A Presentation on

Financial Sickness of

Flow of Presentation• MEANING OF SICK COMPANY

• INTRODUCTION OF BLACKBERRY LTD

• CAUSES & SYMPTOMS OF SICKNESS OF BLACKBERRY

• PROBLEM FACED BY BLACKBERRY

• STEPS TAKEN BY COMPANY FOR REVIVAL

• CONCLUSION

Sick Company- Meaning

Sick industrial unit is defined as a unit or a company

which is found at the end of any financial year to have

incurred accumulated losses equal to or exceeding its

entire net worth

Internal and external factor

BlackberryBlackBerry Limited, formerly known as Research In

Motion Limited (RIM) is a Canadian

telecommunication and wireless equipment company

best known as the developer of the BlackBerry brand

of Smartphone’s and tablets

CEO is Thorsten Heins

Blackberry was once a mobile phone juggernaut that

nearly controlled the entire segment.

Known for its famous BBM service

Symptoms of sicknessBlackBerry announced that it would lay off 4,500

employees, or nearly 40 percent of its already reduced

work force because of its launch of new OS is delayed for

unreasonable time.

Blackberry Limited is in talks with Cisco systems, Google

and SAP about selling them all or parts of itself.

Blackberry has been acquired by Fairfax financial

holdings.

Financial Analysis

Years 2011 2012 2013

Revenue 19907 18423 11073

2011 2012 20130

5000

10000

15000

20000

25000

19907

18423

11073

Revenue

Revenue:

Operating Income

Years 2011 2012 2013

Operating income 4636 1497 -1235

2011 2012 2013

-2000

-1000

0

1000

2000

3000

4000

50004636

1497

-1235

Operating Income

Net Income

Years 2011 2012 2013

Net income (loss) 3,411 1164 -646

2011 2012 2013

-1,000

-500

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

3411

1164

-646

Net Income

EPS

Years 2011 2012 2013

EPS 6.34 2.22 -1.23

2011 2012 2013

-2

-1

0

1

2

3

4

5

6

76.34

2.22

-1.23

EPS

Reason for financial sickness

Stiff competition and inability to compete with the android

smart phones

No innovation with changing times

Pessimistic approach

The worldwide Blackberry outage that has plagued

Research In Motion has left millions of subscribers in

dozens of countries without access to email and other

messaging services for days and it resulted in corporate and

professional shifting to android and other operating system

Problem faced by Blackberry

Management Perception

Customer’s Perception

Employee Dissatisfaction

Decreasing Revenue

Revival Steps taken by Blackberry

The company had planned to take its new BlackBerry

10 smart phones on a road show to woo carriers,

developers and ultimately consumers

More customer and user friendly phones for quick

messages

Conclusion

Growth of android and smart phones have destroyed

the market of Blackberry

Blackberry has lost its uniqueness with the Corporate

and the Professionals

Future of Blackberry is bleak but it has to adopt itself

with changing times and innovate with its business.