Research In Motion Cuts FY Q3 Revenue, Profit Outlook; Cites Currency, Macro Factors, Delayed Pdt Launches

The great cell phone slowdown has rolled right over Research In Motion (RIMM) . The BlackBerry maker late Tuesday chopped its guidance for its fiscal third quarter ended November 29. The company now sees profits of $2.75 billion to $2.78 billion, down from previous guidance of $2.95 billion to $3.10 billion. The company said profits will be 81-83 cents a share, below its previous forecast of 89-97 cents a share. RIMM said a third of the reduced forecast reflects currency factors. The rest is due to “lower than estimated unit shipments of existing products,” which the company blames in general economic weakness in the U.S. and shifts in product launch dates within the quarter. The company expects net new BlackBerry subs in the quarter of 2.6 million, below its previous forecast of 2.9 million. Research In Motion said that despite delayed product launches and macro weakness, customer response to new BlackBerry phones has been “exceptional.” The company will report ... (link)