BlackBerry Ltd (NYSE:BB) shares are sliding Wednesday after the company reported third-quarter results.
What Happened: Blackberry reported third-quarter revenue of $169 million, which beat average analyst estimates of $168.73 million, according to Benzinga Pro. The company reported a third-quarter adjusted net loss of 5 cents per share, which beat estimates for a loss of 7 cents per share.
IoT revenue was $51 million, while cybersecurity revenue totaled $106 million. Weakness in the company’s cybersecurity segment appears to be negatively impacting the stock.
“In our Cybersecurity business, the rebuilding continues to gain momentum. In line with the path outlined last quarter, churn improved and there was further evidence that investments in go-to-market and the product portfolio will drive further sequential improvements and progress towards a return to ARR growth next fiscal year,” said John Chen, executive chairman and CEO of BlackBerry.
BlackBerry ended the quarter with $505 million in cash and equivalents.
RBC Capital analyst Paul Treiber maintained BlackBerry with a Sector Perform rating and lowered the price target from $6 to $5.50 following the company’s quarterly results.
BlackBerry provides intelligent security software and services to enterprises and governments around the world.
BB Price Action: BlackBerry has a 52-week high of $9.67 and a 52-week low of $3.94.
BlackBerry shares are down 7.83% at $3.83 at the time of writing, according to Benzinga Pro.
Photo: aichinger76 from Pixabay.
