Motorola 3Q06 results

Motorola reports 3Q06 revenues of $10.6bn, up 17%, with net income of $968m, down 45%. Results fell short of guidance and analysts’ expectations, but are tempered by an EPS in line with targets and very good handset shipments in the quarter and good outlook for 4Q06. Motorola shipped 53.7m cellphones in the quarter, up 39% (but below target of 55m units) giving a market share of 22.5%. Mobile handset revenues contributed $7bn, up 26%, Networks and Enterprise sales were nearly $2.8bn, and Connected home solutions contributed $812 m (+9%). Its outlook for 4Q06 is for sales of between $11.8bn and $12.1bn, up 18 to 21% vs last year. Motorola shares were down almost 5%, to $23.6.