palmOne took the unusual move of announcing the results of the most recent financial quarter right before the stock market opened, instead of at the end of the day.
This was probably because it expects its stock price to go up on what it is announcing: a much higher profit than many had been expecting.
The company’s revenue during the quarter totaled $335.8 million, up 26 percent from the same quarter a year ago. This is the eighth quarter in a row that the company’s revenues have been higher than in the equivalent period of the previous year.
palmOne’s net income was $17.7 million, or 35 cents per share. In the same quarter of 2004, its net income was $13.3 million.
Analysts had predicted it would make 31 cents a share last quarter, and have revenue of about $332 million.
The company credits much of its profits to the success of the Treo line.
“Our carrier and channel partners reported very strong sell-through on Treo smartphones for the quarter — a 250 percent increase over the comparable quarter last year,” said Ed Colligan, palmOne president and chief executive officer.
As expected, this news has driven the price of palmOne shares up sharply. In pre-market trading this morning, the price is up almost 6 percent.
Big Yearly Profit, Too
palmOne also reported the results of its most recent fiscal year, which ended this month.
Its revenue for the year was $1.27 billion, up 34 percent from previous fiscal year.
Net income was $66.4 million, or $1.29 per diluted share, compared with net loss of $21.8 million for last year.
In its current financial quarter, palmOne executives predict that their company’s revenues will be between $330 million and $335 million.
This will lead to a profit between 24 cents and 29 cents. This range is below analysts’ current prediction, which is that palmOne will earn a profit of 31 cents.