Blackberry Limited · TSX:BB
Blackberry — Q1 FY2021 Earnings Presentation
21 slides from Blackberry's earnings presentation, Feb 18, 2021
Slide 1: BlackBerry Investor Presentation Q1 FY'21
BlackBerry Investor Presentation Q1 FY’21 BlackBerry Public investorinfo@blackberry.com
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT Some of the statements we'll be making today constitute forward-looking statements and are made pursuant to the safe harbor provisions of applicable U.S. and Canadian securities laws. We'll indicate forward-looking statements by using words such as expect, will, should, model,
Slide 3: BlackBerry: An Internet of Things Market Leader
BlackBerry: An Internet of Things Market Leader $1B+ 500M+ 175M+ 38K+ Cybersecurity Endpoints protected1 Cars protected by QNX1 Patents and applications1 company 76% 7% 90%+ 26% (+29 pts) (+12 pts) Recurring software product Y/Y Software and FY20 Gross Margin (and FY20 Operating Margin (and revenue1
Slide 4: Investment Highlights
Investment Highlights Our mission is to enable security from IT to Internet of Things (IoT) in large, critical markets Unique portfolio in a $38B TAM that is organically growing1 Zero-trust based platform for security and management of all endpoints and users Combining next-generation AI with mobile
Slide 5: Business Transformation
Business Transformation From Hardware to Software & Services FY2014 Revenue Breakdown1 FY2020 Revenue Breakdown1 FY14 FY20 AI-based Security Secure file sharing SaaS $6.8B software $1.1B Revenue 3% Anti-eavesdropping / voice & data encryption Emergency Alert 98%95% Revenue 36% Mobile Device Mgmt. So
Slide 6: BlackBerry's Value Proposition
BlackBerry’s Value Proposition BlackBerry will be the must-have software provider for endpoints – how they are built, secured, managed, connected, and integrated via our open and OS agnostic ecosystem. BlackBerry will deliver a OUR AMBITION … “whole product” experience that helps organizations reali
Slide 7: BlackBerry's Secure IoT Platform
BlackBerry’s Secure IoT Platform TRUSTED IOT SECURITY SERVICES Apps • AI Insights • Labs • Pro Serv Continuous Endpoint Endpoint Detection Mobile Threat Data Loss Secure Internet Authentication Protection & Response Defense Prevention Gateway UNIFIED ENDPOINT SECURITY Common Cloud & Platform Mobile
Slide 8: BlackBerry Spark
BlackBerry Spark Solving the enterprise’s top priorities INTELLIGENT MOBILE & SCALE ACROSS ONE SOLUTION TECHNOLOGY CLOUD FIRST THE ENTIRE IOT for UEM & UES, to that evolves ahead of for secure, remote to address the simplify risks, complexity your needs business continuity expanding landscape & cost
Slide 9: BlackBerry QNX
BlackBerry QNX Secure embedded OS to secure the ‘edge’ Cloud Services OTA Jarvis Artificial Intelligence Based Security Complex Domain Telematics Controllers Acoustics Secure Gateways Infotainment Smart Home V2X Control Systems Instrument Clusters Traditional Digital Cockpit ADAS, Growth Active Safe
Slide 10: BlackBerry Secure Communications
BlackBerry Secure Communications Keeping you safe, secure and your data private
Slide 11: BlackBerry's Customers and Partners
BlackBerry’s Customers and Partners Top-Tier Customers Top-Tier Partners 18/20 #/# 9/10 #/# G20 GOVERNMENTS TOP GLOBAL BANKS 9/10 #/# 8/10 #/# TOP AUTOMAKERS LARGEST HEALTHCARE 8/10 #/# 5/5 #/# LARGEST MEDIA DEFENSE & AEROSPACE COMPANIES 2,000+ partners across our ecosystem
Slide 12: Strategic Priorities
Strategic Priorities FY21 and beyond – Focused on growth Unlock synergies from integration of Close pipeline opportunities, grow Gain market share in both automotive UEM and Cylance and deliver on partnerships, and increase market safety systems and other general Spark, our end-to-end, unified platf
Slide 13: Q1 FY21 Financial Summary
Q1 FY21 Financial Summary $ % $ $214M $0.02 71% $955M Non-GAAP Non-GAAP Non-GAAP Total ending Revenue1 Earnings per Share1 Gross Margin1 Cash & Investments % $ 90%+ ~$500M 93% $20M Recurring Non-GAAP Annual Recurring Dollar-Based Net Adjusted Software Product Revenue2 Retention Rate2 EBITDA1,2 Reven
Slide 14: Timeless Model Goals
Timeless Model Goals Goals Recurring Software Product Revenue1 (%) ~90% Gross Margin1 (%) ~80–85% Operating Income1 (%) ~20–25% Adjusted EBITDA1 (%) ~25–30% 1. See appendix for detail and reconciliation of non-GAAP measures to US GAAP 2. See Form 10-Q for definitions of key metrics
Slide 15: Opportunity For Long Term Growth
Opportunity For Long Term Growth W E H AV E T H E R I G H T S T R AT E G Y, T H E R I G H T T E C H N O L O G Y A N D A R E P L AY I N G I N T H E R I G H T M A R K E T S • Investing in growth Accelerate Growth Sustainable Revenue Opportunities • Opportunities to lead in large markets Growth • Innov
Slide 16: Appendix - Q1 FY21 Financials
Appendix - Q1 FY21 Financials
Slide 17: GAAP Income Statement ($M)
GAAP Income Statement ($M) Q1-20 Q2-20 Q3-20 Q4-20 FY 2020 Q1-21 Software & Services $ 168 $ 168 $ 185 $ 170 $ 691 $ 148 Licensing and Other 79 76 82 112 349 58 Total GAAP Revenue 247 244 267 282 1,040 206 Cost of Sales 70 68 69 70 227 63 GAAP Gross Profit 177 176 198 212 763 143 Research and Develo
Slide 18: Non-GAAP Reconciliation ($M)
Non-GAAP Reconciliation ($M) Non-GAAP Adjustments (Pre-Tax and After-Tax) Q1-20 Q2-20 Q3-20 Q4-20 FY 2020 Q1-21 Debentures Fair Value Adjustment (28) (23) (20) 5 (66) 1 Restructuring Charges 1 1 7 1 10 1 Software Deferred Revenue Acquired 20 17 13 9 59 8 Software Deferred Commission Acquired (5) (4)
Slide 19: Non-GAAP Reconciliation ($M) (Cont.)
Non-GAAP Reconciliation ($M) (Cont.) Adjusted EBITDA Q1-20 Q2-20 Q3-20 Q4-20 FY 2020 Q1-21 GAAP Operating Income (Loss) $ (36) $ (43) $ (29) $ (41) $ (149) $ (645) Non-GAAP Adjustments to Operating Income 41 45 49 92 227 648 Non-GAAP Operating Income 5 2 20 51 78 3 Amortization 53 54 53 52 212 50 Ac
Slide 20: Amortization And Reconciliation Details ($M)
Amortization And Reconciliation Details ($M) Restructuring Charges Details (Pre-Tax) Q1-20 Q2-20 Q3-20 Q4-20 FY 2020 Q1-21 Cost of Sales $ 1 $ 1 $ 3 $ - $ 5 $ - Research and Development - - - - - - Selling, Marketing and Administration - - 4 1 5 1 Total Restructuring Charges $ 1 $ 1 $ 7 $ 1 $ 10 $ 1
Slide 21: "== BlackBerry.
"== BlackBerry.