Marcus Leroux
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The firm behind the BlackBerry has more than doubled revenue and profit amid the first signs that a significant number of people are snapping up the handsets for personal use.
The handsets have been a fixture in the corporate world for years, but Research in Motion (RIM), the Canadian maker of the handheld device, has struggled to break into the retail market.
New subscriptions to the service from individuals outstripped those from companies for the first time in the North American market, suggesting that the BlackBerry finally is shedding its reputation as solely a tool for work.
Soaring retail sales helped RIM on its way to a second-quarter pre-tax profit of $412 million (£202 million), up 114 per cent on last year, on revenues of $1.37 billion.
The firm, based in Ontario, said that the number of subscribers broke through the ten million mark for the first time.
The quarter that ended on September 1 saw them sell three million handsets, as it focused on the crossover between the professional and consumer sectors.
RIM's attempt to push the "CrackBerry" into the so-called "prosumer" market will bring it into direct competition with Apple's iPhone.
Apple's launch has already suffered from criticism regarding its security and its high price.
The iPhone is reckoned to be ill-equipped for business use, because of its less-efficient e-mail and internet capabilities, and the BlackBerry is unlikely to compete on entertainment functions.
The BlackBerry is also available at a fraction of the £900 cost of running an iPhone over the minimum contract period of 18 months.
However, consumer subscribers still only account for about 30 per cent of WIM's subscription base, according to Jim Balsillie, the co-chief executive of RIM.
He said: "RIM’s second-quarter results were exceptionally strong on all metrics, including revenue, subscriber account additions and net income."
He added: "This growth is fuelled by the depth of the BlackBerry product portfolio and the continued diversification of our business across market segments and geographies.
"With over ten million BlackBerry subscriber accounts and over twenty million handsets shipped, we are pleased with our position in the market today and we expect recent product and market initiatives to extend our business momentum through the remainder of the fiscal year."
The company’s shares fell initially in after-hours trading, but quickly rebounded to trade to close at $100.54, up 4.42 per cent on the day.
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