RIM's Bull Ride Continues

In a conference call for analysts, Balsillie said the company is planning to launch up to three new models toward the late summer and early autumn. He indicated that new BlackBerrys would have more multimedia features, including possibly a touch-screen feature similar to the iPhone.

RIM has pursued an aggressive pricing strategy, keeping new models at about $199 after rebates as it vies for more a greater slice of the consumer market. The company currently derives about 75% of its revenue from business users. As this percentage has fallen with the addition of consumer accounts, RIM said its average selling price has declined or remained flat in previous quarters.

The effect is showing up in RIM's gross margins, which contracted to 51% in the first quarter from 55% a year earlier and 53.5% in the previous quarter.

RIM expects its average selling price to decline in the low-single-digits.

In the current quarter, RIM expects earnings per share of $1.37 to $1.49 a share, way above analysts' views of $1.12.

RIM expects revenue in the range of $1.3 billion to $1.365 billion, also well above expectations.

The company also announced a 3-for-1 stock split will be implemented by way of a stock dividend whereby shareholders will receive two common shares of the company.