BLACKBERRY manufacturer Research in Motion (RIM) yesterday revealed quarterly profit and revenue rises but the results failed to match expectations.
Profit rose to $710.1m (£467m) in the three months ending 27 February, from $628.4m, in the same period last year. Gross margin was 45.7 per cent and it shipped 10.5m devices. Revenue increased 18 per cent to $4.08bn below analyst expectations of $4.3bn.
The results, described by co-chief executive Jim Balsillie as “outstanding”, are under close scrutiny for the average selling price and gross margins. Analysts fear that as RIM moves further into the mainstream market it will sell more low-end phones, which will squeeze its profitability.
RIM said it expects revenue of $4.25bn to $4.45bn in the next quarter.