Motorola Solutions raises annual revenue forecast on steady demand
Greg Brown, chairman and CEO of Motorola Solutions, rings the opening bell at the New York Stock Exchange (NYSE) in New York City, U.S., November 15, 2023. REUTERS/Brendan McDermid/File Photo
Safety and enterprise security services provider Motorola Solutions raised annual revenue forecast on Thursday, driven by robust demand for its safety and security solutions.
Government agencies and businesses have been making efforts to strengthen their security and communication infrastructure, aiming to prevent disruptions to operations caused by cyberattacks, benefiting Motorola.
The verticals that drive Motorola's enterprise security business are healthcare, critical infrastructure and education, which are markets that tend to be more resilient.
To address the impact of tariffs, Motorola has been implementing discretionary cost controls, adjusting its supply chain and increasing pricing across its portfolio.
The company makes radio communication equipment, 911 emergency call handling software and body cameras widely used by law enforcement agencies in the United States and globally.
Motorola has also expanded into video surveillance and data analytics, integrating these technologies into its tools for public safety and first responders.
In July, the company said it will introduce AI labelsacross its safety and security products to enhance transparency around the use of artificial intelligence in public safety and enterprise security.
The company closed its acquisition of wireless-radio maker Silvus Technologies for $4.4 billion on Wednesday, aiming to strengthen its market position and capitalize on rising demand.
Motorola now forecasts fiscal 2025 revenue growth of 7.7 per cent to about $11.65 billion, including expected revenue related to Silvus, higher than its prior projection of a 5.5 per cent growth. Analysts expect $11.41 billion in revenue, according to data compiled by LSEG.
Its revenue for the second quarter was $2.77 billion, compared with an estimate of $2.73 billion.
Adjusted quarterly profit was $3.75 per share, up from $3.24 a year ago.
