Palm’s Revenue Declines 24%

from the NY Timespa:

SAN JOSE, Calif. (AP) — Palm Inc., which makes the Treo smartphone, fell short of Wall Street expectations Thursday as it reported a 24 percent drop in third-quarter revenue.

The company lost $31.5 million, or 30 cents a share, compared with a profit of $11.8 million, or 11 cents a share, in the year-ago period.

The chief executive, Ed Colligan, said in a conference call with investors that Palm’s reorganization was working, however, and emphasized sales of its $99 Centro smartphone. Palm sold 833,000 Centros in the quarter.

Revenue for the fiscal third quarter was $312.1 million, compared with $410.5 million a year earlier. Excluding one-time items, the company, based in Sunnyvale, Calif., lost $17 million, or 16 cents a share.

On that basis, analysts polled by Thomson Financial expected Palm to report a loss of 14 cents a share on $315.3 million in revenue.

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