BlackBerry Ltd
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −0.18%.
Did BB Beat Earnings? Q4 2025 Results
BlackBerry posted a mixed fourth quarter for fiscal 2025, delivering an earnings beat that was overshadowed by a meaningful revenue shortfall as shares tumbled nearly 10% in the wake of the results. The company earned adjusted EPS of $0.03, topping the $0.02 consensus estimate by 50.00%, but revenue of $141.70 million fell well short of the $160.98 million analysts had expected — an 11.97% miss — weighed down by declines across all three segments. The single most consequential development of the quarter was the completed sale of its Cylance endpoint security unit to Arctic Wolf, which brought in roughly $80.00 million in initial proceeds and helped push total cash and investments up $144.00 million sequentially to $410.30 million. GAAP net loss narrowed sharply to $7.40 million from $56.20 million a year ago, while operating cash flow swung to a positive $42.00 million. Looking ahead, BlackBerry guided fiscal 2026 revenue of $504.00–$534.00 million, slightly below its prior-year results, with macro headwinds and cautious enterprise spending clouding the near-term outlook.
- All three divisions exceeded top-end of Q4 guidance range
- Operating cash flow improved $57 million year-over-year to $42 million
- Cylance sale to Arctic Wolf completed, generating approximately $80 million in first-tranche proceeds
- Total cash and investments increased $144 million sequentially to $410 million
- QNX royalty backlog grew from approximately $815 million to $865 million
- Secure Communications ARR increased 3% year-over-year to $208 million
“BlackBerry closed out this transformational fiscal year with another quarter of strong financial performance from all three divisions: QNX, Secure Communications and Licensing. We also took a big step forward by completing the sale of the Cylance business to Arctic Wolf, a win-win for all parties, and significantly strengthening our balance sheet in the process.”
BlackBerry CEO, on the earnings call
Forward Guidance & Outlook
For Q1 FY2026, BlackBerry guided total revenue of $107–$115 million, with QNX revenue of $51–$55 million, Secure Communications revenue of $50–$54 million, and Licensing revenue of approximately $6 million. Q1 adjusted EBITDA is expected at breakeven to $7 million, with non-GAAP basic EPS of ($0.01) to breakeven, and operating cash flow usage of ($20)–($30) million. For full fiscal year FY2026, the company expects total revenue of $504–$534 million, QNX revenue of $250–$270 million, Secure Communications revenue of $230–$240 million, Licensing revenue of approximately $24 million, adjusted EBITDA of $69–$84 million, non-GAAP basic EPS of $0.08–$0.10, and operating cash flow of approximately $35 million.
BB YoY Financials
BB Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.