Home / Business / RIM sells 50 millionth BlackBerry, quarterly revenue up 25%

RIM sells 50 millionth BlackBerry, quarterly revenue up 25%


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Ontario (Canada) – Research in Motion published its fiscal 4Q’2009 financial results yesterday. Revenue is up 24.5% to CAN$3.46 billion over the previous quarter’s $2.78 billion, and up 84% over the same quarter last year of $1.88 billion. The company has announced it has sold its 50 millionth BlackBerry device, which in total has generated $11 billion in revenue ($220 average unit price).

RIM’s NASDAQ stock price has been a roller coaster this week as everybody was anticipating what the results would be. It started in the $45 range, falling to below $43, before closing above $49 yesterday on the news. It’s one year price target is now $57.09, with a market cap of $27.78 billion.

RIM added 3.9 million net new BlackBerry subscribers (accounting for attrition) in the quarter, bringing their subscriber base to 25 million world-wide.

Jim Balsillie, a Co-CEO at RIM, said:
“We are very pleased to report another record quarter with standout subscriber growth that speaks volumes about the early success and momentum of our new BlackBerry products. RIM experienced an extraordinary year in fiscal 2009, shipping our 50 millionth BlackBerry smartphone and generating $11 billion in revenue. Looking ahead into fiscal 2010, we see exceptional opportunities for RIM and its partners to leverage the investments and success of the past year to continue growing market share and profitability.”

RIM reported net income of CAN$518.3 million, which is $0.90 per share, up from $396.3 million in the previous quarter, and $412.5 million from the year-ago quarter.

Revenue for the next quarter is expected to fall between $3.3 to $3.5 billion, with a gross margin of 43% to 44%. Net new subscribers are expected to increase an additional 3.7 to 3.9 million, bringing the RIM total subscriber base to nearly 29 million by the end of May.

RIM has $2.24 billion in cash on hand, cash equivalents, short-term investments and long-term investments, as of February 28.

See RIM’s press release.