RIM Reports Q1 2013 Results: $518 Million Loss On $2.8 Billion In Revenue, Cutting 5,000 Jobs

Posted on Jun 28 2012 - 8:42pm by Editorial Staff

As expected, Research In Motion has just announced its first quarter of fiscal 2013 results. The company reports $2.8 billion in revenue, which was down 33% from $4.2 billion in the previous quarter and down 43% from $4.9 billion in the same quarter of fiscal 2012. During the quarter, RIM shipped 7.8 million BlackBerry smartphones and approximately 260,000 BlackBerry PlayBook tablets. The revenue breakdown for the quarter was approximately 59% for hardware, 36% for service and 5% for software and other revenue.

GAAP net loss for the quarter was $518 million, or $0.99 per share diluted, compared with a GAAP net loss of $125 million, or $0.24 per share diluted, in the prior quarter and GAAP net income of $695 million, or $1.33 per share diluted, in the same quarter last year. Adjusted net loss for the first quarter was $192 million, or $0.37 per share diluted. Adjusted net loss and adjusted diluted loss per share exclude the impact of pre-tax charges of $335 million ($326 million on an after tax basis).

Highlights:

  • Cash, cash equivalents, short-term and long-term investments increased to $2.2 billion at the end of the first quarter
  • Cash flow from operations was approximately $710 million in the first quarter
  • Revenue of $2.8 billion in Q1, down 33% from $4.2 billion in the prior quarter
  • GAAP net loss in Q1 of $518 million or $0.99 per share diluted; adjusted net loss of $192 million or $0.37 per share diluted
  • Shipments of BlackBerry smartphones were 7.8 million and shipments of BlackBerry PlayBook tablets were approximately 260,000
  • BlackBerry 10 smartphone launch now scheduled for Q1 of calendar 2013
  • Restructuring efforts underway that will include a workforce reduction of approximately 5,000 employees as part of RIM’s efforts to realize over $1 billion in cost savings, based on RIM’s Q4 FY2012 run rate
  • Launched World Tour BlackBerry Jam developer sessions in 23 countries resulting in strong adoption and support by application and developer partners for BlackBerry 10 platform
  • BlackBerry App World continues to grow with over 89,000 applications available
  • The overall BlackBerry subscriber base continued to grow, and the subscriber base grew in all regions except for North America
  • RIM names Steve Zipperstein, former General Counsel of Verizon Wireless, as Chief Legal Officer

(Image Source: RIM logo, Featured Image)

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