Palm, Inc., a pioneer in mobile and wireless Internet solutions and a leading provider of handheld computers, today reported revenue of $470.8 million for its third quarter of fiscal 2001, ended March 2, 2001, up 73 percent from the $272.3 million generated in the third quarter of fiscal 2000.

Pro forma net income -- which excludes the effects of amortization of goodwill and intangible assets, purchased in-process technology, legal settlements and separation costs -- was $9.3 million, or $0.02 per share for the third fiscal quarter of 2001. This compares to pro forma net income of $15.8 million, or $0.03 per share, for the third quarter of fiscal 2000. Actual net loss for the third quarter was $1.9 million, or $0.00 per share, compared to net income of $11.0 million, or $0.02 per share, for the comparable quarter last year.

Shipments of Palm(TM) handhelds during the third quarter rose 112 percent over the same period a year ago to 2.1 million handhelds. This brings the total number of handheld devices shipped by Palm to date to nearly 13 million.

For the first nine months of fiscal 2001, revenues of $1.394 billion increased by 97 percent compared to revenues of $707.4 million in the year ago period. Pro forma net income for the first nine months of fiscal 2001 was $60.7 million, or $0.11 per share, compared to $41.2 million, or $0.08 per share, for the first nine months of fiscal 2000. Actual net income for the first nine months of fiscal 2001 was $35.6 million, or $0.06 per share, compared to $33.5 million, or $0.06 per share, for the first nine months of fiscal 2000.