Motorola Solutions (NYSE: MSI) reported record second-quarter sales, orders and backlog as strong customer demand for public safety communications, video technologies and command center software drove double-digit growth across each of its core technology segments, executives said during the company’s Aug. 5 earnings call.
The company posted 13% revenue growth in the quarter, fueled by strong demand for land mobile radio (LMR), video and command center technologies, prompting Motorola Solutions to raise its full-year revenue and earnings guidance.
“We’re seeing strength across our safety and security ecosystem,” Chairman and CEO Greg Brown said. “Our video business continues to perform well... and Command Center continues its strong momentum as customers are increasingly adopting our software and AI assist solutions to simplify their complex emergency response workflows.”
Public safety communications remain a growth engine
Executives pointed to continued investment in mission-critical communications infrastructure as one of the company’s strongest growth drivers. Brown said Motorola is seeing increasing demand for its APX NEXT radios and next-generation D-Series P25 infrastructure as agencies modernize legacy communications systems.
“Our latest generation APX NEXT devices continue to redefine mission-critical reliability and are increasingly integrated with new features that leverage our entire ecosystem,” Brown said. “On the P25 network side, interest in D-Series is growing as agencies prioritize the modernization of their core mission-critical communications platforms.”
The company highlighted several major public safety communications awards during the quarter, including a $52 million next-generation P25 infrastructure order from a U.S. federal customer, a $34 million P25 infrastructure award from a state and local customer in the Southeast, a $22 million P25 infrastructure project for St. Louis County, Missouri, and large P25 device orders from Atlanta and Miami-Dade Corrections.
CFO Jason Winkler said the infrastructure wins demonstrate “the continuing customer demand for D-Series and a strong foundation for future Software and Services growth.”
Software and services continue expanding
Software and Services revenue increased 10% during the quarter, supported by growth across mission-critical communications, video and command center technologies. Motorola cited major software and service wins including a $20 million Command Center deployment for the Montana Department of Justice, a $14 million Command Center order for Hillsborough County, Florida, a $24 million P25 services agreement with a North American energy company and a $16 million P25 services order for Fulton County, Georgia.
Executives also emphasized the company’s ecosystem strategy, noting that APX NEXT radios are increasingly integrated with software capabilities spanning Motorola’s communications, video and command center portfolio.
AI-assisted video ecosystem gains traction
Motorola secured two major mobile video wins during the quarter: a $25 million order from the Florida Highway Patrol and a $24 million order from the Kansas City Police Department. Brown said both agencies are first-time users of the company’s body-worn camera and in-car video solutions, underscoring continued adoption of integrated video ecosystems.
“These deals were highly competitive and what’s most encouraging is that both of these large agencies are first-time users of our body-worn camera and in-car video solutions,” Brown said.
Brown added that customers are increasingly adopting software and AI Assist capabilities to simplify emergency response workflows.
Counter-drone strategy expands
Motorola also reiterated plans to acquire D-Fend Solutions for $1.5 billion later this year. Brown said D-Fend’s non-kinetic cyber takeover capabilities, combined with Silvus Technologies’ MANET communications platform, position the company to address growing public safety and defense requirements for unmanned systems and counter-drone operations.
“When you consider Silvus’ leading-edge MANET communications for defense, and D-Fend’s leading-edge detection and mitigation for public safety, I think we’re very well positioned to address our customers’ rapidly growing needs for unmanned systems in defense and counter-drone solutions in public safety,” Brown said.
Record backlog supports outlook
Motorola ended the quarter with a record $15.6 billion backlog, up 11% from a year earlier, and raised its full-year revenue and earnings guidance. Brown said record orders and backlog leave the company well positioned heading into the second half of the year.
(Editor’s note: This article was produced with the assistance of generative AI using Motorola Solutions' publicly available earnings call transcript as source material. The content was reviewed, edited and verified by the SecurityInfoWatch editorial team to ensure accuracy, context and adherence to our editorial standards.)
