12:48 PM EDT, 06/21/2024 (MT Newswires) -- BlackBerry's (BB) is expected to report inline fiscal Q1 results, with revenue likely down 14% from a year earlier, RBC Capital Markets said in a note Friday.

The company is scheduled to release its quarterly results on June 26 after market close.

RBC projects Q1 revenue of $133 million, compared with consensus of $134 million and guidance of $130 million to $138 million. The forecast takes into account a patent sale last year, it said. The investment bank expects internet of things revenue to fall 25% sequentially to $50 million, in line with the company's guidance, and projects the decline to continue through fiscal 2025.

The brokerage expects a $0.05 loss per share on an adjusted basis for the quarter versus consensus of a $0.04 loss and guidance for a loss of $0.04 to $0.06. "BlackBerry's fiscal Q1 is likely to be a fairly noisy quarter given the company's ongoing restructuring, separation process, and headwinds against the business," RBC said.

It expects BlackBerry's valuation to remain under pressure until its "business stabilizes and the market gains confidence in a sustained move to profitability."

RBC is maintaining its sector perform rating for the company with a $3 price target.

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