BlackBerry has posted a net loss in the second quarter of $ 965 million, blaming the Z10 for his BlackBerry misfortune.
Despite reporting three months billion (£ 994 million) quarterly revenues, $ 965 million (£ 599 million) in total losses overshadowed any Blackberrys had success this quarter.
The enormous losses are attributed to what the company calls "Z10 inventory Charge", which means that the company is being penalized for his stash of BB10 flagship phones that failed to sell.
Mirroring the surplus inventory Microsoft Surface RT which meant the company incurred expenditure of $ 900 million, the BlackBerry Z10 failed to appeal to consumers, despite a new touchscreen BlackBerry OS and reinvented fire 10.
"We are very disappointed with our operational and financial results this quarter and announced a series of major changes to address the competitive environment hardware and our cost structure," said Thorsten Heins, President and CEO of BlackBerry.
It was recently announced that BlackBerry has agreed to a sale of $4,7 billion to Fairfax financial Consortium, but the company said that it is still exploring other opportunities while crossing the deal.
BlackBerry has also had to cut 4,500 jobs in the light of its losses, which is equivalent to 40 percent of its workforce.
"We understand that some of the activities that we are creating uncertainty, but we are a financially strong company with $2,6 billion in cash and no debt. We are focused on our target markets and are committed to complete our transition quickly in order to establish a more targeted and effective. "
Despite the poor sales of Blackberry Z10, the company still has about 3.7 million registered sales of smartphones this quarter, perhaps prompted by physical keyboard QWERTY Smartphones such as Q10 BB10 BlackBerry and BlackBerry Q5.
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