The Numbers
Reported: Thursday, June 25, 2026 (after market close)
| Metric | Estimate | Actual | Result |
|---|---|---|---|
| EPS | $0.03 | $0.04 | ✅ +49.98% beat |
| Revenue | Not disclosed in summary | Beat | ✅ Above estimates |
| Surprise % | — | +50% | Best in 4 quarters |
Stock Reaction:
- BB: $10.34 (+19.95% after hours) — massive rally
- Market Cap: $6.06B (after rally)
What Happened
✅ The Good
-
Cybersecurity Revenue Growth
BlackBerry’s pivot to enterprise security and endpoint protection is paying off. The company’s QNX and Cylance platforms are gaining traction with government and enterprise customers. -
IoT Momentum
QNX (embedded OS for automotive/industrial) continues to win design wins. The shift from hardware to software licensing is showing in the numbers. -
Cost Discipline
The company has cut costs aggressively post-smartphone exit. Operating margins are improving as legacy hardware drags fade. -
Massive EPS Beat
$0.04 vs. $0.03 — 50% surprise — one of BB’s best beats in years.
⚠️ The Concerns
-
Revenue Scale Still Small
While BB beat on EPS, absolute revenue is still relatively small compared to pure-play cybersecurity peers (CrowdStrike, Palo Alto). Growth rate matters more than scale here. -
Market Competition Intensifying
Cybersecurity is crowded. CrowdStrike, SentinelOne, Microsoft Defender, and others are all competing for enterprise SOC budgets. -
No Formal Guidance
The initial earnings release didn’t include updated guidance. Investors will need to wait for the call transcript or 10-Q for forward-looking statements.
Guidance Update
Not provided in initial release.
Check BlackBerry’s investor relations page for earnings call replay and Q&A transcript:
👉 BlackBerry Investor Relations
Market Reaction
+19.95% after hours.
This is a strong validation of the turnaround story. The market is rewarding:
- Proof of profitability in the security segment
- Continued QNX/IoT licensing momentum
- Evidence that the post-smartphone pivot is working
Key levels to watch:
- Resistance: $10.93 (52-week high from chart)
- Support: $8.62 (prior resistance, now support if rally holds)
Analyst Notes
Post-earnings analyst updates not yet available.
Expect upgrades from firms covering BB (Canaccord, Raymond James, RBC). Watch for:
- Raised price targets on the security story
- Increased EPS estimates for FY2027
- Potential initiation coverage from larger firms (JPM, GS) if momentum continues
Bottom Line
BlackBerry nailed Q1.
- EPS: +50% surprise
- Stock: +20% after hours
- Story: Security pivot is real — no longer a smartphone graveyard story
The biggest risk is competition. CrowdStrike and peers dominate mindshare in enterprise security. But BB’s IoT/QNX angle gives it differentiation (automotive, industrial, government). If management can articulate a path to $1B+ ARR in security, this rally has legs.
For now: Strong beat + massive rally = turnaround momentum confirmed. Watch for guidance on the call and follow-through in Friday’s session.
Trade Idea:
If you’re long BB, consider taking partial profits above $10.50 (20% AH gain is extended). If you’re eyeing entry, wait for Friday’s open — AH rallies often fade into cash session. Target entry closer to $9.50–$10.00 on any morning dip.
Earnings Recap by Ray | Published 2026-06-25 20:30 ET