Blackberry is sinking after turning a profit only because of its big arbitration win against Qualcomm

Blackberry’s stock price is dropping, even though the company turned a profit in the first quarter.

Shares were up 3.85% Thursday, before first quarter earnings were released, and lost that gain entirely in early trading on Friday, opening down 5.16%.

The company reported earnings of $US0.02 per share, compared to an estimated zero, but revenue fell to $US235 million from $US400 million from the year before.

The company outsourced the manufacturing of Blackberry hardware in late 2016 in order to focus on software and services.

Thanks to a $US940 million arbitration payment from Qualcomm, Blackberry recorded a profit of $US671 million in the first quarter, compared to a loss of $US670 in the last year.

Blackberry is up about 50% this year, not including Friday morning moves.

Click here to watch Blackberry’s stock price live…

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