Latest news with #Giamatteo
Business Insider
9 hours ago
- Business
- Business Insider
BB Earnings: BlackBerry's Stock Gains as Company Reports First Profit in Three Years
The stock of BlackBerry (BB) is up 7% in after hours trading on news that the Canadian technology firm's latest financial results exceeded Wall Street's expectations. Confident Investing Starts Here: BlackBerry reported earnings per share of $0.02, which topped the loss of -$0.01 that was forecast among analysts. It was the former smartphone company's first quarterly profit in three years. Revenue in its Fiscal first-quarter totaled $121.7 million, which was nearly $10 million above consensus estimates. Both of BlackBerry's current operating divisions, cybersecurity and Internet of Things (IoT), posted sales that exceeded analyst estimates. '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 CEO John Giamatteo in the company's earnings statement. BlackBerry's net income. Source: Main Street Data Refocused Business The positive financial results come as BlackBerry refocuses its business under Giamatteo, who has served as CEO since late 2023. Over the past 18 months, BlackBerry has cut costs, sold one of its main cybersecurity businesses, and pivoted to focus on its software business for motor vehicles. The company returned $10 million to shareholders through stock buybacks, repurchasing 2.57 million shares during the quarter. BlackBerry also maintains a decent balance sheet with $381.9 million in cash on hand at the end of May. BB stock has gained 15% this year. Is BB Stock a Buy? BlackBerry's stock has a consensus Moderate Buy rating among three Wall Street analysts. That rating is based on one Buy and two Hold recommendations issued in the last three months. The average BB price target of $4.67 implies 10.40% upside from current levels.
Yahoo
11 hours ago
- Business
- Yahoo
BlackBerry posts strong Q1 as QNX and Secure Comms lead growth, shares gain
-- BlackBerry Ltd (TSX:BB) reported financial results for the first quarter of fiscal year 2026 that exceeded expectations across key metrics, sending its shares up 3.7% in after-hours trading. The performance marked a solid entry into the fiscal year for the Waterloo, Ontario-based technology firm, with robust showings from both its QNX automotive software and Secure Communications divisions. Total company revenue came in at $121.7 million, topping the high end of guidance, while gross margin reached 74% and adjusted EBITDA totaled $16.4 million. First-quarter GAAP net income was $1.9 million, BlackBerry's first GAAP profit since Q4 FY22, while non-GAAP earnings beat expectations at $0.02 per share. QNX, the embedded software platform widely used in automotive systems, delivered 8% year-over-year revenue growth to $57.5 million. Adjusted EBITDA for the segment reached $12.7 million, representing 22% of revenue, and an indication of continued demand in the automotive technology sector. The Secure Communications unit also beat both revenue and profitability guidance, booking $59.5 million in revenue and $9.6 million in adjusted EBITDA. Segment adjusted gross margin improved to 70%, climbing 6 percentage points sequentially and 4 percentage points year-over-year. CEO John J. Giamatteo highlighted the execution by both divisions and the company's trajectory toward consistent profitability and disciplined capital allocation. '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,' Giamatteo said. '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 returned $10 million to shareholders via repurchase of 2.57 million common shares and confirmed implementation of a normal course issuer bid. The company ended the quarter with $381.9 million in cash, cash equivalents, and investments, down $28.4 million sequentially, reflecting investments into operations and a seasonally low cash flow quarter. Looking ahead, BlackBerry raised its full-year guidance, now forecasting revenue between $508 million and $538 million, adjusted EBITDA of $72 million to $87 million, and non-GAAP EPS between $0.08 and $0.10. For the second quarter, guidance calls for revenue of $115 million to $125 million and adjusted EBITDA of $8 million to $14 million, reinforcing investor optimism surrounding the company's turnaround strategy. Related articles BlackBerry posts strong Q1 as QNX and Secure Comms lead growth, shares gain FedEx shares drop in afterhours as soft guidance overshadows Q4 results beat AeroVironment shares fall despite earnings beat, strong guidance Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
02-04-2025
- Business
- Yahoo
BlackBerry Shares Drop 21% as Fiscal 2026 Outlook Misses Analyst Estimates
BlackBerry (BB, Financials) shares declined by 21.7% in premarket trading Wednesday after the Waterloo, Ontario-based company forecast revenue and earnings for fiscal 2026 that missed analyst estimates. Warning! GuruFocus has detected 5 Warning Signs with BB. The company projected fiscal 2026 revenue between $504 million and $534 million, with a midpoint of $519 million. That is well below the $550.6 million average estimate from analysts, according to data compiled by Bloomberg. Adjusted earnings per share are expected to range from $0.08 to $0.10, with the high end of that range still underperforming the consensus estimate of $0.10 per share. Guidance for the current quarter also fell short of expectations. BlackBerry expects first-quarter revenue between $107 million and $115 million, below the $128.4 million analysts projected. Secure Communications revenue, a key segment for the company, is expected to come in between $50 million and $54 million. The outlook came on the heels of a stronger-than-expected fourth-quarter performance. Revenue for the quarter reached $141.7 million, a decrease of 18.1% from a year earlier, but ahead of the $132.8 million estimate from analysts. Adjusted earnings per share were $0.03, beating expectations by three cents. The company reported $42 million in operating cash flow for the period. Chief Executive Officer John Giamatteo said in a statement the company's three divisions QNX, Secure Communications, and Licensing delivered solid financial results in the fourth quarter. He also said the company completed the sale of its Cylance cybersecurity business to Arctic Wolf, a transaction aimed at strengthening the balance sheet. Giamatteo said the company now has a solid financial position that gives it flexibility in creating shareholder value. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
29-03-2025
- Business
- Yahoo
Stocks to watch next week: BlackBerry, Guess, Travis Perkins, Raspberry Pi and SSE
The latest developments in trade tensions and economic data are set to remain in the spotlight but there are also a number of companies due to report in the coming week. Investors will want to see if tech company BlackBerry (BB) can continue to deliver stronger profitability. In the world of fashion, investors will be keeping an eye on apparel company Guess (GES), to see if it can its revenue guidance. On the UK market, building materials supplier Travis Perkins (TPK.L) is set to release its previously delayed annual results, as the company continues its search for a new CEO. Another UK stock in focus will be computer firm Raspberry Pi (RPI.L), which is due to release its first set of annual results as a listed company in the coming week. Meanwhile, growth from investment in renewables will be what investors want to see from energy company SSE's (SSE.L) results. Here's more on what to look out for: At the start of the year, tech company BlackBerry (BB) announced that it was renaming its Internet of Things division to QNX, relaunching this brand. BlackBerry CEO John J Giamatteo said that this was an important step in the company's strategy to "increase our visibility and fortify our leadership within the automotive and embedded industries." Since then, BlackBerry's QNX has announced a number of tie-ups with technology companies, including Microsoft (MSFT), as well as extending its collaboration with chipmaker Advanced Micro Devices (AMD) to improve performance on robotic systems. Stocks: Create your watchlist and portfolio Shares rose last month after BlackBerry (BB) announced that it had completed the sale of its Cylance cybersecurity business to Arctic Wolf. However, shares have retreated since then and are up just 3% year-to-date. In the third quarter, BlackBerry (BB) delivered total revenue of $162m (£125m), with revenue for its IoT business exceeding previous guidance at $62m. The company's total adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) also came in ahead of previous guidance at $23m. Giamatteo said: "BlackBerry (BB) achieved a significant inflection in its results this past quarter. Driven by a combination of strong revenue performance for both our cybersecurity and IoT divisions, and continued focus on costs and efficiency, the company delivered stronger than expected profitability and a return to positive cash flow ahead of schedule." Looking ahead, BlackBerry (BB) guided to total revenue of $126m to $135m in the fourth quarter and total adjusted EBITDA of $10m to $20m. For the year, the tech company expected total revenue to come in between $517m and $526m, with adjusted EBITDA of $60m to $70m. Apparel retailer Guess (GES) recently revealed that it had received a take-private offer from brand management firm WHP Global. WHP Global made an offer of $13 per share in cash for the company's outstanding shares, excluding those held by existing shareholders, including co-founders Paul Marciano and Maurice Marciano, as well as CEO Carlos Alberini. Guess (GES) said it had formed a special committee to evaluate the proposal from WHP, which owns Toys R Us and Vera Wang. Guess (GES) said that there was no guarantee of a deal and that it would not be commenting further on the proposal until the special committee had finished its evaluation or until further disclosure was considered appropriate. Read more: Retail investors rush to gold amid record high prices Guess (GES) shares are down 62% over the past year, with the company reporting a mixed set of results in the third quarter. The company posted a 13% increase in net revenue at $738.5m, which Alberini said was primarily driven by its acquisition of fashion brand Rag & Bone, as well as modest growth from its core Guess (GES) businesses. He said that business in Europe had been strong but North America and Asia "experienced a more challenging environment impacted by slow customer traffic into our direct-to-consumer channels." "Based on our recent trends and other external factors impacting our business including currencies, freight costs and taxes, we are revising our fourth quarter outlook for revenues and earnings," he said. "We believe that the current consumer sentiment and slow customer traffic in North America and Asia will persist during the fourth quarter, impacting our business negatively." As a result, Alberini said full-year revenue was expected to come in at or slightly below $3bn, though this would be up on the $2.78bn reported last year. Guess guided to adjusted earnings per share of $1.85 to $2 for the year. Builders' merchant Travis Perkins (TPK.L) announced earlier in March that it was delaying the publication of its full-year results but said it still expected adjusted operating profit to be in line with previous guidance. In its third quarter trading update, the company said it expected this figure to be around £135m ($175m). At the time, Travis Perkins (TPK.L) said that its key end markets were stabilising with some very early signs of recovery and that management expected to see positive growth in these underlying markets over the next 12 months, with this set to come through in the company's financial performance in the second half of 2025. Travis Perkins (TPK.L) also recently announced that CEO Pete Redfern would be stepping down with immediate effect due to ill health. The company said that chairman Geoff Drabble would work with its management team to ensure the stability of the business and that its nominations committee would immediately start its search for a successor. Read more: Top ISA fund picks ahead of the new tax year Redfern, who became CEO in September 2024, said in the company's third quarter results a few weeks later that it was "clear that the group has allowed itself to become distracted and overly internally focused which has led to the underperformance in recent periods." "We now need to get back to a focus on operational execution — delivering great products and great customer service and better leveraging our reach and scale," he said. Group revenue was down nearly 6% in the third quarter, which the company said was driven by its merchanting segment. Shares in the company are down nearly 22% year-to-date and have struggled to return back to the levels reached during the pandemic, when people looked to make home improvements during lockdowns. Raspberry Pi's (RPI.L) listing on the London Stock Exchange in June last year was considered a major win for the UK market, which is hungry for more tech company floatations. The company makes small, more affordable computers for businesses, as well as for home use, having been originally developed to help with teaching coding. Shares soared in its market debut, reflecting the appetite for companies in the sector, with the stock up nearly 38% since then. Read more: Stocks that are trending today In a trading update in January, which gave investors an idea of what to expect in its full-year results, Raspberry Pi (RPI.L) said it expected to report adjusted EBITDA of no less than $36m. The company said elevated customer and channel inventory levels continued to normalise in the second half of the year. Looking ahead, Raspberry Pi (RPI.L) said it expected demand to grow gradually throughout the year, "despite a challenging macroeconomic backdrop and market conditions reported by the wider industrial sector." "Medium-term fundamentals remain extremely positive," it said. "The company has a sufficient supply of memory to meet expected demand into Q3 of this year, giving it confidence in its unit economics for FY 2025." Energy company SSE (SSE.L) announced on Friday that it had promoted Martin Pibworth to CEO, with him due to take over from Alistair Phillips-Davies on 17 July. Shares in the company had slipped to two-and-a-half-year lows recently, though AJ Bell's investment experts Russ Mould, Danni Hewson and Dan Coatsworth said that this may be "more to more to do with rising bond yields than the fundamental prospects of the business." "This matters because utility stocks are often seen as 'bond proxies', and held by investors for the income stream they offer through their dividends (rather like how bonds offer income via the coupons paid)," they said. "Given that utilities, in theory, see relatively consistent demand and generate tightly regulated returns, the idea is that the dividends are fairly predictable and dependable, just like the interest payments on a bond, which usually come at a pre-set time, at pre-set intervals over the pre-determined life of the debt instrument." Read more: UK economy records modest growth in final quarter of 2024 They said analyst consensus has estimated that the company will announce a full-year dividend of 64.3p per share, rising to 68.7p a share for the year to March 2026, but said that SSE may not discuss this until the final full-year results on 21 May. "This statement will, instead, more likely focus on operational performance," they said. "The key here will be whether SSE (SSE.L) sticks to its earnings growth guidance for the year to March 2025 and board's target for March 2027." SSE (SSE.L) guided to adjusted earnings per share of between 154p and 163p, versus 158.5p a year ago. "A core part of SSE's (SSE.L) growth plan rests upon its investment in renewables, which is starting to generate a return," said AJ Bell's investment experts. "SSE (SSE.L) generates electricity from gas-fired power stations, on- and offshore wind farms and hydroelectric plants, and it also provides and runs electricity transmission and distribution networks. The good news is that SSE (SSE.L) can already point to a substantial uplift in profits from its investment in renewables in the first half results for the year to March 2025." Monday 31 March Petershill Partners (PHLL.L) Portmeirion (PMP.L) Inspired Energy (INSE.L) YouGov (YOU.L) Victoria Plumbing (VIC.L) Tuesday 1 April Serica Energy (SQZ.L) Renew Holdings (RNWH.L) Wednesday 2 April Gattaca (GATC.L) Thursday 3 April Moonpig (MOON.L) Friday 4 April Yaskawa (6506.T) Sodexo ( Asahi (2502.T) You can read Yahoo Finance's full calendar here. Read more: What you need to know about investing in VCTs Key takeaways from Rachel Reeves' spring statement How to protect your money from rising bills and taxes from AprilSign in to access your portfolio
