As of the last check during pre-market trading, BlackBerry Limited (NYSE: BB) shares were on a significant increase, up 12.80% at $4.88. Following the announcement of strong financial results for the three months ending May 31, 2025, indicating a strong start to its new fiscal year, there was an early spike.
Excellent Margin and Revenue Performance
BlackBerry exceeded previous projections with a total revenue of $121.7 million. The non-GAAP gross margin was 75%, while the gross margin was 74%. Revenue from its QNX segment, which provides core software for embedded devices, increased by 8% year over year to $57.5 million.
Moreover, the QNX segment exceeded forecasts with a gross margin of 81%. With $59.5 million in revenue and a 70% adjusted gross margin, Secure Communications saw a 6 percentage point rise in revenue over the previous quarter and a 4 percentage point gain over the previous year. Revenue from licensing was $4.7 million.
Milestones of Profitability and Returns to Shareholders
For the first time since Q4 FY22, BlackBerry achieved profitability with a GAAP net income of $1.9 million. Adjusted EBITDA exceeded projections at $16.4 million, while non-GAAP net income was $12.3 million. BB also returned $10 million to shareholders through the repurchase of 2.57 million common shares under its recently announced normal course issuer bid.
Strategic Developments Across Business Units
BB continues to make strides in its core segments. QNX introduced Hypervisor 8.0, based on the new SDP 8.0 architecture, supporting high-performance virtualization. WeRide launched an L2++ ADAS platform using QNX OS for Safety, while Leapmotor integrated QNX technologies in its new B10 electric SUV.
Additionally, Direct ChassisLink Inc. (DCLI) deployed BlackBerry Radar across 100,000 chassis. BlackBerry AtHoc achieved a milestone by becoming the first critical event management solution to secure FedRAMP High authorization.
Global Development and Innovation
BlackBerry last month provided cybersecurity training scholarships to a large number of women cyber-defenders, people with limited educational and professional opportunities, and university instructors and students in honor of the Malaysia Cybersecurity Center of Excellence’s (CCoE) one-year anniversary.
These changes reflect BlackBerry’s ongoing focus on innovation, security, and expanding global partnerships.
