June 29, 2013

After carefully studying BlackBerry’s (BBRY) financial results released this morning and listening to the conference call, my conclusion is that the chances of BlackBerry being bought just dropped dramatically. A major support under BlackBerry shares has been the prospect of a buyout. Unless there is some new information, BlackBerry shares are likely to fall.

Here are the highlights of the earnings report:

• Revenue $3.1 billion, up 15% sequentially from the previous quarter

• North America revenue grows sequentially 30%, APAC revenue grows 35%, EMEA revenue grows 9%

• Shipments of 6.8 million smartphones, up 13% sequentially from the previous quarter

• GAAP loss from continuing operations of $84 million, or $0.16 per share

• Adjusted loss from continuing operations of $67 million, or $0.13 per share

• Cash flow from operations of $630 million

• Cash and investments balance of $3.1 billion

“During the first quarter, we continued to focus our efforts on the global roll out of the BlackBerry 10 platform,” said Thorsten Heins, President and CEO of BlackBerry.