Motorola Solutions Issues Guidance; Q2 Profit Beats Estimates

(RTTNews) - Motorola Solutions, Inc. (MSI) announced, for full-year 2016, the company continues to expect revenue to increase 5 to 7 percent and non-GAAP earnings per share from continuing operations in the range of $4.45 to $4.65 per share. Analysts polled by Thomson Reuters expect the company to report profit per share of $4.52. Analysts' estimates typically exclude special items.

For the third-quarter 2016, Motorola Solutions expects a revenue increase of 6 to 7 percent compared with the third quarter of 2015, which assumes approximately $130 million in revenues associated with the Airwave acquisition. The company expects non-GAAP earnings per share from continuing operations in the range of $1.17 to $1.22 per share. Analysts polled by Thomson Reuters expect the company to report profit per share of $1.25.

For the second-quarter, Non-GAAP EPS from continuing operations was $1.03, up 51 percent from last year. On average, 13 analysts polled by Thomson Reuters expected the company to report profit per share of $0.86 for the quarter.

For the second-quarter, sales were $1.43 billion compared to $1.37 billion, prior year. Analysts expected revenue of $1.40 billion, for the quarter. Sales increased 5 percent, including $146 million in sales associated with the Airwave acquisition. Products segment sales declined 8 percent primarily driven by weakness in Latin America, Europe and China. Excluding Airwave, the Services segment declined 4 percent due to lower systems integration revenues associated with the completion of a large project in Europe.

The company also announced that its board has approved a $2 billion increase to the share repurchase program, raising the total authorization since July 2011 to $14 billion. Under the company's previously authorized $12 billion share repurchase program, approximately $400 million remained at the end of the second quarter of 2016.