BlackBerry Reports 43 Percent Year-over-Year Organic Growth in Software License Revenue for the Fiscal 2016 Third Quarter

Total software and services revenue grows 183 percent year over year

WATERLOO, ONTARIO–(Marketwired – Dec. 18, 2015) – BlackBerry Limited (NASDAQ:BBRY)(TSX:BB), a global leader in mobile communications, today reported financial results for the three months ended November 28, 2015 (all figures in U.S. dollars and U.S. GAAP, except where otherwise indicated).

Q3 Highlights

• Non-GAAP total revenue of $557 million, up 14 percent over Q2 FY16
• Non-GAAP software and services revenue of $162 million, up 183 percent year over year and up 119 percent quarter over quarter
• Adjusted EBITDA of $114 million
• Cash and investments balance of $2.71 billion at the end of the fiscal quarter, including the impact of the recent acquisitions of AtHoc and Good Technology
• Non-GAAP loss of ($0.03) per share
• Completed the acquisitions of AtHoc and Good Technology
• Launched the PRIV in November, the only smartphone that combines BlackBerry-level security with the Google Play App Store’s 1.6 million apps
• Confirmed plans to release OS version 10.3.3 on BlackBerry 10 to support NIAP certification

Q3 Results

Non-GAAP revenue for the third quarter of fiscal 2016 was $557 million with GAAP revenue of $548 million. GAAP revenue reflects a purchase accounting write down of deferred revenue associated with recent acquisitions. The non-GAAP revenue breakdown for the quarter was approximately 29% for software and services, 31% for service access fees (SAF), and 40% for hardware and other revenue.

BlackBerry had 2,713 enterprise customer wins in the quarter. Approximately 70% of third quarter software revenue was recurring.

Non-GAAP net loss for the third quarter was ($15) million, or ($0.03) per share. GAAP net loss for the quarter was ($89) million, or ($0.17) per basic share. Basic GAAP net income reflects a purchase accounting impact of $9 million on GAAP revenue, a non-cash credit associated with the change in the fair value of the debentures of $5 million (the “Q3 Fiscal 2016 Debentures Fair Value Adjustment”), pre-tax charges of $38 million related to restructuring and acquisition costs, stock compensation of $14 million, and amortization of acquired intangibles of $18 million. The impact of these adjustments on GAAP net income and earnings per share is summarized in a table below.

Total cash, cash equivalents, short-term and long-term investments was $2.71 billion as of November 28, 2015. This reflects $15 million of positive free cash flow, $636 million used in acquisition costs for AtHoc and Good Technology and $10 million used to repurchase 1.6 million shares. Excluding $1.25 billion in the face value of our debt, the net cash balance at the end of the quarter was $1.46 billion. Purchase orders with contract manufacturers totaled approximately $298 million at the end of the third quarter, compared to $248 million at the end of the second quarter and down from $565 million in the year ago quarter. Operating cash flow was $19 million.

“I am pleased with our continued progress on BlackBerry’s strategic priorities, leading to 14 percent sequential growth in total revenue for Q3. We delivered accelerating growth in enterprise software and higher revenue across all of our areas of focus,” said Executive Chairman and Chief Executive Officer John Chen. “Our new PRIV device has been well received since its launch in November, and we are expanding distribution to additional carriers around the world in the next several quarters.

“BlackBerry has a solid financial foundation, and we are executing well. To sustain our current direction, we are stepping up investments to drive continued software growth and the additional PRIV launches. I anticipate this will result in sequential revenue growth in our software, hardware and messaging businesses in Q4.”

Outlook

The company continues to anticipate positive free cash flow and adjusted EBITDA.

Vollständige Meldung

BlackBerry Acquires Movirtu to Improve Adoption of BYOD and COPE

New solution enables „split billing“ for iOS, Android and BlackBerry

WATERLOO, ONTARIO–(Marketwired – Sept. 11, 2014) – BlackBerry Limited (NASDAQ:BBRY)(TSX:BB), a global leader in mobile communications, announced today that it has acquired Movirtu, a provider of virtual identity solutions for mobile operators that allows multiple numbers to be active on a single device. This improves device management in bring-your-own device (BYOD) and corporate owned personally enabled (COPE) environments. Terms of the transaction were not disclosed.

With Movirtu’s Virtual SIM platform, both a business number and a personal number can be used on a single mobile device, with separate billing for voice, data and messaging usage on each number. As a result, employees can switch between business and personal profiles easily without carrying multiple devices or SIM cards, and charges are appropriately billed to the company and the employee. Additionally, in conjunction with the BlackBerry Enterprise Service (BES) platform, enterprise customers will be able to apply IT policies to the business number without impacting the usability of the device for personal use. „In a BYOD and COPE world, there remain a number of efficiency and convenience challenges facing enterprises, employees and mobile operators alike,“ said John Chen, Executive Chairman and CEO, BlackBerry. „The acquisition of Movirtu complements our core strategy of providing additional value added services, and it will leverage our key assets, including our BES platform, along with our existing global infrastructure which is connected to a large number of mobile operators around the world.“

The acquisition complements BlackBerry’s Secure Work Space, BlackBerry Balance and other partitioning technologies, which give employees the freedom and privacy they want for their personal use while delivering the security and management needed for business use. With Movirtu, employees can switch between profiles for calls, data and messages, while on their home network and in roaming situations. „BlackBerry is the best partner to help us carry forward our vision of redefining the mobile experience by introducing virtual identities,“ said Carsten Brinkschulte, CEO, Movirtu. „We address the challenges of BYOD and COPE by providing our unique and innovative technology solution through BlackBerry’s existing relationships with mobile operators and customers around the world.“ The new Virtual SIM capabilities will be offered by BlackBerry through mobile operators to provide customers with multiple identity based service offerings. BlackBerry will support the deployment of Movirtu technology by mobile operators on all major smartphone operating systems.

About BlackBerry

A global leader in mobile communications, BlackBerry® revolutionized the mobile industry when it was introduced in 1999. Today, BlackBerry aims to inspire the success of our millions of customers around the world by continuously pushing the boundaries of mobile experiences. Founded in 1984 and based in Waterloo, Ontario, BlackBerry operates offices in North America, Europe, Middle East and Africa, Asia Pacific and Latin America. The Company trades under the ticker symbols „BB“ on the Toronto Stock Exchange and „BBRY“ on the NASDAQ. For more information, visit www.BlackBerry.com.

About Movirtu

Headquartered in London, and with a regional office India, Movirtu develops and markets innovative identity solutions for mobile operators in developed and developing markets. Movirtu’s patented Virtual SIM platform, which allows multiple numbers to be active on a single standard SIM card, enables mobile operators to deploy a range of compelling service offerings. For more information, please visit http://www.movirtu.com.

Waterloo, ON – BlackBerry Limited (NASDAQ: BBRY; TSX: BB), a global leader in mobile communications,

announced today that it has named Dr. Sandeep Chennakeshu to lead a new business unit to be called BlackBerry Technology Solutions, or BTS. The BTS business unit comprises BlackBerry’s innovative technology assets, including:  QNX (embedded software), Project Ion (Internet of Things application platform), Certicom (cryptography applications), and Paratek (RF antenna tuning), as well as BlackBerry’s extensive patent portfolio.

Executive Chairman and CEO John Chen said, „I am very pleased that Sandeep has joined BlackBerry to lead BTS.  QNX, Certicom and Paratek are strategic and technically innovative assets with significant potential to address the much wider global markets for secure, reliable communications and embedded applications. Project Ion creates an application platform that enables secure and collaborative machine-to-machine communication required by the growing number of end-to-end, Internet of Things applications. Our broad global portfolio of 44,000 patents is of value to several industry segments. Combining all these assets into a single business unit led by Sandeep will create operational synergies and new revenue streams, furthering our turnaround strategy.”

Sandeep Chennakeshu has been engaged in research, product development, IP creation/licensing and general management in the wireless, electronics and semiconductor industry for over 25 years, including serving as President of Ericsson Mobile Platforms and CTO of Sony-Ericsson.  He is a named inventor on 73 patents and a Fellow of the IEEE.

Dr. Chennakeshu starts immediately.

 

About BlackBerry

A global leader in mobile communications, BlackBerry® revolutionized the mobile industry when it was introduced in 1999. Today, BlackBerry aims to inspire the success of our millions of customers around the world by continuously pushing the boundaries of mobile experiences. Founded in 1984 and based in Waterloo, Ontario, BlackBerry operates offices in North America, Europe, Middle East and Africa, Asia Pacific and Latin America. The Company trades under the ticker symbols „BB“ on the Toronto Stock Exchange and „BBRY“ on the NASDAQ. For more information, visit www.BlackBerry.com.

Waterloo, ON – BlackBerry Limited (NASDAQ: BBRY; TSX: BB), a world leader in mobile communications, has entered into an agreement to acquire Secusmart GmbH, a leader in high-security voice and data encryption and anti-eavesdropping solutions for government organizations, enterprises and telecommunications service providers in Germany and internationally.

The transaction is subject to the satisfaction of certain customary conditions, including the receipt of regulatory approvals.

“We are always improving our security solutions to keep up with the growing complexity of enterprise mobility, with devices being used for more critical tasks and to store more critical information, and security attacks becoming more sophisticated,” said John Chen, Executive Chairman and CEO, BlackBerry. “The acquisition of Secusmart underscores our focus on addressing growing security costs and threats ranging from individual privacy to national security. This acquisition bolsters our security solutions with leading voice and data encryption and anti-eavesdropping technologies, and furthers BlackBerry’s security leadership in end-to-end mobile solutions.”

BlackBerry and Secusmart have previously partnered to offer Secusmart’s innovative technology to customers that have the most demanding security needs. In fact, last year, the SecuSUITE for BlackBerry® 10 solution was selected by Germany’s Federal Office for Information Security for classified communications for the country’s highest public officials. Through this collaboration, the two companies have provided Secusmart-equipped BlackBerry smartphones to a significant number of German government agencies and almost all German government ministries and leaders, including Chancellor Angela Merkel.

“This transaction is a fantastic opportunity to accelerate growth in the market for high-end secure communications solutions, driven by the need to combat electronic eavesdropping and data theft,” said Dr. Hans-Christoph Quelle, Managing Director of Secusmart. “Secusmart and BlackBerry’s solution already meets the highest security requirements of the German federal authorities and NATO for restricted communications. We see significant opportunities to introduce Secusmart’s solutions to more of BlackBerry’s government and enterprise customers around the world.”

BlackBerry’s acquisition of Secusmart is the latest demonstration of the company’s commitment to being the first name in enterprise mobile security. This commitment is why BlackBerry customers include all G7 governments, 16 of the G20 governments, 10 out of 10 of the largest global enterprises in each of the pharmaceutical, legal and automotive industries, and the five largest oil and gas companies. BlackBerry has more security certifications than any other vendor and is the only mobility solution to receive “Full Operational Capability” (FOC) approval to run on U.S. Department of Defense networks.

BlackBerry Appoints Marty Beard as COO