RIM earnings: Focused on growing global business

Research in Motion's profit was up but sales disappointed Wall Street, sending shares down after the company announced first quarter earnings.

Research in Motion reported first quarter earnings that beat Wall Street estimates but missed the analysts' targets on revenue. The company also announced a share repurchase plan.

For the quarter, the company reported revenue of US$4.24 billion, up 24 percent from the year-ago quarter. Net income came in at US$768.9 million, or US$1.38 per share, up from the US$1.12 per share reported in the year ago quarter. Analysts had been expecting earnings of US$1.34 a share on revenue of US$4.36 billion.

Looking ahead, the company projected second quarter revenue between US$4.4 billion and US$4.6 billion, in-line with Wall Street's estimates of US$4.5 billion for the quarter. Second quarter earnings are expected to be between US$1.33 to US$1.40 per share. Gross margin for Q2 is expected to be approximately 44 percent and net subscriber account additions are expected to be between 4.9-5.2 million.

Read more of "RIM earnings: Focused on growing global business" at ZDNet.

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