UPDATE: Motorola Solutions Posts Better-Than-Expected Q4 Results, Issues Weak Forecast

reported better-than-expected earnings for the fourth quarter. However, the company issued a weak forecast. The Schaumburg, Illinois-based company posted quarterly earnings of $201 million, or $0.87 per share, compared to $343 million, or $1.31 per share, in the year-ago period. Excluding certain items, the company's earnings slipped to $1.25 per share from $1.37 per share. Motorola Solutions had expected earnings of $1.13 to $1.19 per share. Its sales came in flat at $1.82 billion. However, analysts were expecting earnings of $1.12 per share on revenue of $1.78 billion. North America sales climbed 4% in the quarter. Product sales rose 3% to $1.25 billion, while service sales slipped 4.6% to $577 million. During the quarter, Motorola returned $1.5 billion to shareholders through share repurchases and cash dividends. "Our fourth-quarter results demonstrate a solid finish to a transformational year," said Greg Brown, chairman and CEO of Motorola Solutions. "The business continues to show signs of improvement, driven by growth in North America and significantly higher backlog. Our ongoing progress to simplify our organization and rationalize our cost structure will further position us for long-term success." For the year, Motorola Solutions projects earnings of $3.15 to $3.35 per share. It expects revenue to be flat to down 2%. Analysts projected earnings of $3.35 per share on 1% revenue growth. For the current quarter, Motorola Solutions projects earnings of $0.22 to $0.27 per share, versus analysts' estimates of $0.46 per share. Motorola Solutions shares rose 1.91% to close at $64.01 yesterday.