BlackBerry's comeback continues

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

Posted: Sep 28, 2018 4:27 PM
Updated: Sep 28, 2018 4:27 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.

Indiana Coronavirus Cases

Data is updated nightly.

Cases: 947918

Reported Deaths: 15377
CountyCasesDeaths
Marion1291181990
Lake635721103
Allen53899761
Hamilton44082449
St. Joseph42122590
Elkhart33803491
Vanderburgh30574449
Tippecanoe26915251
Johnson23727418
Hendricks22410342
Porter21832347
Clark17562231
Madison17492385
Vigo16302285
Monroe14545191
LaPorte14389239
Delaware14183222
Howard13971273
Kosciusko11498135
Hancock10935166
Warrick10737178
Bartholomew10635170
Floyd10514208
Wayne10077226
Grant9213204
Morgan8928160
Boone8463111
Dubois7791123
Dearborn769490
Henry7691133
Noble7466101
Marshall7409128
Cass7219118
Lawrence7026153
Shelby6647111
Jackson661386
Gibson6190107
Harrison609386
Huntington604495
Montgomery5853105
DeKalb581091
Knox5535104
Miami548888
Putnam543268
Clinton537465
Whitley529354
Steuben501768
Wabash488692
Jasper483861
Jefferson474492
Ripley457777
Adams446068
Daviess4231108
Scott409165
Clay394957
White393858
Greene393392
Wells389884
Decatur388797
Fayette378578
Posey362341
Jennings356056
Washington334747
LaGrange325175
Spencer321136
Fountain318455
Randolph317190
Sullivan309449
Owen287064
Starke282864
Fulton280454
Orange277859
Jay257038
Perry254152
Carroll245229
Franklin242838
Rush237030
Vermillion235050
Parke221420
Tipton212055
Pike211740
Blackford170534
Pulaski168551
Crawford147318
Newton145845
Benton143916
Brown135846
Martin130217
Switzerland126910
Warren115616
Union98511
Ohio80511
Unassigned0482

Ohio Coronavirus Cases

Data is updated nightly.

Cases: 1390015

Reported Deaths: 21820
CountyCasesDeaths
Franklin1541781574
Cuyahoga1361632341
Hamilton989691326
Montgomery681371161
Summit569981051
Lucas51769869
Butler48139663
Stark42350983
Lorain32165539
Warren30497338
Mahoning27564643
Clermont26081297
Lake24873422
Delaware22600147
Licking20818246
Fairfield20789223
Greene20667275
Trumbull20378516
Medina20178290
Clark18235332
Richland16749236
Portage16442231
Wood15973209
Allen14405261
Miami14063261
Muskingum12976155
Wayne12234244
Columbiana12046242
Tuscarawas11248271
Marion10935150
Pickaway10642129
Scioto10585127
Erie9888171
Ross9648177
Lawrence8967125
Hancock8637143
Ashtabula8509187
Geauga8272156
Belmont8262188
Jefferson7736175
Huron7566131
Union743951
Washington7396126
Athens712065
Sandusky6984135
Darke6884137
Knox6839122
Seneca6533137
Ashland6078115
Auglaize596888
Shelby5845104
Brown578272
Mercer565890
Crawford5591117
Defiance5579101
Madison552171
Highland550982
Fulton543583
Clinton535781
Logan520587
Preble5123111
Putnam4909107
Guernsey487664
Williams469982
Perry464454
Champaign454964
Ottawa443584
Jackson436663
Pike400745
Morrow398251
Coshocton393669
Fayette385053
Adams371575
Hardin367570
Gallia356658
Holmes3326111
Henry331869
Van Wert321471
Hocking312370
Wyandot286058
Carroll267052
Paulding247443
Meigs223042
Monroe193149
Noble174442
Morgan170329
Harrison161741
Vinton141919
Unassigned05
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