This Is the Business BlackBerry's Shareholders Should Worry About
Unsurprisingly, BlackBerry (NYSE: BB) posted weak fiscal first-quarter results because of its automotive business as the industry has been facing headwinds because of the coronavirus pandemic. Besides these (hopefully) short-term challenges, investors should actually worry about the disappointing performance of the company's endpoint protection solution Cylance, acquired in 2019.
BlackBerry's fiscal first-quarter revenue dropped 20% year over year to $214 million, slightly below analysts' forecast of $216.8 million.
In a press release, management indicated the revenue decline was due to macro headwinds in the auto and other embedded sectors. Indeed, the company's fiscal first-quarter covers the months of March through May, which saw a full period of coronavirus-induced lockdowns across the world.
Source Fool.com
