Image source: Motorola Solutions
Shares of Motorola Solutions (MSI 0.59%) are down 3.7% in early trading, following the release of Motorola's first-quarter results and updated guidance.
Sales decreased 9% year over year to $1.8 billion. Adjusted earnings fell 24% to $0.50 per share. Both figures were right in line with analyst projections, which have been updated to reflect a preliminary report filed two weeks ago. But the revenue decline was steeper than the company's original guidance for the quarter, and it's worth noting that Motorola shares fell as much as 1.9% the day after releasing its unofficial results.
"First quarter sales results were below expectations due to lower order volume in both Enterprise and North America Government," said Motorola CEO Greg Brown.
Looking ahead, the company lowered its full-year revenue guidance. The original outlook called for 2014 sales to grow approximately 1% year over year, but the new guidance points to a revenue decline in the low single digits.
For the second quarter, the midpoint of Motorola's guidance ranges describe adjusted earnings near $0.62 per share on $2.0 billion in sales.
Analysts currently expect flattish full-year sales, $2.1 billion in second-quarter revenue, and Q2 earnings somewhere around $0.84 per share.
