Palm Beats Wall Street Forecast Despite Massive Q1 Loss

Palm Hits Wider Gap in its Fiscal Q1

Summary: Palm Inc., maker of the popular Palm devices, hit a wider gap in its fiscal first quarter due to the tightening competition among Smartphone makers.

However, despite the massive drop in its revenue in Q1, Palm was able to beat earlier prediction by Wall Street analysts as the company shipped Pre WebOS-based devices.

Palm Inc., one of the world’s largest Smartphone makers, on Thursday posted a massive first-quarter fiscal loss due to the steep market competition; it was the ninth straight month that the company reported revenue loss.

But despite the wide revenue gap for the end of the year’s half, Palm managed to beat earlier Wall Street forecast following large shipments of Pre devices. With Pre’s revenue added to the closing market shares, Palm beat analysts’ prediction of $297.7 by posting $360.7 million.

Analysts said that the huge drop in Palm’s profit can be attributed to the deferment of revenues coming from WebOS-based products.

Palm Inc. Chairman and Chief Executive Jon Rubinstein said that the company is now making significant progress, despite the numbers, with the transformation of the Palm devices. He added that they are in the final stages of launching new products that run under Palm WebOS, which will be available in a wider range of carriers.

But IT experts believe that the company has to do more than that to cope up with the tightening competition among Smartphone manufacturers. Palm, according to reports, was lagging behind Research in Motion Ltd’s BlackBerry and Apple Inc’s iPhone.

Palm Beats Wall Street Forecast Despite Massive Q1 Loss

Palm Hits Wider Gap in its Fiscal Q1

Similar Articles

COMMENT

Recent Articles

Recent Business News

Popular News