BlackBerry reported revenues up 9 percent year-on-year to USD 3.1 billion for its fiscal first quarter to 1 June. During the quarter, the company shipped 6.8 million BlackBerry smartphones, up by 13 percent on a sequential basis, as well as around 100,000 BlackBerry PlayBook tablets. Around 40 percent of the phones shipped ran the new Blackberry 10 operating system. Service revenues declined, following price cuts and a drop in the subscriber base by around 6 million over the past 12 months to 72 million at the end of May.
Thanks to cost reduction efforts and the improving sales, the company's loss from continuing operations narrowed to USD 84 million or USD 0.16 per share, from a loss of 510 million or 0.97 per share a year ago. This included USD 26 million in restructuring charges, as well as a 10 cents a share impact from Venezuelan currency restrictions. BlackBerry said that excluding the Venezuelan effect, it would have met its previous outlook for around breakeven.
The company's cash totaled USD 3.1 billion at the end of the period, up by USD 200 million from the previous quarter. Cash flow from operations was at USD 630 million, and capex reached about USD 83 million.
BlackBerry said it plans to continue to invest in expanding distribution and marketing of its new BlackBerry 10 phones as well as BES and Messenger. As a result, it expects to post an operating loss again in the fiscal second quarter.
