Research In Motion Top Line Surges 41% and Guides Above Estimates (RIMM)

rimm12/17/2009-Research In Motion (NASDAQ:RIMM) reported Q3 EPS of $1.10, topping consensus estimates of $1.04.

Sales in the quarter surged 41% year-over-year to $3.92 billion, and came in ahead of consensus estimates of $3.78 billion.

RIM said 4.4 million new BlackBerry subscriber accounts added in the third quarter.

The company said it sees Q4 EPS of $1.23 - $1.31 (vs. consensus estimates of $1.12), on sales of $4.2 billion - $4.4 billion (vs. consensus estimates of $4.11 billion).

RIM expects Q4 gross margin of 43.5% and subscriber additions of 4.4 million - 4.7 million.

"We are pleased to report record shipments of more than 10 million BlackBerry smartphones during the third quarter with higher than expected revenue, earnings and subscriber growth," said Jim Balsillie, Co-CEO at Research In Motion. "RIM is experiencing a great start to the holiday buying season and the strong Q3 results and Q4 outlook clearly reflect the strength of our diversified product portfolio as well as the success of our efforts to expand into broader customer segments and new geographies while maintaining our strong position in North America."

by Chip Brian