SCHAUMBURG, Ill. (AP) _ Motorola Solutions Inc.’s second-quarter results surpassed Wall Street’s expectations even though its net income plunged 83 percent and revenue declined slightly amid currency fluctuations.
Its shares rose more than 6 percent in midday trading.
The Schaumburg, Illinois-based communications equipment maker earned $142 million, or 68 cents per share, in the latest quarter. That’s down from $824 million, or $3.25 per share, in the same period a year earlier.
Analysts surveyed by Zacks Investment Research had expected earnings of 54 cents per share in the latest quarter.
Motorola’s results a year ago had included a one-time gain of $746 million from the sale of its enterprise business to Zebra Technologies.
Its revenue amounted to $1.37 billion in the period, beating Street forecasts of $1.34 billion.
Separately, the communications equipment maker said it is getting a $1 billion investment from private equity firm Silver Lake, which is gaining two seats on its board. Motorola plans to spend the investment on its public safety and services businesses and to help cover a $2 billion share buyback. The companies expect the deal to close in the third quarter.
For the current quarter ending in October, Motorola expects its per-share earnings to range from 68 cents to 73 cents.
The company expects full-year earnings in the range of $3.20 to $3.40 per share.
Motorola Solutions was once part of Motorola Inc., which split into two companies in 2011. Google bought the other half, Motorola Mobility, in 2012, then sold it in separate deals to Lenovo, and Arris Group, keeping most of its patent portfolio.
Motorola Solutions’ sale last year of its enterprise business to Zebra Technologies was for more than $3 billion.
Its shares rose $3.72, or 6.2 percent, to $63.94 in midday trading. Its shares had decreased 10 percent since the beginning of the year, while the Standard & Poor’s 500 index has increased almost 2 percent.