Strong worldwide demand in the government sector pushed sales at Motorola Solutions up by 7% to $2bn (£1.2bn) in the first quarter of 2012 compared with the same quarter in 2011.
Announcing its first-quarter 2012 results last week (25 April 2012) Greg Brown, chairman and CEO, said: ‘Motorola Solutions had a great start to the year by posting record first-quarter sales and operating earnings while also returning approximately $1.4bn to shareholder.,’
GAAP operating earnings in the first quarter of 2012 were $232m (£143m) up 37% on sales of $169m (£104m) in Q1 2011. Non-GAAP operating earnings in the first quarter of 2012 were $290m (£179m) compared with $266m (£164m) in Q1 2011 – a rise of 9%. The company generated $69m (£42.6m) in operating cash flow from continuing operations.
Operating cash flows in the quarter were impacted by approximately $200m (£123.5m) related to the timing of certain annual incentives historically paid in the second quarter and a legal settlement. During the quarter, the company repurchased $1.4bn (£864m) in stock, paid $70m (£43m) in dividends and ended the quarter with total cash of $3.8bn (£2.3bn).
Government segment sales were $1.3bn (£802m), up 11% from the year-ago quarter. GAAP operating earnings were $150m (£92.6m) compared with $99m (£61m) in the year-ago quarter. Non-GAAP operating earnings were $184m (£113.6m) compared with $134m (£82.7m) in Q1 2011.
Enterprise segment sales were $655m (£404m), down 2% from the year-ago quarter, which included a $31m (£19m) decline in iDEN sales. Sales excluding iDEN were up, driven by growth in North America and Asia Pacific. GAAP operating earnings were $82m (£50.6m) compared with $70m (£43m) in Q1 2011. Non-GAAP operating earnings were $106m (£65.4m) compared with $132m (£81.4m) in the same period a year ago
The company said it expected second-quarter sales to grow approximately 6% compared with the second quarter of 2011. It reaffirmed its full year 2012 outlook of sales growth of approximately 5% compared with 2011 and operating earnings of approximately 17% of sales.