Hi Guy,
Yes, of course it still counts!
The beads are simply a tool - they serve as a guide and counting mechanism.
But if you are able to make do without, then fine! There various rosary websites where you can pray along with a rosary on your PC screen. I like these and sometimes use them while holding my own beads.
But, If you can manage without beads - in your head, or by using pen and paper, then fine.
(one minor point - not a criticism - the rosary isnt actually a necklace, although do see people wear them as such - but usually in a fashion sense, not a religiously devoted sense).
Cheers!
GWright.