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Technology Stocks : Nokia (NOK) -- Ignore unavailable to you. Want to Upgrade?

To: tero kuittinen who wrote (4091)	4/10/2000 6:46:00 PM
From: Ruffian	Respond to of 34857

<Operating profits rose to $123 million from $10 million a year ago. Orders were up significantly in Europe and the Americas and were higher in Japan and Asia Pacific.> UPDATE 1-Motorola profits jump 144 percent (Adds details paras 1, 5-13, stock quote para 4) SCHAUMBURG, Ill., April 10 (Reuters) - Motorola Inc. (NYSE:MOT - news), the world's No. 2 wireless phone maker, said on Monday its first-quarter profits before one-time items jumped 144 percent, topping Wall Street forecasts, amid strong sales of cellular phones and computer chips. Motorola said it earned $449 million, or 59 cents per share excluding charges relating to the acquisition of General Instrument Corp. as well as certain one-time gains. That compares with $184 million, or 26 cents per share, before one-time items in the year-ago quarter. Analysts were forecasting a first-quarter profit of 58 cents per share, according to First Call/Thomson Financial, which tracks such data. An options trader contacted before the earnings were released said so-called ``whisper' numbers -- or unpublished estimates -- were running as high as 62 cents. Ahead of the news, shares in Motorola slipped 2-7/8 to close at 149 in New York Stock Exchange trading. Revenues in the first quarter climbed to $8.8 billion from $7.3 billion a year ago, boosted by strong sales of wireless phones, semiconductors and other products. Motorola said the acquisition of leading set-top box maker General Instrument also helped revenues. ``We are especially pleased by the results in our new broadband communications sector, which was formed after the merger with General Instrument, the improvements in our network systems business, and the sequential growth in quarterly earnings for semiconductors,' Robert Growney, president and chief operating officer, said in a statement. In the semiconductor products segment -- a closely watched area because Motorola is among the first major technology companies to report earnings -- sales increased 24 percent to $1.9 billion and orders rose 21 percent to $2.0 billion. Operating profits rose to $123 million from $10 million a year ago. Orders were up significantly in Europe and the Americas and were higher in Japan and Asia Pacific. In the personal communications segment, Motorola's largest in terms of revenues, sales rose 24 percent to $3.2 billion and orders increased 20 percent to $3.2 billion. Operating profits declined to $49 million from $83 million a year ago, hurt by a shift in the wireless phone product mix toward low-tier products with smaller margins, increased costs for certain components in short supply, and significantly higher investments in engineering and advertising. The shift in product mix, which was widely expected by analysts, resulted from an increase in the number of prepaid programs, which feature low-tier products offered by wireless service providers, particularly in Europe. In the network systems segment, which includes Motorola's wireless infrastructure business, sales increased 11 percent to $1.8 billion and orders were up 4 percent to $1.8 billion. The gains would have been even stronger excluding the sharp drop in satellite communications equipment demand following the demise of global satellite telephone company Iridium LLC. Operating profits for that unit increased to $280 million from $193 million a year ago. More Quotes and News: Motorola Inc (NYSE:MOT - news) Related News Categories: US Market News

To: tero kuittinen who wrote (4091)	4/10/2000 6:48:00 PM
From: Lazlo Pierce	Read Replies (1) \| Respond to of 34857

But here's the spin cbs.marketwatch.com. <<<<Motorola is also reaping the benefits of surging demand for cellular phones. Snyder said he estimates that handsets will make up almost half of Motorola's total revenue. "Year-to-year, we are looking for 35 percent growth," he said. "And they are definitely gaining market share.">>

To: tero kuittinen who wrote (4091)	4/10/2000 6:51:00 PM
From: t2	Read Replies (1) \| Respond to of 34857

tero, Thanks for the song.... I mean the instant analysis on MOT earnings analysis.<g> Not only does Motorola show just 24% sales growth (which is below global handset sales growth) - they actually have the order growth coming in below sales growth. Not only are both sales growth and order growth telling us about more ground lost to Nokia; Motorola has also managed to decimate the profitability of the consumer product division You have basically quantified what I have been feeling about the industry and NOKIA.