BlackBerry reports large second quarter loss

Stumbling smartphone company BlackBerry reported a major net second quarter loss Friday and said it is burning cash at a higher rate as it moves to execute a deal that could take the company private.

Revenue for the quarter ended Aug. 31 was at $1.6 billion, with a net loss of $965 million, or $1.84 a share. That compares with revenue of $2.9 billion and a loss of $229 million, or 44 cents a share, for the same quarter last year.

Adjusted net loss from continuing operations was $248 million, or 47 cents per share. The per-share loss was on the low side of the 47 cent-to-51-cent range that BlackBerry warned of last week, when it announced preliminary results and plans to lay off 4,500 employees. Wall Street analysts had expected a loss of 49 cents a share.

Most of the financial results tracked last week's announcement. But BlackBerry disclosed that its operations consumed roughly $136 million in cash. That compares with $630 million in cash flow from operations in the previous quarter that ended June 1.

BlackBerry CEO Thorsten Heins said that he is "very disappointed" with the company's latest earnings report, which was released before financial markets opened Friday. BlackBerry shares were up 10 cents at $8.05 in premarket trading.