Earlier today RIM had their Q1 earnings call and it seems that while the stocks have taken a small dip, RIM is still showing positive numbers and promise for the rest of the year. The slight drop in the stock is due to the numbers missing the expectations of the traders on the street. Most people are guessing much of this has to do with the fact that RIM released the Bold 9650 and the Pearl 3G slightly behind schedule. Now this is to be expected these days, as there always seems to be some last minute changes being made to the devices, especially in the case of the 9650, who went through a last minute re-branding.
Jim Balsillie, RIM’s Co-CEO, didn’t seem to be bothered by the stock dip, and is still optimistic of RIM’s future and the rest of the fiscal year. Balsillie also made some comments about all the good things RIM has in the pipeline, as well as some surprises. He also said that we should start to see some ‘acceleration’ in the back half of the year.
There are a whole list of earnings and numbers that you can go through, but here are the highlights:
- Revenue grew 24% over the same quarter last year to $4.24 billion
- Earnings per share in the first quarter increased 41% year over year to $1.38(1)
- BlackBerry(R) smartphone shipments grew more than 43% over the same quarter last year to 11.2 million and RIM shipped its 100 millionth BlackBerry smartphone during the quarter
- BlackBerry subscriber account base grew approximately 60% over the prior year to 46 million, with 4.9 million net new subscriber accounts added in Q1
- RIM’s Board of Directors approved a share repurchase program to purchase for cancellation up to 31 million common shares
Hopefully with all this talk of ‘acceleration’ and surprises, we will start to see some real movement by RIM to not only dominate the lower end of the smartphone market, but also go after the top of the line devices like the new iPhone4 and EVO 4G.
If you have an opinion on this or want to wager a guess on the so called ‘surprises’ head on over to the Nerdberry.net Forums and share your thoughts