Palm announces profits despite revenue slide

Neat trick...

PDA firm Palm has announced a second quarter profit despite a nine per cent drop in revenues. The company attributed the gains to an aggressive cost-cutting policy over the past year. The introduction of two new gadgets, the Zire and Tungsten PDAs. Palm reported profits of $3.5m compared to a loss of $25.2m for the same quarter last year. The news saw Palm shares rise 12 per cent in after-hours trading.