Blackberry has over the past few years been on the verge of collapse because as they say a company with no growth is on its way out. In fact, it has not only been having no growth but its customer base has been shrinking in each financial report in recent past. Recently there was a decrease to 76 million from 79 million, a sign that more people ditched their Blackberry in favor of competitors’ phones. However thing seems to look brighter.
Reports show that the phone is doing far much better than the critics had thought. In fact, the latest figures places it at a very promising position. BlackBerry CEO Thorsten Heins said that while 6 million BlackBerry smartphones were shipped last year, 1 million Z10 devices were shipped just in the last quarter which was above the 915,000 that analysts had been expecting for the quarter that ended March 2. This may be attributable to various efforts by the organization including their new BlackBerry 10 platform launched earlier this month and the fact that they launched two devices, the BlackBerry Z10 and BlackBerry Q10 under the new OS.
Over and above that, the company is back to profitability. The once written off as dead amid fierce competition from more modern mobile devices such as the iPhone, surprised Wall Street Thursday by returning to profitability. BlackBerry reported earnings of $0.22 per share on $2.7 billion in revenue — that works out to an adjusted net income of $114 million. This is against the projected loss of $0.28 per share on revenues of $2.8 billion that had been projected on consensus by Bloomberg Businessweek. Surely, they did proof many wrong.
And as you would expect, investors appeared mostly happy with the financial results. BlackBerry’s stock rose as high as $15.55 as trading opened Thursday after the release of results, this was a 10% increase showing that investors had developed some great confidence in the stock.