Despite the popularity of the Centro, Palm is still struggling to overcome its losses. The company reported a net loss of $43.4 million for its fourth fiscal quarter, compared with a net income of $15.7 million last year. While much of the losses are attributed to restructuring and write-offs of bad debt, the company still has problems.
Although Palm sold 968,000 devices in the quarter--the most in its history--Palm CEO Ed Colligan wouldn't tell financial analysts during a conference call how much margin the firm makes on the device. He would only say that margins were exceeding expectations, making some analysts wonder if Centro, which is being sold to consumers for $99, is a profitable device.
For more:
- see this CNET story
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