Blackberry Limited has reported its financial results for the second quarter of fiscal year 2025, with several key highlights. The company achieved breakeven adjusted EBITDA and non-GAAP EPS for the quarter, showing significant improvement. The GAAP net loss improved by $23 million, or 55% year-on-year to $19 million, with a GAAP loss per share improvement of $0.04 to $0.03.
In terms of revenue, Blackberry reported a total company revenue of $145 million for the quarter. Both the IoT and cybersecurity divisions experienced double-digit year-over-year growth. Specifically, IoT revenue grew by 12% year-over-year to $55 million, exceeding the previously-provided guidance. Additionally, cybersecurity revenue grew by 10% year-over-year to $87 million, also surpassing the previously-provided guidance.
The non-GAAP gross margin for the total company was 66%, while the GAAP gross margin was 65%. The cybersecurity division's gross margin increased by 1 percentage point year-over-year to 55%. Furthermore, the cybersecurity annual recurring revenue (ARR) remained flat year-over-year at $279 million, while the direct billings net renewal rate (DBNRR) increased by 7 percentage points year-over-year to 88%.
Blackberry also provided a financial outlook for the third quarter of fiscal year 2025 and the full fiscal year 2025. The company expects total revenue for the full fiscal year to be in the range of $591 million to $616 million, with IoT revenue projected to be between $225 million and $235 million, and cybersecurity revenue between $350 million and $365 million.
Today the company's shares have moved -1.0% to a price of $2.52. If you want to know more, read the company's complete 8-K report here.
