Motorola warns....the unit number looks ok so the ASP's must have fallen through the floor.
biz.yahoo.com
Motorola Announces Preliminary Estimates of Fourth Quarter 2006 Results
Thursday January 4, 8:01 pm ET
SCHAUMBURG, Ill., Jan. 4 /PRNewswire-FirstCall/ -- Motorola, Inc. (NYSE: MOT - News) today announced preliminary estimates of fourth quarter 2006 financial results. Although the company has not finalized its financial results for the fourth quarter, sales are now estimated to be in the range of $11.6 to $11.8 billion, versus the guidance given on October 17, 2006, of $11.8 to $12.1 billion. Fourth-quarter GAAP earnings per share are now estimated to be in the range of $0.13 to $0.16, which is below the company's internal forecast at the start of the fourth quarter. The estimated earnings per share range includes estimated net charges, primarily non-cash, of approximately $0.10 per share relating to items that are typically highlighted in the company's earnings press releases, including investment-related losses, stock compensation expenses, business reorganization charges and unusual tax expenses. The fourth quarter will represent Motorola's 24th consecutive quarter of positive operating cash flow.
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The shortfall in both sales and earnings occurred in the Mobile Devices segment and is attributed to an unfavorable geographical and product-tier mix of sales as compared to the company's internal forecast. In the fourth quarter, Mobile Devices unit sales were approximately 66 million units, up 23 percent from the third quarter of 2006 and up 48 percent from the fourth quarter of 2005.
The fourth-quarter results for both the Networks & Enterprise and Connected Home segments are expected to meet or exceed the internal expectations of the company at the start of the fourth quarter.
"We are very disappointed with our fourth-quarter financial performance," said Ed Zander, chairman and CEO, "but we remain committed to the strategic direction and long-term financial targets we discussed at our annual analysts meeting in July 2006. We will discuss plans to improve operating profitability on January 19 when we announce fourth-quarter earnings."
Motorola's fourth-quarter results are scheduled to be announced at approximately 6:30 a.m., Eastern Time (USA) on Friday, January 19. Motorola will host its quarterly conference call from 7:30 - 8:30 a.m., Eastern Time (USA) on Friday, January 19. The conference call will be web-cast live with audio and slides at www.motorola.com/investor. In addition, Motorola will hold an analysts meeting from 10 a.m. - noon, Eastern Time (USA) on Friday, January 19. Motorola's senior management will provide updates on its business strategy and outlook for 2007. This meeting will be web-cast live with audio and slides at: www.motorola.com/investor. |
