More sour grapes for BlackBerry
BlackBerry can't seem to catch a break no matter what it does. This was a year of change for BlackBerry, from a shakeup in management to new devices and even a new name. However, the end result is still the same -- losses. The latest loss comes to $4.4 billion for the Canadian handset maker's three month period ended November 30, 2013. No company wants to be staring at $4.4 billion loss , though the majority of that red ink is due to charges.
Not including pre-tax charges of $4.6 billion associated with long-lived assets, inventory and supply commitments, and previously announced restructuring costs, BlackBerry's losses for the quarter came to $354 million (PDF) , or $0.67 per diluted share, compared with a $248 million loss in the prior quarter.
There's still not a lot of solace to be taken in those adjusted figures. Part of the problem BlackBerry faces is that customers aren't flocking to its newer BlackBerry 10 devices as the company anticipated. Of the 4.3 million smartphones it sold during the third quarter, 3.2 million were BlackBerry 7 devices.
BlackBerry remains optimistic as it continues its restructuring effort. As part of that, the company announced a 5-year strategic partnership with Foxconn, the same company that builds the bulk of Apple's iPhone and other mobile products. Under the new relationship, BlackBerry says the two will jointly develop and manufacture certain BlackBerry devices, with the initial focus on a smartphone for Indonesia and other fast-growing markets in early 2014.