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Thursday, October 05, 2006

BlackBerry Tops 6.2 Million Subscribers

The number of BlackBerry account holders reached 6.2 million at the beginning of September as Research In Motion Ltd. reported revenue up 34 percent -- but market researcher IDC said trouble may lie ahead for the company.
RIM warned of some problems on its own on Thursday. The Waterloo, Ontario, company became the latest to announce a review of its options-granting practices, and said it could restate earnings to reduce them by between US$25 million and $45 million over the period since its public offering in 1997.
The company also said its fiscal second quarter financial results, which it announced Thursday, will be considered preliminary until the results of the options probe are known.
RIM's revenue for the quarter ended Sept. 2 rose to $658.5 million, from $490.1 million during the same quarter last year. Net profit was $140.8 million.
Approximately 72 percent of its revenue came from handhelds, 19 percent for service, 6 percent for software, and 3 percent for other revenue, RIM said. The company added 705,000 new BlackBerry subscriber accounts in the quarter.

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