Boston, MA, 03/14/2013 – Research in Motion Ltd. (NASDAQ:BBRY), doing business under its popular brand name BlackBerry, announced that an “established partner” has placed an order for 1 million units of its BlackBerry 10 smartphones. This order has been met with enthusiasm by management at RIM, maker of the popular BlackBerry smartphones. A spokesperson for the company declined to identify the customer placing the order for the 1 million units.
The Waterloo, Ontario, Canada Research is a global leader in the mobile telecommunications market. The company has a market capitalization of around $8 billion and has been in fierce competition with Galaxy smartphone maker Samsung Electronics Co., Ltd. (KRX:005935) and iPhone maker Apple Inc. (NASDAQ:AAPL).
The news of the order comes as good news for Lenovo Group Limited – ADR (PINK:LNVGY). The company is in the market to purchase Research in Motion Ltd. Based in Beijing, China, the company serves over 160 customers worldwide as a personal technology company.
The net profit margin for Lenovo Group Limited – ADR was around 2% for the last reporting quarter in 2012. The company’s quick ratio is around 0.9. The company’s debt to equity ratio is 605% and debt ratio is around 85%. A purchase of Research in Motion Ltd. may provide a needed new stream of income necessary to turn the company around.
News of the order of 1 million could be seen as a blow to the fortunes of Apple Inc. The company has been in a battle with Samsung Electronics Co., Ltd. over the Galaxy smartphone design versus the company’s proprietary iPhone units. There is also news that the company’s iPad tablet may be replaced as a top seller by those using the Android operating platform.
Apple Inc. is based in Cupertino, California and is one of the world’s most valuable publicly traded companies. It has a market capitalization of $406 billion and trading at around $430 per share, which is 40% off of its 52 week high of around $705 per share. The company is liquid, with a quick ratio of around 1.31
News of the 1 million unit customer order of BlackBerry 10 smartphones caused shares of RIM to jump to a high of $15.65 per share in intraday trading. The news of the order comes on the heels of a recent announcement from Verizon Communications Inc. (NYSE:VZ) that it will begin selling the BlackBerry 10 Z10 model beginning March 28, behind AT & T Inc. (NYSE:T) similar announcement to begin sales March 22. Shares of Research in Motion Ltd. (NASDAQ:BBRY) are down by 1.37% and trading at $15.42.