We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
80,259 News Articles

RIM's PlayBook shipments halve

The company continues to struggle, with its tablet sales dropping off and revenue continuing to sink

PlayBook shipments dropped in half for Research In Motion during its second quarter, which also saw revenue continue to plummet.

RIM shipped just 200,000 PlayBooks in the second quarter, down from 500,000 last quarter, when it started selling the tablets.

Revenue was US$4.2 billion, hitting the low end of the company's expectation and down 10 percent from the same quarter last year. Analysts polled by Thomson Financial expected $4.47 billion.

RIM's net income was $329 million, or $0.63 per share. Adjusted net income was $419 million, or $0.80 per share. Analysts were expecting better: Those polled by Thomson predicted $0.87 per share.

RIM shipped 10.6 million smartphones during the second quarter. In June, RIM warned that the second quarter might be weak because of delays in shipping new phones. The delays meant RIM would miss the back-to-school sales period, negatively impacting sales, it said at the time.

The company expects revenue for its third quarter, ending Nov. 26, to be in the range of $5.3 billion to $5.6 billion. It hopes to ship between 13.5 million and 14.5 million smartphones but did not say how many tablets it expects to ship. For the year, earnings per share should hit the low end of its previous guidance of $5.25 to $6.00, RIM said.

RIM hasn't managed to keep up with advances in smartphones and has lost market share to both Apple and Android phones. It had high expectations for its PlayBook tablet, but that device has been criticized in part for lacking crucial software like an email client and for offering few applications.

Nancy Gohring covers mobile phones and cloud computing for The IDG News Service. Follow Nancy on Twitter at @idgnancy. Nancy's e-mail address is [email protected]


IDG UK Sites

Best Christmas 2014 UK tech deals, Boxing Day 2014 UK tech deals & January sales 2015 UK tech...

IDG UK Sites

LED vs Halogen: Why now could be the right time to invest in LED bulbs

IDG UK Sites

Christmas' best ads: See great festive spots studios have created to promote themselves and clients

IDG UK Sites

Why Apple shouldn't be blamed for exploitation in China and Indonesia