Q2 2025 BlackBerry Ltd Earnings Call Transcript
Key Points
- Both IoT and cybersecurity divisions delivered solid year-over-year and sequential revenue growth.
- Gross margin improved by 1 percentage point sequentially to 82% due to favorable product mix.
- Secured significant design wins in automotive and other sectors, including Advanced Driver Assistance Systems (ADAS) and digital cockpit solutions.
- Achieved breakeven ahead of plan for non-GAAP EPS and adjusted EBITDA.
- Cash used by operations came in better than expected, improving by $2 million sequentially to $13 million.
- Development seat revenue remained subdued due to delays in automaker software development programs.
- Cylance endpoint security business experienced churn in its customer base, leading to a year-over-year decline in revenue.
- Annual recurring revenue (ARR) for the cybersecurity division remained flat year over year at $279 million.
- Dollar-based net retention rate (DBNRR) for the cybersecurity division, although improving, is still not at desired levels.
- IVY auto software program delays have impacted potential revenue, with no material revenue expected in the near term.
Good day, and welcome to BlackBerry's second-quarter fiscal year 2025 earnings call. (Operator Instructions)
Please note, this event is being recorded. I would now like to turn the conference over to Martha Gander, Director of Investor Relations, BlackBerry. Please go ahead.
Thank you, Dave. Good afternoon, everyone, and welcome to BlackBerry's second-quarter fiscal year 2025 earnings conference call.
Joining me on today's call is Blackberry's Chief Executive Officer, John Giamatteo; and Chief Financial Officer, Tim Foote. After I read our cautionary note regarding forward-looking statements, John will provide a business update, and Tim will review the financial results. We will then open the call for a brief Q&A session. This call is available to the general public via call-in numbers and via webcast in the Investor Information section at blackberry.com. A replay will also be available on the blackberry.com website.
Some of the statements we'll be making today constitute forward-looking statements that
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
