A lease charge helped to sink
fiscal third quarter, as the handheld-computer maker reported a widening loss on shrinking sales.
Mountain View, Calif.-based Handspring lost $90.4 million, or 62 cents a share, in its third quarter ended March 29. That compared with a $23.7 million, or 18 cents a share, loss the company posted in its year-ago quarter.
In its just-completed quarter, Handspring took a $75.9 million charge related to the restructuring of a lease on a facility in Sunnyvale, Calif. Without that and other one-time charges, the company would have lost $12.8 million, or 9 cents a share.
Wall Street analysts were expecting Handspring to lose 9 cents a share excluding such charges, according to Thomson Financial/First Call.
Despite the hypothetical improvement in the company's bottom line, the decline in its revenues was anything but imaginary. Handspring's sales were slashed nearly in half, from $59.7 million in the year-ago quarter to $30.8 million in the just-completed quarter.
Handspring shares closed up 5 cents, or 7.4%, to 73 cents in regular trading Tuesday.