BlackBerry has raised its full-year revenue forecast after its QNX software business reported record quarterly revenue, supported by growth in automotive technology and new contracts.
Revenue at BlackBerry’s QNX division increased 27% to $80.3 million in the second quarter ended August 31. The business develops software for safety-critical systems used in vehicles, robotics, medical devices and industrial applications.
The company now expects full-year 2027 revenue to reach between $616 million and $636 million, compared with its earlier forecast of $594 million to $621 million.
Automotive software remains a major part of QNX’s business as automakers increasingly adopt software-defined vehicle architectures. BlackBerry said this shift is expanding the number of vehicles that can use its technology as well as the amount of software deployed in each vehicle.
QNX software is used in areas including digital cockpits, advanced driver assistance systems and vehicle body-control functions. Automakers using the technology include Audi, General Motors, Hyundai and Mercedes-Benz.
BlackBerry also announced that Coretura, a joint venture between Volvo Group and Daimler Truck, has selected QNX software for its next-generation commercial vehicles. The contract could add more than $100 million to QNX’s royalty backlog and was described by the company as its largest QNX contract so far.
BlackBerry reported second-quarter revenue of $163.3 million, exceeding analysts’ estimate of $145.6 million. For the third quarter, the company expects revenue between $143 million and $154 million, compared with analysts’ estimate of $149.6 million.