Palm posted a bleary fiscal first quarter of 2008, which ended in August 31, and resulted in a loss for the first time in four years. The company just launched its newest Treo device, the Palm Centro. Palm posted a net loss of $800,000 for the quarter, compared to a gain of $16.5 million last year. Overall revenue was up just 1 percent from $356 million last year to $361 million this year. Smart revenue was up 21 percent year-over-year. Palm warned Wall Street of the impending loss in mid-September.
During the quarter, Palm announced an investment from Elevation Partners, and Palm CEO Ed Colligan pointed to that investment as one lifeline: "As we move toward completing the recapitalization transaction with Elevation Partners, we are excited to strengthen our ability to accelerate Palm's growth in the future."
The iPhone launched during Palm's most recent quarter and most analysts claim that had the biggest effect on Palm's bottomline. RIM's BlackBerrys are also selling well, however. Palm also pulled its Foleo keyboard and monitor devices during the quarter, just days before they were set to launch.
For more on Palm's quarter:
- read this press release