Shares of BlackBerry Ltd. (NASDAQ:BBRY) dipped nearly 2 percent Tuesday to $8.95 after the smartphone maker’s earnings and revenue missed Wall Street estimates. But the company did see a bright spot as its software and technology licensing revenue soared 150 percent to $137 million last quarter, well above Wall Street estimates of $82.1 million.
“I am pleased with the strong performance of our software and technology business. This is key to BlackBerry’s future growth,” Executive Chairman and CEO John Chen said in a statement Tuesday.
For the quarter ended May 30, Blackberry reported first-quarter net income of $68 million, or 13 cents per share, on revenue of $658 million, compared with a profit of $23 million, or 4 cents per share, on sales of $966 million during the same period a year earlier.
After adjusting for one-time items, the company posted a loss of 10 cents per share, narrowing its loss from 37 cents a share in the year-earlier period, but still missing analysts’ estimates. Wall Street had forecast that BlackBerry would deliver a quarterly loss of 3 cents a share on $679 million in revenue, according to analysts polled by Thomson Reuters.
Shares of Blackberry have lost more than 6 percent in the last 12 months.
Alibaba Group Holding Ltd. (NYSE:BABA) is selling its U.S. subsidiary 11 Main to online marketplace OpenSky. The Chinese online e-commerce giant launched the U.S. shopping website a year ago to take on Amazon.com Inc. and eBay Inc.
Financial terms weren’t disclosed, but Alibaba is taking a 37.6 percent stake in New York-based OpenSky, the Wall Street Journal reported.
Shares of Alibaba have lost 9 percent of their value since its initial public offering in September 2014.
Oracle Corporation (NYSE:ORCL) is expanding its cloud-based offerings to more directly compete with Amazon Web Services. Oracle will offer online storage and capability for customers to run their applications entirely in the cloud. Oracle’s cloud business is running at a rate of about $2.3 billion a year in revenue.
"We're prepared to compete with Amazon on price," Executive Chairman Larry Ellison said during a webcast presentation on Monday.
Shares of Oracle have gained 1 percent in the last 12 months.