PalmOne shares soar after good 4Q

22 Jun 2004

Shares in handheld computer and smartphone manufacturer PalmOne rose by more than a fifth yesterday after the company reported a better-than-expected financial performance for the fourth quarter on the back of a surge in demand for its products. After several years of disappointing returns, PalmOne said revenues rose by 23% to USD267 million in the three months to the end of 28 May 2004 – its fiscal fourth quarter – whilst net income reached USD13.3 million, compared to a net loss of USD15 million in the corresponding period of 2003. PalmOne is the hardware unit of Palm, the handheld computer maker which merged with rival Handspring last October. Since then it has focused on making less expensive terminals such as the Treo range which have an entry price of USD99.

United States