Key facts
- BlackBerry's QNX software division reported record quarterly revenue of $80.3 million in the second quarter, a 27% increase.
- The company's QNX software is used in digital cockpit, advanced driver assistance, and body-control applications in vehicles.
- Coretura, a joint venture between Volvo Group and Daimler Truck, selected BlackBerry's QNX software for its next-generation commercial vehicles.
- BlackBerry's second-quarter revenue was $163.3 million, exceeding analysts' estimates of $145.6 million.
- BlackBerry expects third-quarter revenue to be between $143 million and $154 million.
BlackBerry Ltd. raised its full-year revenue forecast on Thursday, citing strong performance in its automotive software business. The company's QNX software division reported record quarterly revenue, driven by growth in the automotive sector and new design wins.
QNX software is essential for safety-critical systems in vehicles, robotics, medical devices, and industrial applications. Automakers such as Audi, General Motors, Hyundai, and Mercedes-Benz utilize the company's QNX software. BlackBerry CEO John Giamatteo highlighted that the increasing adoption of software-defined vehicle architectures is expanding the addressable market and the amount of QNX software deployable in each vehicle, supporting domains like digital cockpits, advanced driver assistance, and body-control systems.
The company now anticipates full-year 2027 revenue to be between $616 million and $636 million, an increase from its previous projection of $594 million to $621 million. A significant deal was announced where Coretura, a joint venture between Volvo Group and Daimler Truck, selected BlackBerry's QNX software for its next-generation commercial vehicles. BlackBerry stated this contract could add over $100 million to QNX's royalty backlog, marking it as the largest QNX contract to date.
In the second quarter ended August 31, BlackBerry's QNX division revenue rose 27% to $80.3 million. Overall second-quarter revenue reached $163.3 million, surpassing analysts' expectations of $145.6 million. For the third quarter, BlackBerry projects revenue between $143 million and $154 million, compared to estimates of $149.6 million. Shares of the company have more than doubled year-to-date.