Proactive Investors - Blackberry (TSX:TSX:BB) is set to report its latest financial results after the bell on Thursday, with investors wondering if it can follow in the wake of Gamestop which last week reported its first quarterly profit in two years, sending other meme stocks like AMC Entertainment and Bed Bath & Beyond flying.
But according to an analysis by Zacks Equity Research, an earnings beat is not expected for Blackberry (TSX:BB) this time around. The company itself is not predicting an upside surprise, per its preliminary financial results released on March 6.
Blackberry said earlier this month that it expects to post revenues of $151 million for 4Q and $656 million for fiscal 2023.
In the year-ago quarter, the company posted earnings per share of $0.01 on revenue of $185 million. For fiscal 2022, it achieved a loss per share of $0.10 on revenue of $718 million.
Wall Street expects the Canadian firm to post a loss per share of $0.07 on revenue of $156.65 million for 4Q fiscal 2023.
Investors will be looking closely at the company’s cybersecurity segment, a major revenue driver that contributed $122 million in revenue in the year-ago quarter.
Cybersecurity revenue is expected to be $88 million for the fourth quarter and $418 million for the full year, Blackberry said in its preliminary financial results.
The company said its cybersecurity unit revenue is lower than the outlook previously provided primarily due to certain large government deals slipping into the 2024 fiscal year.
However, the company noted its IoT business unit is on track to post 16% year-over-year growth for fiscal 2023, in line with its previous guidance.
Blackberry’s stock has rallied in the year-to-date, up 18% compared to a 3% increase in the S&P 500. Its shares had edged 0.4% higher at US$4 on Thursday afternoon ahead of its results.