Motorola reports US$3.6B loss as phone sales fall by half

Motorola reported a net loss of US$3.6 billion, or US$1.57 per share, for the fourth quarter, attributing much of it to tax charges and goodwill write-downs.

The company reported revenue for the quarter of US$7.14 billion, down 26 per cent from a year earlier, with the biggest decline in its mobile phone division, where revenue fell 51 per cent to US$2.35 billion.

Charges relating to business reorganization accounted for a loss of US$0.05 per share. Motorola says it expects these and other reorganization measures will help it save around US$1.5 billion this year.

Looking ahead, Motorola said that through the first quarter it expected losses to continue at between US$0.10 and US$0.12 per share, excluding the cost of reorganization, but did not comment on the period after that.

The company has suspended the payment of dividends until further notice.

Motorola also said it is looking for a new CFO, after the previous post holder, Paul J. Liska, resigned. The company has appointed its corporate controller Edward J. Fitzpatrick as interim CFO.

Would you recommend this article?

Share

Thanks for taking the time to let us know what you think of this article!
We'd love to hear your opinion about this or any other story you read in our publication.


Jim Love, Chief Content Officer, IT World Canada

Featured Download

CDN Staff
CDN Staffhttps://channeldailynews.com
For over 25 years, CDN has been the voice of the IT channel community in Canada. Today through our digital magazine, e-mail newsletter, video reports, events and social media platforms, we provide channel partners with the information they need to grow their business.

Related Tech News

CDN in your inbox

CDN delivers a critical analysis of the competitive landscape detailing both the challenges and opportunities facing solution providers. CDN's email newsletter details the most important news and commentary from the channel.