Blackberry manufacturer Research In Motion has offered a disappointing financial outlook, causing its share price to drop five percent.
The BlackBerry maker actually reported first quarter results that were slightly up on the predictions of analysts. The company's revenue jumped to US$3.42 billion from $2.24 billion and RIM added another 3.8 million new Blackberry subscribers, bringing the number of Blackberry owners almost 29 million.
Analysts had expected revenue of $3.4 billion.
However, for the second quarter, that ends on 29 August, RIM predicted revenue of between $3.45 billion and $3.7 billion, and earnings per share of between 94 cents and $1.03.
Technology analyst Carmi Levy told Reuters that RIM's outlook is still robust. "They see it as a threat," he said of RIM's attitude toward rivals' new handsets and their aggressive prices. "They just don't see it as highly likely that it's really going to take them down significantly."