PalmSource Announces Q2 FY04 Results
PalmSource today reported revenues of $16.8 million for the second quarter of fiscal year 2004, ended November 28, 2003, shortly after the market closed. The company posted a slight loss in its first quarter after the spin off. Revenue grew 13% over the same fiscal quarter a year ago as 1.3 million palm powered devices shipped.
Based on generally accepted accounting principles (GAAP), the net loss for the second quarter of fiscal year 2004 was $9.1 million or $0.89 per share. This compares to a GAAP net loss for the second quarter of fiscal year 2003 of $8.3 million or $0.83 per share.
On a non-GAAP basis that excludes the effect of stock-based compensation, amortization of intangible assets, restructuring, and separation (related to the spin out of PalmSource from palmOne), net loss for the second quarter of fiscal year 2004 was $0.3 million, or $0.03 per share. This compares to a non-GAAP net loss for the second quarter of fiscal year 2003 of $6.0 million or $0.60 per share. At November 28, 2003, cash, cash equivalents and restricted investments were $35.7 million.
"The second quarter was an exciting and historical time for PalmSource. In this quarter, PalmSource was spun out from palmOne and launched as an independent public company with the mission of powering the next generation of smart mobile devices," said David Nagel, PalmSource, Inc. president and chief executive officer. "As these exciting events were occurring, we maintained our focus on operational excellence and continued with the execution of our plan to achieve profitability."
In the second quarter, the company announced PerComm, Inc. as a Palm OS licensee. PerComm plans to integrate Palm OS 5 to create new smart mobile devices that operate on wireless networks including ReFLEX, GSM and CDMA. Additionally, the company recently announced that Founder Technology Group, Corp. (Foundertech), a leading computer manufacturer in China, has licensed Palm OS to distribute Foundertech-branded Palm Powered devices in China. During the second quarter, the company launched the Palm Powered Mobile World program, connecting mobile operators, infrastructure providers and software developers in a wireless ecosystem that capitalizes on the growing smartphone market. The Palm Powered Mobile World program was joined by Sprint as a charter carrier member and Pumatech and Visto as charter infrastructure members.
Second Quarter Operational Review
Comparing the second quarter of fiscal year 2004 to the same quarter of the prior year:
- Total revenues grew by 13% to $16.8 million.
- License and royalty revenues increased by 14% to $15.5 million, while the number of units shipped decreased by 10% to 1.3 million.
- Gross margin percentage improved from 81% to 94%.
- Total operating expenses on a non-GAAP basis decreased by 9%.
- Non-GAAP net loss decreased by 95% to $0.3 million.
Business Outlook
Management's current outlook for the third quarter is as follows:
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Will OS 6 be on time?!
Posted By: Ryan on Tuesday, September 23, 2003 2:51:30 PM
PalmSource has announced at its developer seminar, currently under way in Munich, that Palm OS 6, code-named Sahara, will be complete by December 29th.
http://www.palminfocenter.com/view_story.asp?ID=5992
Will there be an announcement, or are they still in a Quiet Period? Hello, Michael Mace?
I have to tell you, I've decided to *skip* OS 5 and the TT3. I've extended the life of my ratty mono CLIE S320 by getting a fatter MStick and a battery extender (the styluses I bought off ebay were not as advertised and are going back.... grrr!).
Having seen that *hp* can get BT *and* WiFi into that itty-bitty 41xx form factor -- well, what's palmOne's excuse *NOT* to do so?
Despite the net stock crash, I'm *still* on Internet Time -- and the TT3 looks long in the tooth to me already (my S320 is antediluvian!).
Give me that and OS 6 and I'll upgrade.
RE: Will OS 6 be on time?!
BS - I don't buy it. You're one of those people. Those people who won't be satisfied unless God came down and gave you his own. Warm up your stylus. You'll be using that 320 for a long, long time.
-Bosco
NX80v + Wifi + BT + T616
RE: Will OS 6 be on time?!
Next year will be all about screen baby, that OS 6.0 better be really good or it'll be game over for palm.
RE: Will OS 6 be on time?!
Yeah, neither outlandish prediction will really happen, will they?
-Bosco
NX80v + Wifi + BT + T616
RE: Will OS 6 be on time?!
enjoy Palm's last moments, because by the end of next year, Palm will be irrelevant. It will be selling only low end $99 zires and one or two $399 models. Last itch to servive.
RE: Will OS 6 be on time?!
Do you then have a Short position on Palmone? If not, you losing massive profits. Anyone can post confidently to a message board. Real confidence will put your $$$ where your mouth is.
If Palmone is dead in 12 months, then surely your gonna get rich off it?
Pat Horne; www.churchoflivingfaith.com
RE: Will OS 6 be on time?!
No. PDAs without WiFi are dead meat.
Research In Motion's Shares Surge Amid Rosy 4Q Outlook
December 23, 2003: 13:52 p.m. EST
Dow Jones Newswires
TORONTO -- Shares of Research In Motion Ltd. (RIMM) rocketed out of the gate Tuesday after the BlackBerry maker posted a fiscal third-quarter profit and raised its fourth-quarter earnings forecast.
http://money.cnn.com/services/tickerheadlines/djh/200312231352DOWJONESDJONLINE000890.htm
** Paging Michael Mace! **
Is OS6 in its final stages? Or is it still a Death March to the deadline? Or have all of you already gotten drunk on cheap champagne in celebration, drunkenly screaming, "Make sure to post on PIC to shut up that ^%$#@ Cane character!!"??
RE: ** Paging Michael Mace! **
Come on, Mike (Mace)...throw us a bone. What's going on over there at PalmSource?
-------------------------------
My blog: www.pocketfactory.com
RE: ** Paging Michael Mace! **
You find it:
RE: ** Paging Michael Mace! **
Doesn't matter though because it goes to licensees, not us. PalmSource is home for the holidays.
BTW, palmOne doesn't make the OS any more so the survival of the OS doesn't correspond one-to-one with the success of palmOne.
Latest Comments
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Still, all in all, a good company
"One hour martinizing! Who is this guy martin anyhow?"