As the company had warned a few weeks ago, Palm Inc.’s profits and revenues for its most recent financial quarter were not as high as originally predicted.
It is blaming this shortfall on a delay in the release of the Treo 750 in the United States. This smartphone debuted in Europe this fall, and Palm hoped it would be available on the other side of the Atlantic during the holiday shopping season, but this didn’t happen.
This is an important product for the company, as it will be its first Windows Mobile device to run on GSM networks. Palm’s other Treos running this operating system are available only on less widely used CDMA networks.
In today’s announcement, Palm prominently pointed out that, even without the 750, it shipped 617,000 units, more than it has ever sold before, and up 42 percent year over the same quarter a year ago.
The company had $392.9 million in revenue during the quarter, which ended December 1. This lead to a net income of $12.8 million, or 12 cents per diluted share.
For its current financial quarter, Palm expects its revenues will be in the range of $400 million to $410 million, and earnings to be between 11 cants and 13 cents.
These predictions are lower than some analysts had been expecting, causing Palm’s share price to drop in after hours trading.