Updated from April 7Research In Motion ( RIMM) surpassed Wall Street's sales and earnings expectations for the fiscal fourth quarter, and the maker of Blackberry devices forecast more upside for the current quarter. RIM's shares bounced around violently after the report, initially rising then falling sharply Wednesday evening. Some of the decline was made up in Thursday's premarket session, with the shares recently down 73 cents, or 0.7%, to $107.25. Early research was mostly positive, with Merrill raising its 2005 and 2006 profit estimates and Bear Stearns leaving the shares at peer perform. The stock action reflects the high hopes priced into the stock: RIM is up 62% year to date, and some market-watchers had predicted the stock might trade down, even if RIM offered up its usual strong performance. RIM's revenue for the fourth quarter, which ended in February, increased 141% from the year-earlier level to $211 million, above the Wall Street consensus expectation for $207 million. Net income for the quarter was $41.5 million, or $0.46 per share, up from a loss of $31.1 million for the same quarter last year. Excluding a litigation cost of $12.9 million and a tax-recovery charge of $4.2 million, RIM reported pro forma profit of 56 cents a share, above the 50 cents that Wall Street expected. In the fourth quarter, RIM drew two-thirds of its sales from handhelds. Another 23% of sales came from services, 8% from software licenses and 3% from other revenue. The total number of BlackBerry subscribers in the quarter increased by 204,000, to just under 1.1 million total. RIM also announced a two-for-one stock split in which shareholders will receive one new common share for each common share held, payable on June 4 to shareholders of record as of May 27. Following the move, the total number of shares outstanding will rise from 92.4 million at the end of its February quarter to 184.8 million. RIM suggested that its positive momentum is continuing, hiking revenue and earnings guidance for its fiscal first quarter, now underway. Revenue in the first quarter of fiscal year 2005 is expected to be in the range of $250 million to $265 million, above the $238 million analyst consensus estimate. The new estimate reflects a brightening growth outlook since December 2003, when RIM forecast first quarter sales of $220 million to $240 million. Earnings per share, calculated according to generally accepted accounting principles, should range from 21 cents to 26 cents, while pro forma earnings (excluding litigation costs) should be 28 cents to 33 cents. For the first time, RIM gave guidance Wednesday on the second quarter, saying sales should be between $270 million and $290 million, again well above Wall Street's estimate for $251.8 million. RIM is expecting EPS of 24 cents to 29 cents on a GAAP basis and 32 cents to 37 cents on a pro forma basis. "Continued growth in the second quarter is positive since the summer months are typically slower for IT purchasing," said chief financial officer Dennis Kavelman on a post-close conference call.