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Motorola Solutions Q2 net down 48% on enterprise weakness

時間:2012-10-09 22:45來源:totaltele 作者:陳曉亮 點擊:
MotorolaSolutions Inc.s second-quarter income slumped 48% as the enterprisebusinesscontinued to show weakness and expenses rose. Motorola Solutions raised its full-year revenue guidance, now seeing 5% to 6% in growth. The company previousl

Motorola Solutions Inc.'s second-quarter income slumped 48% as the enterprise business continued to show weakness and expenses rose.

Motorola Solutions raised its full-year revenue guidance, now seeing 5% to 6% in growth. The company previously forecast a 5% improvement.

For the current quarter, the company expects downbeat earnings from continuing operations of 69 cents to 74 cents a share on sales growth of 3%. Analysts surveyed by Thomson Reuters predicted 78 cents in earnings and 4% revenue growth.

The company boosted its share repurchase program by $2 billion, setting no expiration date. The increase is in addition to a previous $3 billion authorization, which still has about $100 million left in it. Motorola Solutions also said it raised its dividend 18% to 26 cents a share.

The provider of public-safety radios, handheld scanners and telecommunications-network gear was created last year in the split of Motorola Inc. Google Inc. paid $12.5 billion for the higher-profile mobile-devices and TV-set-top-box operations, named Motorola Mobility Holdings Inc.

In recent quarters, Motorola Solutions' bottom line has been weighed down by charges, even as sales grow. The company had previously warned its earnings this year would be pressured by lower sales in its iDEN network business.

Motorola Solutions posted a profit of $182 million, or 61 cents a share, down from $349 million, or $1 a share, a year earlier. Excluding stock-based compensation and other items, earnings from continuing operations rose to 70 cents from 54 cents, reaching the high end of the company's April prediction of 65 cents to 70 cents.

Revenue rose 8.3% to $2.15 billion, while analysts polled by Thomson Reuters recently expected revenue of $2.11 billion.

Gross margin shrank to 49.3% from 50.8%, as input costs rose 11%.

Government sales increased 14% to $1.46 billion, driven by growth across all regions. The smaller enterprise business posted 1.6% lower revenue at $689 million, hurt by a decline in iDEN sales.

Shares closed at $45.29 on Tuesday and were inactive premarket. The stock is down 2.2% since the start of the year.


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