Motorola Solutions (MSI) Q3 2026 Earnings Review: record orders lift the annual outlook
Earnings results
- EPS beat
Actual: $4.69 adjusted profit per share · Cons.: $4.42
- Revenue beat
Actual: $3.376B · Cons.: about $3.25B
- Guidance raised
FY26 adjusted EPS: $17.94–$17.99 vs $17.62–$17.72; revenue: $13.05B vs $12.975B.
What the company reported
Record third-quarter orders lifted Motorola Solutions backlog to $16.6 billion, supporting higher full-year revenue, adjusted earnings and operating cash flow expectations.
Q3 2026 earnings recap
Motorola Solutions raised its annual sales and profit outlook as record orders lifted its backlog to $16.6 billion, giving investors stronger visibility into future demand for safety and communications systems.
- Adjusted profit per share of $4.69 beat the $4.42 forecast and revenue of $3.38 billion topped the roughly $3.25 billion estimate, with acquisitions contributing $211 million to sales growth.
- Management lifted its full-year adjusted profit forecast to $17.94–$17.99 per share from $17.62–$17.72 and raised expected revenue to $13.05 billion from $12.98 billion.
- Adjusted operating margin improved to 32.5% from 30.5%, but reported profit per share fell 8% to $3.06 as a higher performance-linked payment obligation for the Silvus acquisition weighed on results.
- Free cash flow fell to $589 million from $733 million because of higher tax and interest payments, despite management raising its annual operating cash flow expectation to $3.05 billion.
- The November 4 regular close valued the stock at about 40 times trailing reported profit, putting pressure on strong orders to become profitable growth.
- Shares rose 1.2% before results and closed above their 20-day and 50-day averages near the recent $497–499 high area, making the next regular close a useful test of the advance.
Watch how quickly the order backlog becomes revenue and cash, because higher memory costs, acquisition integration and government spending changes could limit the benefit of strong demand.
Financials, technicals and earnings
Charts through Nov 4, 2026.
Technical setup and risks
Investors should watch conversion of the order backlog into sales and cash against rising memory costs, acquisition financing costs and a valuation near forty times trailing reported profit.
AI-assisted earnings research with verified issuer results. Charts use the stated completed session. Educational information; investing involves risk.