BlackBerry Ltd (BBRY) Posts Q2 Losses of 47 Cents Per Share

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Even though BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) has canceled its usual quarterly investor call, the company did release its second quarter earnings this morning as previously planned. The company posted an adjusted second quarter loss of 47 cents per share, which was slightly better than analyst estimates of 49 cents per share in losses. The struggling company’s revenue for the second fiscal quarter was $1.6 billion, compared to expectations of $1.62 billion.

BlackBerry Ltd (BBRY) Posts Q2 Losses of 47 Cents Per Share

Details from BlackBerry’s second fiscal quarter

The company reported revenue from about 3.7 million BlackBerry handsets during the quarter, with most of those handsets being BlackBerry 7 units, as the company said last week Friday.


One of the reasons BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) did not recognize revenue on some of the BlackBerry 10 handsets during the quarter was because it does not recognize revenue on them until they are actually sold through to consumers. During the second fiscal quarter, the company said about 5.9 million BlackBerry handsets were sold through. They included shipments made before the beginning of the second quarter and which served to cut BlackBerry’s channel inventory.

As previously announced, the company said it took a $965 million GAAP loss from continuing operations. It had a cash and investments balance of $2.65 billion at the end of the second fiscal quarter. The failure of the BlackBerry Z10 handset also resulted in a $934 million charge on unsold handsets.

BlackBerry cancels earnings call

On Wednesday BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) said it was canceling today’s earnings call because of the pending go-private deal with the consortium led by Prem Watsa’s Fairfax Financial. That offer was announced on Monday, and the company said it would publish more details about its second quarter results in the consolidated financial statements which will be filed next week.

Meanwhile debate continues about whether the deal with Fairfax will actually happen. Analysts are split on whether Watsa will be able to secure the funding necessary to get the deal done in light of just how bad BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB)’s financial position really is at this point.

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