BlackBerry reported a net profit of US$1.9 million during the first quarter, compared to a net loss of US$41.4 million a year earlier.
Total cash, cash equivalents, short-term and long-term investments decreased by $28.4 million sequentially to $381.9 million
Total company revenue exceeded previously-provided guidance at $121.7 million,, while total company gross margin was 74% and non-GAAP gross margin was 75%
QNX revenue beat guidance and delivered 8% year-over-year growth .to $57.5 million; QNX gross margin and adjusted gross margin was 81%
QNX adjusted EBITDA beat previously-provided guidance at $12.7 million, or 22% of revenue
Secure Communications revenue exceeded previously-provided guidance at $59.5 million; Secure Communications adjusted gross margin increased by 6 percentage points sequentially and 4 percentage points year-over-year to 70%
Secure Communications ARR remained stable, relatively flat sequentially at $209 million; Secure Communications DBNRR decreased by 1 percentage point to 92%
Secure Communications adjusted EBITDA exceeded previously provided guidance at $9.6 million
Licensing revenue was $4.7 million, and adjusted EBITDA was $3.8 million
BlackBerry achieved GAAP profitability for first time since Q4 FY22, with net income of $1.9 million and non-GAAP net income was $12.3 million
Total company adjusted EBITDA exceeded previously-provided guidance at $16.4 million
GAAP basic earnings per share was breakeven and non-GAAP basic earnings per share was $0.02, beating the previously-provided guidance
Operating cash usage for the seasonally-low first quarter beat expectations at $18 million
$10 million was returned to shareholders by the repurchase of 2.57 million common shares during the quarter
“BlackBerry made a strong start to the new fiscal year, building on the solid foundation we as a company have laid over the past year,” said John J. Giamatteo, CEO, BlackBerry.
“Both our QNX and Secure Communications divisions continue to execute effectively against their strategies, beating both top line and profitability expectations. BlackBerry’s solid balance sheet and plan for continuing profitability and cash generation this fiscal year enable us to allocate capital efficiently, with $10 million of share buybacks executed this past quarter.”
BlackBerry Q1 2026 Financial InformationBlackBerry is providing the following guidance for the second fiscal quarter (ending August 31, 2025) and the full fiscal year 2026 (ending February 28, 2026).
Q2 FY26Full fiscal year FY26Total BlackBerry revenue:$115 – $125 million$508 – $538 millionQNX revenue:$55 – $60 million$250 – $270 millionSecure Communications revenue:$54 – $59 million$234 – $244 millionLicensing revenue:Approximately $6 millionApproximately $24 millionQNX segment adjusted EBITDA:$10 – $13 million$55 – $60 millionSecure Communications segment adjusted EBITDA:$3 – $6 million$37 – $47 millionLicensing segment adjusted EBITDA:Approximately $5 millionApproximately $20 millionAdjusted Corporate Costs1:Approximately $10 millionApproximately $40 millionTotal Company adjusted EBITDA:$8 – $14 million$72 – $87 millionNon-GAAP basic EPS:Breakeven – $0.01$0.08 – $0.10Operating cash flow (usage)($5) – ($15) millionApproximately $35 million1 Excluding amortization costs.
