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| Blackberry reports surprise $23m profit | Blackberry reports surprise $23m profit |
| (34 minutes later) | |
| Troubled smartphone maker Blackberry has reported a small profit as cost cutting and higher margins helped to offset a big drop in revenues. | |
| Net profit for the three months to the end of March was $23m (£14m), compared with an $84m loss a year earlier. Revenue was down 69% at $966m. | Net profit for the three months to the end of March was $23m (£14m), compared with an $84m loss a year earlier. Revenue was down 69% at $966m. |
| The results were better than analysts expected and Blackberry shares rose 10% in pre-market trading in the US. | The results were better than analysts expected and Blackberry shares rose 10% in pre-market trading in the US. |
| The company is trying to fight back after losing market share. | |
| This week it agreed a deal to license Android applications from Amazon's app store. | This week it agreed a deal to license Android applications from Amazon's app store. |
| Excluding a one-off accountancy gain and restructuring charges, the company made an adjusted loss of $60m during the quarter. Gross profit margins were 46.7%, up from 33.9% a year ago. | |
| 'On track' | |
| Under new boss John Chen, the company has embarked on a turnaround plan aimed at focusing more on its services arm while putting a renewed emphasis on its keyboard devices. | Under new boss John Chen, the company has embarked on a turnaround plan aimed at focusing more on its services arm while putting a renewed emphasis on its keyboard devices. |
| "Our performance [in the quarter] demonstrates that we are firmly on track to achieve important milestones, including our financial objectives and delivering a strong product portfolio," said Mr Chen, who took over the company in November last year. | |
| "Over the past six months, we have focused on improving efficiency in all aspects of our operations to drive cost reductions and margin improvement. Looking forward, we are focusing on our growth plan to enable our return to profitability." | "Over the past six months, we have focused on improving efficiency in all aspects of our operations to drive cost reductions and margin improvement. Looking forward, we are focusing on our growth plan to enable our return to profitability." |
| Analysts were pleasantly surprised by the latest results. | Analysts were pleasantly surprised by the latest results. |
| "The numbers certainly aren't great, but they could have been much worse," said investment research firm Morningstar's Brian Colello. | "The numbers certainly aren't great, but they could have been much worse," said investment research firm Morningstar's Brian Colello. |