BlackBerry said it again reported record software and services revenue, for the second quarter in a row, though it moved back into the red. About 75 percent of the software and service revenue (excluding IP licensing and professional services) was recurring. Total revenues for the fiscal third quarter to end November however fell to USD 226 million from 289 million the year before and 238 million in the previous quarter. Market watchers said the results did beat market expectations.
The operating result went to a loss of USD 258 million, widening from the loss of 114 million the year before, and turning away from the profit recorded in the previous quarter of 22 million. The net loss amounted to USD 275 million or USD 0.52 per share (basic and diluted), widening also year-on-year from the loss of 117 million, and moving away from the profit of 19 million in the second quarter. On an adjusted basis, revenues amounted to USD 235 million, the operating profit to USD 16 million and the net profit to USD 0.03.
Revenues for software and services went to USD 190 million, or USD 199 million on an adjusted basis. The company had about 3,000 enterprise customer orders in the quarter. CEO John Chen noted the record gross margin of 74 percent, or 77 percent on an adjusted basis.
The company reiterated its full year guidance, with adjusted revenues seen at USD 920-950 million, adjusted software and services revenue up 10-15 percent and positive adjusted EPS, plus a positive free cash flow.
