Preliminary financial results for Palm show lackluster performance
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Alfredo Padilla Published on December 07, 2007 Comment on this |
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Palm yesterday released preliminary financial results for their quarter ending November 30. Revenue for the quarter is expected to be between $345 and $350 million compared to their original guidance of $370 to $380 million. Palm blames a delay in shipping a product for the shortfall. Palm expects to post a loss for the quarter of between 22 and 24 cents per share.Palm also indicated that their gross margins have decline. According to their press release this decline was caused by higher than expected warranty costs and increased shipments of the low margin Palm Centro device. Palm introduced the Centro as a sub hundred dollar smartphone earlier this year.
Palm has seen its market share and earnings fall for several quarters in a row. They are currently working on a new version of the Palm OS, which is expected to make its debut late next year or early 2009. Palm's official financial results are expected on December 18th.
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