Palm has warned for a net loss and lower-than-expected sales in its fiscal second quarter ended 30 November. The smartphone maker forecast sales of USD 345-350 million for the quarter, down from a previous estimate of USD 370-380 million due to a delay in shipping a product that the company had previously expected to have certified within the quarter. Palm estimated its gross margin at 29.3-29.8 percent, below the earlier outlook of 33.3-33.8 percent due to an increase in warranty repair expenses, a shift in product mix that included higher shipments of Palm Centro smartphones and the delayed product shipment. This will lead to a loss per share of USD 0.22-0.24 for the period. Palm said it was "disappointed" with the quarterly results but remained confident for the long term.
Source:Telecompaper
