BB10 fails to set world alight as BlackBerry posts poor Q1 results

Alarm bells are ringing in Ontario, following worrying 2013 figures for BlackBerry.

The Canadian smartphone manufacturer's shares fell by 28 per cent on Friday - its most dramatic loss since 2000 - as it failed to hit its sales and profit targets for the quarter ending on 1 June.

BlackBerry shipped 6.8 million phones during the three months; around one million fewer than it did in the same period last year. However, BlackBerry did not reveal how many smartphones running the BB10 operating system were sold during the quarter.

The company has announced losses of $84 million (£55 million), which is not quite as bad as the $518 million deficit it endured in the same quarter last year.

Revenue rose to £3.1 billion from the $2.8 billion recorded a year ago.

BlackBerry launched two major new smartphones this year, designed to drive the Canadian company's recovery. First came the touchscreen Z10 device, then the physical keyboard-packing Q10.

Analysts had been anticipating this quarter's results particularly, since they correspond with the Z10's first full quarter on the shelves in the US.

Despite the doom and gloom, BlackBerry boss Thorstein Heins remains confident in his products, and believes that the poor financial results show that BlackBerry's transition period is still ongoing.

"We are still in the early stages of this launch, but already, the BlackBerry 10 platform and BlackBerry Enterprise Service 10 are proving themselves to customers to be very secure, flexible and dynamic mobile computing solutions."

"As sales look less promising, it's more difficult for BlackBerry to convince developers to create unique and customized apps for the BlackBerry platform," Charles Golvin, an analyst at Forrester Research, told Bloomberg. "That is definitely a big risk for the company."

BlackBerry will press on with the global rollout of new BB10 products over the next three quarters, according to Heins.

BlackBerry last week launched Secure Work Space, an enterprise service targeted at protecting corporate data from the potential dangers of BYOD.