(Reuters) – Motorola Solutions on Thursday raised its full-year revenue and profit forecasts on robust demand for the telecommunications equipment provider’s integrated security solutions.
The company’s shares rose more than 3% in trading after the bell.
As governments and private players are trying to reduce response times in emergency situations and plug security loopholes, they are relying on public safety solutions offered by the companies like Motorola.
The Chicago-based company now expects full-year revenue in the range of $9.88 billion to $9.90 billion, compared with its previous expectations of $9.73 billion to $9.78 billion. Analysts on average were expecting $9.79 billion, according to Refinitiv data.
The company also projected full-year adjusted profit of between $11.40 and $11.48 per share, up from its previous forecast of $11.21 to $11.29. Analysts were expecting a profit of $11.29.
“Our momentum entering the second half is strong,” CEO Greg Brown said in a statement.
Motorola projected third-quarter adjusted profit in the range of $2.99 to $3.04 per share, compared with estimates of $3 per share.
Second-quarter adjusted net income attributable to Motorola solutions stood at $458 million, compared with $354 million a year ago.
The company provides critical-communications gear like walkie-talkie, video-surveillance cameras, and software solutions helping communities that the governments and businesses serve during emergency.
The U.S. government and home office of the United Kingdom are the largest customers of Motorola Solutions.
Motorola’s second-quarter revenue rose 12% to $2.4 billion, slightly above market estimates of $2.36 billion, while its adjusted earnings were $2.65 per share, above market estimates of $2.51.
(Reporting by Jaspreet Singh in Bengaluru; Editing by Maju Samuel)
