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What: Shares of Motorola Solutions (NYSE:MSI) plunged today by as much as 10% after the company reported earnings and provided lackluster guidance.
So what: Revenue in the second quarter totaled $2.1 billion, and adjusted earnings per share were $1.12. That bottom-line result was ahead of the $1.04 consensus estimate, but didn't make up for a gloomy forecast, as the enterprise business continues to be challenging.
Now what: The government sector is holding up well, but the same can't be said for the enterprise business, which saw organic sales (excluding the Psion acquisition) fall 12% last quarter. Next quarter's revenue should be flat to down 3% relative to the year-ago quarter, and adjusted earnings per share are expected to be in the range of $0.97 to $1.02. Investors were expecting the company to post $1.25 per share in adjusted profit.
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