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Info Motorola increases networks margins - 31-October-2008, 15:30

Motorola increases networks margins

Motorolas Home and Networks Mobility sector grew its operating margin by four percentage points in the third quarter. The operating margin increased from 7% to 11% of sales year-on-year as set-top shipments climbed to 4.1 million compared to 2.7 million in Q3 2007.

The sector netted sales of $2.4 billion, a one per cent decrease on 2007, while operating earnings increased to $263 million representing a 65% increase. Future orders include the award of a contract to supply IPTV set-top boxes to Deutsche Telekom, announced in September.

Our balance sheet and liquidity position give us agility and flexibility in todays weakened global economy and turbulent financial markets. In addition, we benefit from a global customer base and a broad portfolio of products and solutions that meet the needs of our customers, said Greg Brown, Motorolas co-chief executive officer and CEO of Broadband Mobility Solutions.

Brown announced the company would be prioritising growth areas and was preparing to implement further cost reductions.
   
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