Struggling smartphone maker BlackBerry reported a major net second
quarter loss Friday and said is is burning cash at a higher rate as it
moves to execute a tentative deal that could take the company private.
Revenue
for the quarter ended Aug. 31 was $1.6 billion, with a net loss of $965
million, or $1.84 a share. That compares with revenue of $2.9 billion
and a loss of $229 million, or 44 cents a share, for the same quarter
last year.
Adjusted net loss from continuing operations was $248
million, or 47 cents per share. The per-share loss was on the low side
of the 47 cent-to-51-cent range that BlackBerry warned of last week,
when it announced preliminary results and plans to lay off 4,500
employees. Wall Street analysts had expected a loss of 49 cents a share.
 |
Thorsten Heins, CEO of BlackBerry, in New York in January. (Photo: Mark Lennihan, AP)
|
Most
of the financial results tracked last week's announcement. But
BlackBerry disclosed that its operations consumed roughly $136 million
in cash. That compares with $630 million in cash flow from operations in
the previous quarter that ended June 1.
BlackBerry CEO Thorsten
Heins says he is "very disappointed" with the struggling company's
latest earnings report, which was released before financial markets
opened Friday. BlackBerry shares were up 10 cents at $8.05 in premarket
trading.
"We are very disappointed with our operational
and financial results this quarter and have announced a series of major
changes to address the competitive hardware environment and our cost
structure," Heins said in statement issued with the earnings report. "We
understand how some of the activities we are going through create
uncertainty, but we remain a financially strong company with $2.6
billion in cash and no debt."
Published by: USAtoday
0 comments:
Post a Comment