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Friday, December 20, 2013

BlackBerry reports a £2.7 billion quarterly loss and announces a Foxconn manufacturing deal

BlackBerry has reported its financial results for the last quarter, which ended on 30th November 2013.

Revenue for the three-month period was approximately $1.2 billion (£734 million), down 24% quarter-on-quarter from $1.6 billion and down 56% year-on-year from $2.7 billion.

The company made a $4.4 billion (£2.7 billion) loss for the third quarter, which contrasts with a net income of $9 million profit in the same quarter last year.

Approximately 4.3 million BlackBerry smartphones were sold to end customers during the quarter, of which around 3.2 million were BlackBerry 7 devices.

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John Chen, BlackBerry’s Executive Chairman and CEO, said “With the operational and organizational changes we have announced, BlackBerry has established a clear roadmap that will allow it to target a return to improved financial performance in the coming year. While our Enterprise Services, Messaging and QNX Embedded businesses are already well-positioned to compete in their markets, the most immediate challenge for the Company is how to transition the Devices operations to a more profitable business model. We have accomplished a lot in the past 45 days, but still have significant work ahead of us as we target improved financial performance next year. However, the Company is financially strong, has a broad and trusted product portfolio to work with, a talented employee base and a new leadership team dedicated to implementing our new roadmap.”

In addition, BlackBerry has announced a five-year strategic partnership with manufacturer Foxconn. A number of new BlackBerry devices will be jointly developed and manufactured, including a smartphone for Indonesia that’s expected to be seen early next year.

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Author: The Fonecast
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Categories: Handsets and manufacturers, NewsNumber of views: 6541

Tags: smartphone blackberry foxconn

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