BlackBerry (BBRY 10.43, -0.63) has slid 5.7% after reporting mixed results for the first quarter.
The Canadian technology company reported above-consensus first quarter earnings of $0.02 per share on a 42.5% year-over-year drop in revenue to $244 million, which was shy of market expectations. Hoping to offset the impact of the revenue miss, BlackBerry announced it will repurchase up to 31 million shares of its common stock, which amounts to about 6.4% of the outstanding public float.
While BlackBerry's revenue miss has weighed on shares, it is worth pointing out that the company has now beat bottom-line expectations for seven consecutive quarters. During this stretch, shares of BlackBerry have bounced around a narrow range just above their 2013 low of $5.44.
The stock has had a strong showing so far this year, having jumped more than 50.0% since the end of 2016. The rally has been supported by BlackBerry's turnaround efforts, which have included the ongoing development of autonomous driving software.
BlackBerry had more than 3,000 orders from enterprise customers during the first quarter. Software and services revenue totaled $169 million, and 79.0% of that total was recurring. Enterprise software and services revenue grew 12.2% year-over-year to $92 million.
BlackBerry's geographical revenue breakdown showed a continued shift towards more sales in the Asia-Pacific region, where sales amounted to $34 million, representing 14.5% of total sales. This was up from 11.2% of sales during the previous quarter and 11.8% of sales one year ago.
Looking ahead, the company has not made any changes to its outlook for the full year, expecting software and services revenue will at least keep up with the market growth rate. The company expects to be profitable on a non-GAAP basis for the full year, when excluding the benefit of the Qualcomm arbitration award.