Motorola Solutions (MSI) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached a record $3.0 billion, up 8% year-over-year, with growth across all technologies and regions.

• GAAP EPS was $3.33; non-GAAP EPS rose 9% to $4.06 year-over-year.

• Record Q3 operating cash flow of $799 million and ending backlog of $14.6 billion.

• Closed $4.4 billion acquisition of Silvus Technologies, expanding technology portfolio and contributing to backlog.

• Returned $303 million to shareholders via share repurchases and dividends in Q3.

Financial highlights

• Revenue increased to $3,009 million from $2,790 million, up 8% year-over-year.

• Non-GAAP operating earnings rose 11% to $918 million; non-GAAP margin at 30.5%.

• GAAP operating margin was 25.6%; gross margin improved to 51.6%.

• Free cash flow for Q3 was $733 million, up $31 million year-over-year.

• Q3 ending backlog reached $14.6 billion, up $467 million year-over-year.

Outlook and guidance

• Q4 2025 revenue growth expected at ~11%, with non-GAAP EPS guidance of $4.30–$4.36.

• Full-year 2025 revenue guidance at ~$11.65 billion (7.7% growth); non-GAAP EPS raised to $15.09–$15.15.

• Effective tax rate for full year now assumed at 22.5%.

• 2026 revenue expected around $12.6 billion, with continued operating margin and cash flow growth.

• Silvus expected to deliver $500 million revenue in 2025, with 20% growth outlook.