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BlackBerry Raises Guidance After Q3 Beat as Shares Slide on Growth Concerns

Analysts pointed to one-time Secure Communications revenue alongside slowing QNX growth as reasons for caution.

Overview

  • BlackBerry shares fell about 11% intraday Friday as investors weighed growth visibility against improved profitability.
  • The company posted Q3 revenue of $141.8 million and adjusted earnings of $0.05 per share, topping estimates as total revenue edged down 1% year over year.
  • Management lifted full-year fiscal 2026 guidance to $531–$541 million in revenue and $0.14–$0.16 in adjusted EPS, and projected Q4 revenue of $138–$148 million with EPS of $0.03–$0.05.
  • RBC and other analysts said the beat leaned on one-time Secure Communications revenue, while that segment declined year over year and dollar-based net retention fell to 92%.
  • QNX revenue grew 10% year over year but missed expectations and slowed from the prior quarter, as the company also highlighted its strongest GAAP profitability in nearly four years and $378 million in cash.