(Telecompaper) BlackBerry reported a small improvement in results for its fiscal first quarter to May, helped by its focus on cost reductions, cash flow and services. The company recorded a net profit of USD 23 million or 4 cents a share, versus a loss of USD 83 million a year ago, thanks to a one-time gain on debt valuation. Revenues were still down sharply compared to a year ago to USD 966 million versus USD 3.071 billion. Compared to the February quarter, revenues fell by only USD 10 million, and the company actually increased the number of handsets on which revenue was booked, to 1.6 million from 1.3 million smartphones in the previous quarter. This followed the launch of the Z3 device in Indonesia, which Blackberry said it will launch in another eight countries. Total handsets sold to end-customers, which includes those shipped in previous quarters, reached 2.2 million in Q1, as vendors cleared out inventories. Hardware made up only 39 percent of revenue in the quarter, while 54 percent came from services and 7 percent from software and other revenue. BlackBerry also reported a small increase in cash, to USD 3.1 billion from USD 2.7 billion at the end of February. The company's operational cash burn was USD 255 million in the first quarter, down from USD 784 million on the previous quarter, after a further reduction in costs. BlackBerry said it aims to maintain a strong cash position while "prudently" investing in growth opportunities. The group targets breakeven cash flow by the end of the fiscal year.