BlackBerry: quarterly revenues fall 64% year on year, $ 5.9 billion in losses over the year

by bold-lichterman

The firm will reorient itself on services rather than terminals.

The precursor of BlackBerry smartphones has just published results in the red. At $ 976 million, its revenue for the fourth quarter of its fiscal year 2014 fell 64% from the same period a year earlier. In the end, the automaker recorded a net loss of $ 423 million, bringing total losses to $ 5.9 billion in its fiscal year 2014.

Despite what sounds like bad news, these numbers are better than what most analysts expected. “I am very happy with our progress and the budget execution in the fourth quarter thanks to the strategy that we presented three months ago” even said John Chen, president of BlackBerry who arrived last November. “We have considerably simplified operations, which allows us to reach our goal of reducing expenses one quarter ahead of our schedule” he adds before affirming that his company is on the “way back. to growth and profitability ”.

The number one of the Canadian firm indeed wishes to gradually reorient the group on services and software rather than on the telephone handsets for which it lags behind the competition of the terminals of Apple and Asian competitors under Android. Moreover in the last quarter, the company derived only 37% of its revenues from “hardware”, against 56% for services. To be continued then.