Blackberry shares up after beating Q2 estimates

Blackberry Ltd. (NASDAQ: BBRY) reported its second quarter earnings for the 2018 fiscal year and reported stronger than expected results, as well as being analysts’ estimates. Blackberry shares were up over 12 percent early morning on Thursday.

Blackberry reported revenue decrease from $352 million down to $249 million for the second quarter, but it was up slightly from $244 million in the first quarter. Revenue was $29.1 million higher than analysts’ estimates. The company posted an EPS increase of $0.05 or $29 million, beating analysts’ estimates by $0.05, according to Thomson Reuters.

BlackBerry’s software and services revenue reached a record $196 million in the quarter, more than the estimates of $174 million from RBC analyst Paul Trieber and $176.2 million from Macquarie's Gus Papageorgiou, according to Business Insider.

“I am pleased with our strong execution in Q2,” said John Chen, Executive Chairman and CEO of BlackBerry, “More importantly, we made significant progress on our key growth initiatives. Our enterprise billings grew 19 percent year over year driven by our Unified Endpoint Management platform. We secured important design wins in our automotive business, and we expanded our sales channels for our Radar IOT solution. In our licensing businesses, we have a growing pipeline of opportunities with our BlackBerry Secure software and our IP portfolio.”

Blackberry has now updated its 2018 fiscal year outlook. The company is now expecting revenue in the range of $920 million to $950 million. The company expects a positive EPS increase for the full year. The company also expects software sales and services to keep growing as the company aims for a range of 10 percent to 15 percent growth.

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