Research in Motion (RIMM) announced that it lost $518 million, or 99 cents a share in the most recent fiscal quarter versus a profit of $695 million, or $1.33 per share, in the same period last year. Excluding one time impairment charges, the latest loss was 37 cents per share, while analysts were expecting a loss of 3 cents. Revenue dropped by 43 percent to $2.8 billion, below expectations of $3.1 billion. The firm shipped 7.8 million BlackBerry smartphones in the quarter, down 41 percent from 13.2 million in the same period last year. Research in Motion also announced it plans to lay off 5,000 employees, as well as delay the launch of a new more consumer-friendly phone.
Shares are sharply lower in early trading.
The company has been struggling to compete in the crowded consumer smartphone market during the last few years since the introduction of Apple's (NASDAQ:AAPL) iPhone in 2007.
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