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BlackBerry reveals poor Q2 results, confirms Android handset

BlackBerry has released its financial results for Q2 of fiscal 2016, and there's more bad news for the company, as it suffered a bigger loss than expected by analysts.

Non-GAAP revenue for the quarter (which ran up to the end of August) was $491 million (£323 million), and the Non-GAAP loss for Q2 stood at $66 million (£44 million), or 13 cents per share.

As for the revenue breakdown, 41 per cent of the money made was down to hardware sales, 43 per cent was service access fees, and 15 per cent was software and services.

BlackBerry said it sold in excess of 800,000 smartphones in the quarter, with the average value of said phones being $240 (£158).

There was a bright spot with software and services revenue hitting $74 million (£49 million), which represented a 19 per cent increase year-on-year, primarily driven by software licensing which was up a third.

The company finished the quarter with $3.35 billion (£2.2 billion) in the coffers – that’s cash, cash equivalents and investments.

CEO John Chen (pictured) commented: “I am confident in our strategy and continued progress, highlighted by our fourth consecutive quarter of year-over year double digit growth in software licensing revenue and sixth consecutive quarter of positive free cash flow.

“In order to expand our leadership in cross-platform software and services, we are investing strategically – organically through new products and services based on the BES platform, and through acquisitions like AtHoc and Good [Good Technology].”

Chen also confirmed plans to launch a flagship Android handset which features BlackBerry security, known as Priv.

He noted: “Priv combines the best of BlackBerry security and productivity with the expansive mobile application ecosystem available on the Android platform.”

Check out our Blackberry Priv hub for everything that businesses need to know about the smartphone.