Motorola Solutions reported fourth quarter revenues lifting 12 percent from the year earlier to USD 1.883 billion, including USD 124 million from Airwave, beating expectations. The company had guided for growth of 9-10 percent, with USD 120 million from Airwaves.
Looking forward, Motorola is guiding for a slower first quarter, with revenues seen up 3-5 percent, including USD 115 million. Adjusted EPS from continuing operations is expected at USD 0.52-0.57. For the full year, Motorola is forecasting for revenue growth of 1-2, with Airwave flat due to forex effects. The adjusted EPS from continuing operations is expected at USD 5.05-5.20.
In Q4, revenues advanced 18 percent at the Services segment, including Airwave, while at Products they went 9 percent higher, with growth in every region. Revenues at Managed and Support Services went up 5 percent, excluding Airwave. The operating profit jumped increased by 4 percent to USD 403 million, making up 21.4 percent of revenues, compared with 23.1 percent the year before. Earnings per share from continuing operations meanwhile dipped 8 percent lower to USD 1.43. Adjusted earnings per share from continuing operations rose 28 percent to USD 2.03, also passing expectations of USD 1.82-1.87.
The company generated USD 513 million in operating cash from continuing operations, up by USD 98 million the year before. Free cash flow was up USD 82 million to USD 453 million, with cash and cash equivalents at USD 1.0 billion at the end of the quarter.
For the full year, revenues were up 6 percent to USD 6.038 billion, with the operating profit 7 percent higher to USD 1.067 billion. Growth was marked especially in North America and Asia Pacific, as well as in EMEA. Meanwhile, sSales from Norway and Latin America declined.
Finally, Motorola announced the election of Ken Denman to its board of directors. Denman was previously president and CEO of Emotient, a startup acquired by Apple in January. He also held CEO positions at Openwave Systems, and iPass, and was COO – Wireless, for MediaOne International. Denman is also on the board of ShoreTel, and Mitek, and serves as an advisory board member at the University of Washington’s Foster School of Business.
