Yasch22 wrote: Thanks nelly.
Paste:
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May 18th is next key date to watch
John Chen ended the last Q conference call announcing that BB would host an investor day on May 18th. While details were scarce Chen told investors “I strongly suggest you do not miss it”.
There may be a temptation to read into these words too much. Chen seems to imply there is news / announcements forthcoming that will be relevant to the analyst community covering BB.
What news / announcements could be forthcoming?
There is no point speculating too wildly but what we know from Chen is that we will receive a go to market strategy update from both the IoT and Cybersecurity leadership. What that means is an update on how each business has restructured itself in the last 12 months and how BB is going to try to put some wins on the board in the next 12 months.
In cybersecurity we can expect an update on product build-out to give BB a more competitive suite of solutions. There is also the rebranding effort and the growing of the salesforce. None of this is new news so I can not imagine it will surprise. Cyber is a show me story in a market that is burning hot.
In IoT hopefully we get some details about the Ivy PoCs that have been inked. What is the timeline for converting those into revenue generating contracts.
Most importantly Chen promised that on may 18th BB is going to start providing a “annual backlog” figures for the business. Its a bit cryptic but it sounds like this is BBs best attempt to give analysts a sense of the business opportunity building in the background. This is most relevant for QNX where car OEMs are committing to QNX integration on an expanded scale but where the sales/ revenue cycle is very long. BB is winning big OEM contracts but it takes 2-3 years to convert a customer win into revenue and during that time the best gauge of future revenue is an expected backlog figure. The backlog in the case of QNX in the auto space is effectively an estimate of the total number of cars that will be sold in the next few years that will have QNX embedded and which BB is therefore able to earn a fee for. What will be interesting is the details. Volumes vs price. If the ASP for QNX is going up (because the OEMs are using QNX more holistically) then this is a sign that QNX is becoming a more important element of the next gen cars.
Not investing advice. Due your own due diligence