BlackBerry creator, Research In Motion (RIM) has announced their Q3 earnings which we're fairly impressive. RIM has brought their revenue up 22% bringing it to $1.67 Billion dollars from $1.37 Billion. RIM's revenue was based on approximately 80% for devices, 14% for service, 4% for software and 2% for other revenue. They joined approximately 1.65 million new subscriber accounts and shipped approximately 3.9 million devices. Click on over for the full press release.
Research In Motion Reports Third Quarter Results
Waterloo, ON – Research In Motion Limited (RIM)(NASDAQ:RIMM)(TSX:RIM), a world leader in the mobile communications market, today reported third quarter results for the three months ended December 1, 2007 (all figures in U.S. dollars and U.S. GAAP).
Revenue for the third quarter of fiscal 2008 was $1.67 billion, up 22% from $1.37 billion in the previous quarter and up 100% from $835.1 million in the same quarter of last year. The revenue breakdown for the quarter was approximately 80% for devices, 14% for service, 4% for software and 2% for other revenue. Approximately 1.65 million BlackBerry® subscriber accounts were added in the quarter and over 3.9 million devices were shipped. The total BlackBerry subscriber account base at the end of the third quarter was approximately 12 million.
"RIM's performance in the third quarter was solid with strong adoption of BlackBerry products and services continuing across multiple market sectors, including enterprise, small and medium business and consumer market segments," said Jim Balsillie, Co-CEO at Research In Motion. "RIM and its partners continue to execute our business plans effectively. We are pleased to see continuing growth amongst business and government users, with the BlackBerry platform being deployed for a widening range of applications, and we are also pleased with the excellent consumer sales results achieved so far in the holiday buying season."
Net Income for the quarter was $370.5 million, or $0.65 per share diluted, compared with net income of $287.7 million, or $0.50 per share diluted, in the prior quarter and net income of $175.2 million, or $0.31 per share diluted, in the same quarter last year. The net income for the quarter includes a tax recovery of approximately $10.7 million resulting from the resolution of a tax matter relating to RIM's Investment Tax Credits (ITCs).
Revenue for the fourth quarter of fiscal 2008 ending March 1, 2008 is expected to be in the range of $1.80-$1.87 billion. Net subscriber account additions in the fourth quarter are expected to be approximately 1.82 million. Earnings per share for the fourth quarter are expected to be in the range of $0.66-$0.70 per share diluted.
The total of cash and cash equivalents, short-term investments and investments was $2.13 billion as at December 1, 2007, compared to $1.73 billion at the end of the previous quarter, an increase of $405 million over the prior quarter. Uses of cash in the quarter included capital expenditures of approximately $97 million.
The company will hold a conference call and webcast today, live at 5:00 pm (eastern) and archived at http://www.rim.com/investors/events/index.shtml until midnight January 10, 2008. A replay of the Q3 conference call can also be accessed after 7 pm (eastern), December 20, 2007 until midnight (eastern), January 10, 2008 by dialing 416-640-1917 and entering passcode 21221692#.