[Dunt Dunt Dunt]

It's so strange. As a consumer, we all get thr shaft when patents stay on the shelf and don't get accessed, or are simply too expensive to access.

Think of the amazing device we could all be rocking if we could cherry pick the best features of all phones.

But, that doesn't fit the capitalistic way, and I do recognize and understand that.

I am just trying to figure out how BlackBerry can get more value out of their last r&d.

It's a shame they havent been better at marketing themselves to other companies, let alone consumers.

Problem you are having is you see a market for PKB phones, where there really isn't much of one. I suspect Chen is winding down the current failed device licensing program. Next phase, might be the Brand and PKB without any security software... but that would be dangerous for the BRAND.... unless the company wasn't called BlackBerry anymore.

[W Hoa]

QNX now in 150 million vehicles

An increase of 30 million over last years number provided by BlackBerry. With 70 million automobiles being produced last year that means some software component(s) from BlackBerry is in 43% of all automobiles rolling off the assembly lines.

[drobbie]

An increase of 30 million over last years number provided by BlackBerry. With 70 million automobiles being produced last year that means some software component(s) from BlackBerry is in 43% of all automobiles rolling off the assembly lines.

Nice to see the increase but it doesn't mean much until we hear about the contribution to recurring revenue

[W Hoa]

RBC Dominion Securities analyst Paul Treiber expects BlackBerry Ltd.'s (BB-N, BB-T) first-quarter revenue results to beat the Street and estimated an adjusted earnings per share loss of 1 cents, which falls below the Street’s 0-cent expectation.

When it reports on Wednesday, RBC Dominion Securities analyst Paul Treiber expects BlackBerry Ltd.'s (BB-N, BB-T) first-quarter revenue results to beat the Street.

“Q1/FY20 is BlackBerry’s first full quarter with Cylance,” he said. “We believe the quarter may be a nearterm catalyst for the stock, as Street revenue estimates appear conservative. Specifically, we see upside to Street estimates on Cylance and ESS revenue.”

Mr. Treiber is projecting non-GAAP revenue to rise 24 per cent year-over-year (up 1 per cent organic) to US$268-million, exceeding the Street’s view of US$265-million. Excluding Cylance, he expects software & services revenue to grow 10 per cent from the same period a year ago, but falling from 14 per cent in the last quarter due to lower IP revenue.

He’s estimated an adjusted earnings per share loss of 1 cents, which falls below the Street’s 0-cent expectation.

Mr. Treiber maintained a “sector perform” rating and US$10 target. The average target is US$10.56.

“We believe BlackBerry is trading near fair value,” he said. "BlackBerry is currently trading at 3.7 times FTM EV/S [forward 12-month enterprise value to sales], up from 3.1 times in December, and below enterprise security peers at 4.2 times and its 2-year historical average (4.6 times). In our view, we need to see significantly stronger growth in several of BlackBerry’s core businesses (ESS, BTS, Cylance) to justify upside for the stock. Moreover, we believe there is low visibility to several of BlackBerry’s emerging growth opportunities, such as Radar and its EoT platform. Possible catalysts for the stock include new design win announcements, IP licensing upside, upwards valuation re-rating of cybersecurity assets, and accelerating revenue growth at Cylance.

“BlackBerry has rallied after 8 of its last 12 quarters. However, the stock has faded the rally in the week after the quarter in all but 3 of its last 12 quarters. We believe a similar pattern may occur after Q1 results, as we expect Q1 revenue slightly above the Street, but we believe long-term fundamentals would remain unchanged. Specifically, we believe BlackBerry is likely to reiterate its FY20 guidance for 8-10-per-cent organic growth and 25-30-per-cent growth at Cylance, which would suggest Q1 upside is attributable to conservative Street estimates.”

https://www.theglobeandmail.com/inve...-58/?cmpid=rss

[Corbu]

BlackBerry Annual General Meeting 2019
Monday June 24, 2019

https://www.blackberry.com/content/d...on_6-24-19.pdf

[Corbu]

BoA / Daniel bartus
24 June 2019

BlackBerry

1Q preview – expectations look exceptionally low

Maintain Rating: UNDERPERFORM | PO: 8.50 USD | Price: 8.64 USD Equity | 24 June 2019

Blackberry to report 1Q20 results on June 26

Blackberry is scheduled to report 1Q20 results on Weds (6/26). We believe the Street’s expectations bar is achievable and expect the company to exceed expectations (Blackberry has beaten the last 7 quarters). We expect 1Q revenue/EPS of $281mn/3c vs consensus’ $263mn/0c. For FY20, Street estimates are mostly in line with ours at $1.143bn/9c vs. $1.138bn/10c, respectively, with consensus baking in a steeper revenue growth ramp through the year. We remain concerned that the Enterprise business is losing market share (see p.4) and Licensing declines; we maintain our Underperform rating.

Expect a beat and less visibility with new segmentation

With the Street only modeling 2% QoQ revenue growth in 1Q20 (incremental $6mn), despite a ~$50mn revenue addition from Cylance, we see potential for a sales beat. We believe the model also now has less seasonality given the shift to ratable revenue recognition and unknown IP Licensing timing. Similar to the last 7 quarters, we see potential for the stock to initially trade up on outperformance, but then strength likely to reverse as investors digest the quarter results. This is mainly due to lingering concerns about the growth of the Enterprise business and IP Licensing. We note that Blackberry is losing share in its core mobility management (EMM) market, which grew 14% YoY in CY18 while Blackberry revenues were down 6%. IP Licensing is also a risk given the segment contributed over 100% of FY19 EBIT, and we expect declines going forward.

Nevertheless, on a reported basis, Blackberry’s consolidation of its Enterprise and BTS (Blackberry Technology Solutions) segments into a single IoT (Internet of Things) segment will start showing sales growth YoY.

Revisiting SOTP; endpoint market sentiment improves

We believe the recent stock rally is partly tied to the recent IPO of Cylance’s close peer. Other peers such as Carbon Black have also performed well lately, suggesting that endpoint security market sentiment may be improving. Given Blackberry’s recent $1.4bn Cylance acquisition, we revisit our sum-of-the-parts model, which shows modestly better valuation upside. We are warming to Blackberry’s foothold in the cyber security market through Cylance, yet view the overall business as a mix of separate entities requiring significant investment levels in FY20 to further bring the strategy together.

[Corbu]

Snipet of TD's report:

[EchoTango]

Reading the analyst predictions for Q1 they seem to be all over the place but are consistent in a lack of confidence in the longer term. This seems at odds with Chen as he is always pushing the explosive growth potential further out while maintaining conservative but consistent near term expectations. The analysts consensus seems to place more risk in the future where many of the recent design wins should/will start to bear fruit. The enterprise market share negative commentary is especially troubling.

I'm not sure if this is an accurate view and not just the continued skepticism of Blackberry in general. There has been fair amount of volatility recently in the stock price and I suspect this is due to these schizophrenic perceptions.

In any case, I think we're in for a bumpy ride in the near term.

[Dunt Dunt Dunt]

Reading the analyst predictions for Q1 they seem to be all over the place but are consistent in a lack of confidence in the longer term. This seems at odds with Chen as he is always pushing the explosive growth potential further out while maintaining conservative but consistent near term expectations. The analysts consensus seems to place more risk in the future where many of the recent design wins should/will start to bear fruit. The enterprise market share negative commentary is especially troubling.

I'm not sure if this is an accurate view and not just the continued skepticism of Blackberry in general. There has been fair amount of volatility recently in the stock price and I suspect this is due to these schizophrenic perceptions.

In any case, I think we're in for a bumpy ride in the near term.

Chen has always pushed the positive... Reality is it took him almost five years for that two year turn around.

You dig into any of BlackBerry's core business... there is some stiff competition from much larger and better able to compete companies. With the right focus, BlackBerry should grow... but it's not going to be an explosive cake walk.

[Corbu]

https://washingtonexec.com/2019/06/a...cation-system/

[curves2000]

I haven't had a chance to go through the AGM slides or even see if there is a replay of the conference call.

Has any additional or positive information come out today other than the QNX 150 million figure?

I know they are in a quite period but nothing else?

Also does anybody know if there is a replay of the AGM?

Thanks!


Posted via CB10

[Corbu]

"Also does anybody know if there is a replay of the AGM?"

I haven't seen anything yet. Will post if I do.

[Corbu]

Not sure of it works for you, curves2000, but for me it does.

If I go here, I can replay the AGM:
https://webcast.fmav.ca/bbagm2019/

I had previously registered.

[smithm565]

https://www.cso.com.au/article/66331...mething-extra/

"Proper mobile security means keeping public servants secure – even when they don’t want to be"

[Dunt Dunt Dunt]

Not sure of it works for you, curves2000, but for me it does.

If I go here, I can replay the AGM:
https://webcast.fmav.ca/bbagm2019/

I had previously registered.

Anything in it, other than the QNX in 150 Million cars?

[rarsen]

OT general summer (with cool beverage is lovelier) reading including references to Jim Balsillie (quote ... rather than lifting all boats, the current data-driven economy is simply raising a few yachts), Marc Andreessen, etc :

Governing The Fourth Industrial Revolution
https://www.forbes.com/sites/daniela.../#5a2ee3744b33

The Fourth Industrial Revolution: what it means, how to respond
https://www.weforum.org/agenda/2016/...ow-to-respond/

The Chinese century is well under way
https://www.economist.com/graphic-de...well-under-way

[Corbu]

BlackBerry
Published on Jun 25, 2019
Watch the full recording of BlackBerry's 2019 Annual General Meeting from Waterloo, Ontario

[Corbu]

BlackBerry Fiscal Year 2020 First Quarter Results Conference Call
Date: Wednesday, June 26, 2019
Time: 08:00 AM Eastern Daylight Time

https://event.on24.com/eventRegistra...erid=244948960

[Corbu]

https://www.blackhat.com/sponsor-int...kberry-cylance

Stuart McClure
CEO and Founder

[Corbu]

https://www.prnewswire.com/news-rele...300875053.html

BlackBerry Reports First Quarter Fiscal 2020 Total Company Non-GAAP Revenue Growth of 23% Year-Over-Year and GAAP Revenue Growth of 16% Year-Over-Year

First quarter fiscal 2020 total non-GAAP Software and Services revenue growth of 35% year-over-year; total GAAP Software and Services revenue growth of 27% year-over-year

First Quarter Fiscal 2020:

- First quarter fiscal 2020 total company non-GAAP revenue of $267 million, or 23% growth year-over-year; total company GAAP revenue of $247 million, or 16% growth year-over-year
- First quarter fiscal 2020 total non-GAAP Software and Services revenue of $260 million, a record quarterly high; total GAAP Software and Services revenue of $240 million
- First quarter fiscal 2020 non-GAAP BlackBerry Software and Services (excluding Cylance) revenue growth of 8% year-over-year; GAAP BlackBerry Software and Services (excluding Cylance) revenue growth of 10% year-over-year
- First quarter fiscal 2020 non-GAAP earnings per basic and diluted share of $0.01; GAAP loss per basic share of $0.06 and GAAP loss per diluted share of $0.09
- First quarter fiscal 2020 free cash flow usage of $49 million, before considering the impact of acquisition and integration expenses, restructuring costs and legal proceedings; free cash flow usage of $66 million, as reported

WATERLOO, Ontario, June 26, 2019 /PRNewswire/ -- BlackBerry Limited (NYSE: BB; TSX: BB) today reported financial results for the three months ended May 31, 2019 (all figures in U.S. dollars and U.S. GAAP, except where otherwise indicated).

First Quarter Fiscal 2020 Results

• Total company non-GAAP revenue for the first quarter of fiscal 2020 was $267 million, up 23% year-over-year. Total company GAAP revenue for the first quarter of fiscal 2020 was $247 million, up 16% year-over-year. Total non-GAAP software and services revenue of $260 million, up 35% year-over-year. Total GAAP software and services revenue was $240 million, up 27% year-over-year. First quarter recurring non-GAAP software and services revenue (excluding IP licensing and professional services) was above 90%. Non-GAAP gross margin was 75% and GAAP gross margin was 72%.
• Non-GAAP operating income was $5 million. GAAP operating loss was $36 million. Non-GAAP earnings per share was $0.01 (basic and diluted). GAAP net loss was $0.06 per basic share and $0.09 per diluted share. GAAP net loss includes $35 million for acquired intangibles amortization expense, $17 million in stock compensation expense, $1 million in acquisition and integration charges, a benefit of $28 million related to the fair value adjustment on the debentures, and other amounts as summarized in a table below.
• Total cash, cash equivalents, short-term and long-term investments was $935 million as of May 31, 2019. Free cash flow used, before considering the impact of acquisition and integration expenses, restructuring costs and legal proceedings, was $49 million. Cash used in operations was $64 million and capital expenditures were $2 million.

"We are off to a good start to achieve our financial outlook for fiscal 2020," said John Chen, Executive Chairman and CEO, BlackBerry. "We are ahead of our schedule in our Cylance integration, while investing in the right opportunities to drive long-term growth and profitability for BlackBerry. Customers are looking forward to our robust product cycle this year, with over 30 new secure communication products and services to be released."

Outlook

BlackBerry re-affirms its fiscal 2020 outlook of total company year-over-year non-GAAP revenue growth and non-GAAP profitability for fiscal 2020.

Fiscal 2020 total company non-GAAP revenue growth of between 23% and 27%, driven by a double-digit percentage increase in billings. Non-GAAP revenue growth is broken down as follows:

• IoT year-over-year non-GAAP revenue growth of between 12% to 16%;
• BlackBerry Cylance year-over-year non-GAAP revenue growth of between 25% to 30%;
• Licensing year-over-year non-GAAP revenue decline of 5%; and
• Non-GAAP service access fees to be between $10 and $20 million of revenue in FY20.

[Corbu]

https://www.prnewswire.com/news-rele...300875249.html

BlackBerry and LG Expand Partnership to Drive Advancements in Connected and Autonomous Vehicle Technology

[Corbu]

Thanks to Daniel Chan from TD for finally asking a question about the SP...

[smithm565]

Seems to be much confusion in the financial media surrounding the Non-GAAP and the GAAP numbers in relation to consensus estimates. About half reporting a rev miss using $247 mil GAAP # and half reporting a beat using $267 mil non-GAAP # vs. $264 mil consensus.

Not sure if this is intentional, but for several other stocks reporting, including FDX, financial media are all using their reported non-GAAP (adjusted) #'s. Doesn't seem to be same type of confusion.

[Corbu]

https://blogs.blackberry.com/en/2019...kberry-cylance

The Truth About BlackBerry Cylance
John Chen

[W Hoa]

Chen is kind of feisty this morning. Nice.