|
News -
Industry
|
|
Thursday, 30 July 2009 15:22 |
|
Motorolas seismic job culls of last year may have contributed to it posting a narrower second quarter loss than analysts were expecting. Wall St was expecting a loss of 4 cents per share, when in fact it turned out to be 1 cent per share. A loss is still a loss, but in this financial climate these results are being seen as optimistic, especially as the world and his dog knows they are about to launch a range of Android handsets.
Tavis McCourt, an analyst at Morgan Keegan & Co. in Nashville, Tennessee. said “Cost cuts are starting to work their way into the financials,”, who has a “market perform” rating on the stock. “Sustainable profitability will still require a successful handset refresh.”
Co-Chief Executive Sanjay Jha said he expected further improvements in earnings to be realised as their programme of cost cutting continues. "Quarter-on-quarter sales will be flat", he said, "but we will see a narrow operating loss due to the efficiency measure we have implemented". Jha promised two Android handsets will be released ready for the Christmas holidays and added they will be sold by two separate carriers.
Of particular interest to Android fans was Jhas comment at a recent analysts meeting that Motorola woudl "take Android into feature phones". This is the lucrative mass-mraket smartphone segment which not even the mighty iPhone has been able to make a dent in, so if he pulls this off the turnaround in Motorolas fortunes will be historic.

|