 416-306-2016; [email protected] |
狗仔卡
发表于 2009-12-17 07:05 PM
