Why BlackBerry Is One of Thursday’s Big Earnings Winners
BlackBerry reported better-than-expected fiscal third-quarter financial results before the markets opened on Thursday.
BlackBerry Ltd. (NYSE: BB) reported its fiscal third-quarter financial results before the markets opened on Thursday. The company posted $0.05 in earnings per share (EPS) and $228 million in revenue, while consensus estimates had called for a net loss of $0.01 on $214.45 million in revenue.
During the past quarter, BlackBerry reported record high total software and services revenue of $219 million, which was up 10% year over year. Roughly 88% of third-quarter software and services revenue was recurring.
Looking ahead to the fiscal full year, the company expects to see double-digit growth in total company software and services billings, and EPS is expected to be positive. Consensus estimates call for $0.14 in EPS and $892.85 million in revenue for the year.
[nativounit]
On the books, BlackBerry cash, cash equivalents and short-term and long-term investments totaled $2.4 billion at the end of the quarter.
John Chen, executive chair and CEO of BlackBerry, commented:
We delivered another solid quarter of performance, resulting in year-over-year double-digit percentage growth for total software and services revenue, earnings per share, and free cash flow. I’m excited about the pending Cylance acquisition as it will extend our strategy with cutting-edge AI cybersecurity capabilities and, combined with BlackBerry’s capabilities, present the opportunity for revenue acceleration in our businesses, including UEM, QNX and Spark.
Shares of BlackBerry were last seen up about 7% at $7.85 on Thursday, in a 52-week range of $7.34 to $14.55. The consensus price target is $11.54.
[recirclink id=513672]
[wallst_email_signup]
Contact [email protected] for any questions or corrections.
Chris Lange is a financial and geopolitical writer with more than a decade of experience covering a myriad of topics. He has published thousands of articles for 24/7 Wall St., with past coverage focused heavily on stocks, IPOs, healthcare, defense, global affairs, and technology.
His work has been quoted, or referenced by a number of outlets including Business Insider, USA Today, Yahoo Finance, MSN, The Motley Fool, and many other publications. A graduate of Southwestern University, he studied business with a focus on investments and has previous experience in banking and startups.
When not reading or writing the news, he is following his passion for Lacrosse, playing chess, or building solar projects with his dad.
