BlackBerry's comeback continues

BlackBerry's transformation from struggling smartphone company into a burgeoning leader in cybersecurity sof...

Posted: Sep 28, 2018 3:27 PM
Updated: Sep 28, 2018 3:27 PM

BlackBerry's transformation from struggling smartphone company into a burgeoning leader in cybersecurity software and connected cars is on track.

The company now generates more than 90% of its total revenue from software and services. And 81% of those sales are recurring. In other words, BlackBerry is no longer subject to the fickle tastes of consumers and has hitched its wagon to corporate customers.

BlackBerry reported profits and sales Friday morning for its latest quarter that topped Wall Street's forecasts. The stock was up more than 15% in late morning trading on the news.

CEO John Chen, speaking to CNN Friday, said the company's biggest successes this quarter were in the connected and autonomous car market, with revenue growth of about 30% for the business unit that includes the QNX software business for cars.

Chen said BlackBerry is working hard to win more customers in the automotive market, pointing to a deal it announced in January with Chinese search engine giant Baidu to jointly develop self-driving cars.

The company, under Chen, realized a few years ago that it was a losing battle making devices that generated razor-thin profit margins at a time when Apple and Samsung dominate the smartphone race.

That's why BlackBerry decided in 2016 to stop making its own phones and outsource the production of devices with the BlackBerry name on them to other manufacturers.

Since then, BlackBerry has gone all-in on software.

BlackBerry hoping for a new 'Spark'

So what's next? Chen said he's hopeful that BlackBerry's new Spark security platform, which is kind of like instant messaging on steroids, can make a bigger presence in the health care market. Spark integrates video chat, texts and other forms media.

BlackBerry is targeting health to help the company expand beyond its core markets of transportation, governments and financial services companies.

Investors are pleased with the turnaround too. BlackBerry's stock is up more than 60% since Chen took over nearly five years ago. That's solid, but it has lagged the performance of Apple as well as the Nasdaq.

Still, Chen has cleaned up BlackBerry's balance sheet. The company now has $2.4 billion in cash and just $740 million in long-term debt. Rumors about BlackBerry going out of business are no longer running rampant the way they were before Chen joined.

BlackBerry's board is happy with Chen's leadership as well. BlackBerry announced in March that it was extending Chen's contract through November 2023.

That may also put to rest some of the rumors that Chen was only going to stick around long enough to sell BlackBerry to a larger rival.

Mississippi Coronavirus Cases

Data is updated nightly.

Cases: 296745

Reported Deaths: 6783
CountyCasesDeaths
DeSoto19774231
Hinds18916394
Harrison16850282
Rankin12823265
Jackson12700230
Lee9711162
Madison9499204
Jones8017148
Forrest7272138
Lauderdale6856227
Lowndes6051140
Lamar592081
Lafayette5761114
Washington5229130
Bolivar4626124
Oktibbeha442694
Panola433198
Pearl River4205132
Warren4143115
Pontotoc411071
Marshall405192
Monroe3994128
Union396674
Neshoba3836170
Lincoln3590104
Hancock351978
Leflore3394120
Sunflower319786
Tate303574
Pike301996
Scott295771
Alcorn292563
Yazoo291466
Itawamba290575
Coahoma282769
Tippah280065
Copiah279759
Simpson277180
Prentiss271258
Wayne254841
Leake253572
Marion252878
Covington249980
Grenada248778
Adams235378
George232445
Newton232252
Winston222179
Jasper213945
Tishomingo213065
Attala206871
Chickasaw201753
Holmes182770
Clay179351
Stone173129
Tallahatchie171739
Clarke170273
Calhoun158628
Smith153633
Yalobusha145636
Greene128133
Walthall124840
Noxubee123331
Montgomery123140
Perry122735
Lawrence120821
Carroll119325
Amite112435
Webster111132
Jefferson Davis102731
Tunica99624
Claiborne99029
Benton94024
Humphreys93128
Kemper90823
Quitman77414
Franklin76420
Choctaw69917
Jefferson62827
Wilkinson62527
Sharkey49217
Issaquena1676
Unassigned00

Alabama Coronavirus Cases

Cases: 498887

Reported Deaths: 10122
CountyCasesDeaths
Jefferson719121402
Mobile36328740
Madison32639469
Tuscaloosa24372421
Montgomery22765520
Shelby22231218
Baldwin19890289
Lee15057158
Calhoun13901294
Morgan13770255
Etowah13407325
Marshall11452213
Houston10130264
Elmore9499190
Limestone9429138
St. Clair9041227
Cullman8991183
Lauderdale8618214
DeKalb8507175
Talladega7628165
Walker6593259
Jackson6551104
Autauga633392
Blount6246128
Colbert6004121
Coffee5268104
Dale4676107
Russell407333
Franklin400078
Covington3998106
Chilton3902103
Escambia379273
Tallapoosa3631143
Clarke344553
Chambers3432111
Dallas3422142
Pike293273
Marion288595
Lawrence285386
Winston258568
Bibb245758
Marengo243057
Geneva240570
Pickens225557
Barbour213951
Hale212269
Fayette202257
Butler201766
Henry183641
Cherokee178140
Monroe166739
Randolph165140
Washington156836
Macon147745
Crenshaw146555
Clay146054
Cleburne139941
Lamar133933
Lowndes132851
Wilcox122825
Bullock117436
Conecuh107024
Perry106227
Sumter100432
Coosa90224
Greene88732
Choctaw55423
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