BB earnings analysis
What we found in BB's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
BlackBerry reported strong Q1 FY27 results, with revenues of $152.9 million and net income of $8.5 million, representing a significant year-over-year increase. Both the QNX and Secure Communications segments exhibited robust growth, contributing to a gross margin of 78.3%, up from 74.2% a year prior. The company anticipates continued revenue strength and has raised its full-year guidance accordingly.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Growth Year-Over-Year
- Total revenue increased by $31.2 million to $152.9 million compared to $121.7 million in Q1 FY26.
- Improved Gross Margin
- Gross margin rose to 78.3% from 74.2%, a 4.1% increase year-over-year.
- Segment Revenue Growth
- QNX revenue rose by $14.8 million to $72.3 million, and Secure Communications increased by $14.1 million to $73.6 million.
- Increased Net Income
- Net income improved to $8.5 million from $1.9 million in the same quarter last year.
- Positive Cash Flow
- Operating cash flow was $4.6 million, a $22.6 million improvement from the prior year's cash outflow.
- Raised Full-Year Guidance
- Full-year revenue projections increased to $594 million to $621 million from $584 million to $611 million.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Dependence on Key Customers
- Two customers accounted for over 10% of accounts receivable, indicating potential revenue concentration risk.
- Increasing Operating Expenses
- Operating expenses rose by $16.1 million, highlighting pressure on profitability despite revenue growth.
- Foreign Exchange Risks
- Approximately 15% of cash and 66% of accounts payable are in foreign currencies, exposing the company to currency fluctuations.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.01
- Gross margin
- 78.3%
- Operating margin
- 10.7%
- Segment
- QNX: $72.3M
- Segment
- Secure Communications: $73.6M
- Segment
- Licensing: $7.0M
What they said about what is next.
The Company expects total revenue for Q2 FY27 to be $137 million to $148 million, with adjusted EPS projected at $0.03 to $0.04.
The filing reads better than the one before it.
What came before.
- 10-K · April 9, 2026
- BlackBerry continues to execute a software-and-services strategy anchored by a fast-growing QNX division and a certified Secure Communications portfolio. Fiscal 2026 revenue was $549.1M and the company returned to GAAP…
- 10-Q · September 25, 2025
- BlackBerry reported Q2 revenue of $129.6 million, up $3.4 million versus $126.2 million a year ago, and produced GAAP net income of $13.3 million (diluted EPS $0.02) compared with a $19.7 million net loss (diluted loss…
- 10-Q · December 20, 2024
- BlackBerry reported revenue of $143 million for the quarter ended November 30, 2024, down $9 million from $152 million a year earlier, and recorded a GAAP net loss of $11 million (basic and diluted loss per share of…
- 10-Q · September 27, 2024
- BlackBerry reported Q2 revenue of $145 million, up $13 million (from $132 million) versus the year-ago quarter, with GAAP gross margin of $94 million (64.8%). GAAP net loss narrowed to $19 million ($(0.03) per share)…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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