EX-99.2 3 q1fy21ex-992.htm EX-99.2 Document


Exhibit 99.2
BlackBerry Investor Relations Income Statement Summary
GAAP Income Statement
(Three Months Ended)		Q1 FY20Q2 FY20Q3 FY20Q4 FY20FY20Q1 FY21
Software and Services$168  $168  $185  $170  $691  $148  
Licensing and Other79  76  82  112  349  58  
Revenue247  244  267  282  1,040  206  
Cost of sales70  68  69  70  277  63  
Gross margin177  176  198  212  763  143  
Operating expenses
Research and development71  62  66  60  259  57  
Selling, marketing and administration121  130  129  113  493  90  
Amortization49  48  49  48  194  46  
Impairment of long-lived assets—  2  3  5  10  —  
Impairment of goodwill—  —  —  22  22  594  
Debentures fair value adjustment(28) (23) (20) 5  (66) 1  
Total operating expenses213  219  227  253  912  788  
Operating loss(36) (43) (29) (41) (149) (645) 
Investment income (loss), net3  —  (1) (1) 1  —  
Loss before income taxes(33) (43) (30) (42) (148) (645) 
Provision for (recovery of) income taxes2  1  2  (1) 4  (9) 
Net loss$(35) $(44) $(32) $(41) $(152) $(636) 
Loss per share
Basic loss per share $(0.06) $(0.08) $(0.06) $(0.07) $(0.27) $(1.14) 
Diluted loss per share $(0.09) $(0.10) $(0.07) $(0.07) $(0.32) $(1.14) 
Weighted-average number of common shares outstanding (000s)
Basic551,845  552,343  554,585  556,668  553,861  557,839  
Diluted612,345  612,843  615,085  556.668  614,361  557,839  
Non-GAAP Adjustments (Three Months Ended, Pre-Tax and After Tax)Q1 FY20Q2 FY20Q3 FY20Q4 FY20FY20Q1 FY21
Debentures fair value adjustment(28) (23) (20) 5  (66) 1  
Restructuring charges1  1  7  1  10  1  
Software deferred revenue acquired20  17  13  9  59  8  
Software deferred commission acquired(5) (4) (4) (3) (16) (3) 
Stock compensation expense17  14  15  17  63  14  
Acquired intangibles amortization35  36  35  35  141  33  
Business acquisition and integration1  2  —  1  4  —  
Goodwill impairment charge—  —  —  22  22  594  
LLA impairment charge —  2  3  5  10  —  
Acquisition valuation allowance(1) —  —  —  (1) —  
Total Non-GAAP Adjustments$40  $45  $49  $92  $226  $648  
Adjusted Gross MarginQ1 FY20Q2 FY20Q3 FY20Q4 FY20FY20Q1 FY21
GAAP revenue$247  $244  $267  $282  $1,040  $206  
Software deferred revenue acquired20  17  13  9  59  8  
Adjusted revenue267  261  280  291  1,099  214  
Total cost of sales70  68  69  70  277  63  
Non-GAAP adjustments to cost of sales(2) (2) (4) (2) (10) (2) 
Adjusted Gross Margin$199  $195  $215  $223  $832  $153  
Adjusted EBITDAQ1 FY20Q2 FY20Q3 FY20Q4 FY20FY20Q1 FY21
GAAP operating loss$(36) $(43) $(29) $(41) $(149) $(645) 
Non-GAAP adjustments to operating loss41  45  49  92  227  648  
Adjusted operating income5  2  20  51  78  3  
Amortization53  54  53  52  212  50  
Acquired intangibles amortization(35) (36) (35) (35) (141) (33) 
Adjusted EBITDA$23  $20  $38  $68  $149  $20  


Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income and Adjusted Earnings per ShareQ1 FY20Q2 FY20Q3 FY20Q4 FY20FY20Q1 FY21
GAAP net loss$(35) $(44) $(32) $(41) $(152) $(636) 
Total Non-GAAP adjustments (three months ended, after-tax)40  45  49  92  226  648  
Adjusted Net Income$5  $1  $17  $51  $74  $12  
Adjusted Earnings per Share$0.01  $0.00  $0.03  $0.09  $0.13  $0.02  
Shares outstanding for adjusted earnings per share reconciliation551,845  552,343  554,585  556.668  553,861  557,839  

Adjusted revenue, adjusted income before income taxes, adjusted net income, adjusted gross margin, adjusted EBITDA and adjusted earnings per share do not have a standardized meaning prescribed by GAAP and thus are not comparable to similarly titled measures presented by other issuers. The Company believes that the presentation of these non-GAAP measures enables the Company and its shareholders to better assess the Company’s operating results relative to its operating results in prior periods and improves the comparability of the information presented. This non-GAAP information should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. You are encouraged to review the Company’s filings on SEDAR and EDGAR. The Company makes no commitment to update the information above subsequently.


BlackBerry Investor Relations Pre-Tax Restructuring Details
Q1 FY20Q2 FY20Q3 FY20Q4 FY20FY20Q1 FY21
Cost of sales$1  $1  $3  $—  $5  $—  
Selling, marketing and administration—  —  4  1  5  1  
Total restructuring charges$1  $1  $7  $1  $10  $1  
BlackBerry Investor Relations Amortization of Intangibles and Property, Plant and Equipment Details
Q1 FY20Q2 FY20Q3 FY20Q4 FY20FY20Q1 FY21
Cost of sales amortization
Property, plant and equipment$1  $2  $1  $2  $6  $1  
Intangible assets3  4  3  2  12  3  
Total in cost of sales4  6  4  4  18  4  
Operating expenses amortization
Property, plant and equipment5  4  5  4  18  4  
Intangible assets44  44  44  44  176  42  
Total in operating expenses amortization49  48  49  48  194  46  
Total amortization
Property, plant and equipment6  6  6  6  24  5  
Intangible assets47  48  47  46  188  45  
Total amortization$53  $54  $53  $52  $212  $50  

The information above is supplied to provide meaningful supplemental information regarding the Company’s operating results because such information excludes amounts that are not necessarily related to its operating results. The Company believes that the presentation of these non-GAAP measures enables the Company and its shareholders to better assess the Company’s operating results relative to its operating results in prior periods and improves the comparability of the information presented. This non-GAAP information should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. You are encouraged to review the Company’s filings on SEDAR and EDGAR. The Company makes no commitment to update the information above subsequently.