Flash: Motorola beats Wall Street's views

Posted Oct 25th 2007 9:07AM by Jonathan Berr
Filed under: Earnings Reports, Good news, Motorola (MOT)

Motorola Inc. (NYSE: MOT) today reported better-than-expected third quarter earnings and bullish guidance to Wall Street. Shares of the cell-phone maker soared in pre-market action.

Net income was $60 million, or 3 cents a share, on revenue of $8.81 billion. Profit was 6 cents excluding one-time costs, beating the 4-cent average estimate of analysts surveyed by Thomson Financial. The cell phone maker expects to earn 12 cents to 14 cents this year, surpassing the 11 cents analysts had expected.

The question is whether these results are good enough to convince billionaire Carl Ichan to back off from his campaign against Chief Executive Ed Zander who has been trying to boost profit by reducing costs including the elimination of 5,000 jobs. Oppenheimer & Co. analyst Lawrence Harris told Bloomberg News that he believes the "turnaround is here" and that Zander's turnaround plan is "working."

Tags: earnings, ed zander, EdZander, inthenews, mobile phones, MobilePhones, mot, motorola

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Reader Comments (Page 1 of 1)

10-25-2007 @ 6:21PM

Max said...

Seems to me that Motorola is doing just fine without Carl Icahn. I know he is almost god-like, but looks like the Directors know what they are doing http://www.newsvisual.com/newsvisual/2007/10/will-carl-icahn.html