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BlackBerry Raises Forecast as QNX Drives Strong Quarter

The QNX embedded software business is widening BlackBerry’s revenue runway and prompted management to lift full-year guidance.

Overview

  • BlackBerry reported first-quarter fiscal 2027 revenue of $152.9 million and GAAP net income of $8.5 million, with adjusted EPS of $0.04 and positive operating cash flow for the quarter.
  • QNX revenue rose about 26% to $72.3 million and management said the division has a royalty backlog approaching $1 billion, underpinning higher multi-year revenue visibility.
  • Management raised full-year revenue guidance to $594 million–$621 million and lifted QNX annual guidance to $295 million–$312 million, signaling stronger expected performance for the year.
  • Shares rallied roughly 19%–23% on the results and heavy trading that in one session reportedly exceeded the company’s buyback authorization, while analysts offered mixed valuations even as some upgraded coverage.
  • The quarter marks a milestone in BlackBerry’s decade-long pivot from handsets to software as QNX’s traction in automotive, robotics and other safety-critical 'physical AI' markets now anchors the company’s growth and cash-generation story.