Thursday 23 June 2022

BlackBerry Beats Analysts’ Expectations, Buoyed by Its Cybersecurity Business

WebProNews
BlackBerry Beats Analysts’ Expectations, Buoyed by Its Cybersecurity Business

BlackBerry reported its first-quarter results, beating analysts’ expectations, thanks to its cybersecurity business.

Once synonymous with PDAs and smartphones, BlackBerry has reinvented itself as a software company with a focus on cybersecurity. As hybrid work has become the new norm, the company’s fortunes have reflected the changing workplace.

In its first-quarter results, BlackBerry’s total revenue of $168 million. While this was down 3.4%, as Reuters points out, it was still well north of the $160.7 million analysts were projecting.

The company’s cybersecurity revenue accounted for $113 million, while IoT revenue came in at $51 million. Licensing and other revenue rounded out the company’s quarter at $4 million.

“BlackBerry entered fiscal year 2023 with solid momentum, and this quarter we continued to execute well. At our recent Analyst Day, we outlined our 3 and 5 year financial goals for the business. Our performance demonstrates that our operational plans to achieve those goals are starting to deliver results,” said John Chen, Executive Chairman & CEO, BlackBerry. “The IoT business maintained its momentum of new design wins in rapidly growing core Auto domains, including Advanced Driver Assistance Systems and Digital Cockpits, and delivered a third consecutive record quarter for pre-production revenues. The Cybersecurity business demonstrated solid traction in the market by recording double-digit year-over-year billings growth. Given its exciting market opportunities, and synergies as the two markets continue to converge, the Company is well positioned to invest and drive growth.”

BlackBerry recently sold $600 million of its patents related to its legacy mobile device business. It seems the company’s decision to go all-in on software and cybersecurity is paying off…even if it leaves many diehard BlackBerry fans disappointed.

BlackBerry Beats Analysts’ Expectations, Buoyed by Its Cybersecurity Business
Matt Milano



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