Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Motorola Solutions Inc., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).
- Gross Profit Margin
- The gross profit margin exhibited a generally stable trend with slight fluctuations from 2019 to mid-2024. Beginning in the early data points available in 2020, the margin was around 49.8%, declining gradually to a low of approximately 46.4% by late 2022. From that low, there was a consistent recovery trend, rising steadily to surpass 50% by mid-2024. This indicates improving efficiency in cost of goods sold relative to revenue in the most recent quarters.
- Operating Profit Margin
- The operating profit margin showed a modest downward trend in 2020, starting just above 20% and dipping to around 17.4% by December 2022. However, since then, a strong recovery is evident, with margins climbing continuously to reach over 24% by the second quarter of 2024. This positive trajectory suggests enhanced operational control and profitability improvement over the latest periods.
- Net Profit Margin
- The net profit margin demonstrated an upward trend from 2019 through 2021, increasing from about 11% to a peak exceeding 17% around late 2022 and early 2023. Despite this peak, the margin declined noticeably thereafter, falling to approximately 13.65% and slightly recovering to 14.05% by mid-2024. This volatility indicates fluctuations in overall profitability, possibly influenced by variations in expenses, taxes, or non-operating income.
- Return on Equity (ROE)
- Data for return on equity is sparse and becomes available only from early 2023. The early recorded values are anomalously high, with extremely elevated percentages above 1000%, which sharply decline over subsequent quarters. From mid-2023 onwards, ROE continues decreasing steadily to approximately 183% by mid-2024. Although still very high, this declining trend may indicate normalization after exceptional gains or changes in equity structure affecting returns.
- Return on Assets (ROA)
- The return on assets metric reveals a steady increase from 8.16% in early 2019 to a peak of 13.69% in late 2022. Following this, there is a moderate decline to around 10.97% by mid-2024. This pattern suggests growing asset efficiency through 2022, with some recent moderation in the ability to generate profit per unit of asset employed.
Return on Sales
Return on Investment
Gross Profit Margin
Motorola Solutions Inc., gross profit margin calculation (quarterly data)
| Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Dec 31, 2021 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 31, 2020 | Sep 26, 2020 | Jun 27, 2020 | Mar 28, 2020 | Dec 31, 2019 | Sep 28, 2019 | Jun 29, 2019 | Mar 30, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Gross margin | 1,339) | 1,192) | 1,455) | 1,280) | 1,189) | 1,046) | 1,351) | 1,031) | 990) | 857) | 1,183) | 1,045) | 952) | 860) | 1,146) | 909) | 766) | 787) | 1,220) | 1,007) | 931) | 773) | |||||||
| Net sales | 2,628) | 2,389) | 2,848) | 2,556) | 2,403) | 2,171) | 2,707) | 2,373) | 2,140) | 1,892) | 2,320) | 2,107) | 1,971) | 1,773) | 2,273) | 1,868) | 1,618) | 1,655) | 2,376) | 1,994) | 1,860) | 1,657) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Gross profit margin1 | 50.53% | 50.18% | 49.81% | 49.47% | 47.82% | 47.05% | 46.41% | 46.54% | 48.17% | 48.70% | 49.44% | 49.27% | 49.04% | 48.87% | 48.66% | 48.98% | 49.46% | 50.03% | 49.84% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Gross Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| Apple Inc. | 45.59% | 45.03% | 44.13% | 43.45% | 43.18% | 43.06% | 43.31% | 43.31% | 43.32% | 43.02% | 41.78% | 41.01% | 39.88% | 38.78% | 38.23% | 38.19% | 38.11% | 37.95% | 37.82% | — | — | — | |||||||
| Arista Networks Inc. | 64.01% | 62.94% | 61.95% | 60.76% | 60.18% | 60.27% | 61.07% | 61.82% | 62.77% | 63.64% | 63.80% | 63.95% | 63.87% | 63.72% | 63.94% | — | — | — | — | — | — | — | |||||||
| Cisco Systems Inc. | 64.22% | 63.69% | 62.73% | 61.99% | 61.92% | 62.23% | 62.55% | 63.14% | 63.30% | 63.73% | 64.02% | 63.94% | 64.17% | 64.07% | 64.26% | 64.41% | 63.97% | 63.44% | 62.94% | — | — | — | |||||||
| Dell Technologies Inc. | 23.36% | 22.57% | 22.18% | 21.42% | 20.92% | 21.40% | 21.63% | 24.59% | 27.13% | 29.32% | 31.22% | 31.42% | 31.49% | 31.46% | 31.40% | — | — | — | — | — | — | — | |||||||
| Super Micro Computer Inc. | 16.39% | 17.44% | 18.01% | 18.23% | 17.80% | 16.78% | 15.40% | 14.22% | 13.68% | 14.18% | 15.03% | 15.14% | 16.03% | 15.91% | 15.76% | 16.22% | 15.72% | 15.12% | 14.16% | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).
1 Q2 2024 Calculation
Gross profit margin = 100
× (Gross marginQ2 2024
+ Gross marginQ1 2024
+ Gross marginQ4 2023
+ Gross marginQ3 2023)
÷ (Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023
+ Net salesQ3 2023)
= 100 × (1,339 + 1,192 + 1,455 + 1,280)
÷ (2,628 + 2,389 + 2,848 + 2,556)
= 50.53%
2 Click competitor name to see calculations.
- Net Sales
- Net sales exhibit a cyclical pattern with seasonal fluctuations each year. Starting from $1,657 million in March 2019, sales showed a steady increase through 2019, peaking at $2,376 million in December 2019. A decline occurred in early 2020, coinciding with the onset of the pandemic, with sales dropping to $1,618 million by June 2020. Sales gradually recovered throughout the remainder of 2020 and into 2021, reaching new highs of $2,707 million in December 2021 and maintaining strong levels thereafter. In 2023 and early 2024, net sales have shown continued growth, reaching $2,848 million in December 2023 before a slight decrease to $2,389 million in March 2024 and a rebound to $2,628 million in June 2024.
- Gross Margin (US$ in millions)
- Gross margin closely follows net sales trends but demonstrates some volatility. Beginning at $773 million in March 2019, it increased substantially through the remainder of 2019, reaching $1,220 million by December 2019. A sharp drop appeared during the early phases of the pandemic, hitting lows near $766 million in June 2020. Gross margin then recovered strongly in the following quarters, peaking at $1,351 million by December 2022, which represents the highest figure in the observed period. In 2023 and early 2024, gross margin showed a generally upward trajectory with minor fluctuations, achieving $1,455 million in December 2023 and slightly decreasing afterwards but remaining strong at $1,339 million in June 2024.
- Gross Profit Margin (%)
- The gross profit margin percentage data begins in March 2020 and shows a relatively stable trend with minor variations. The margin started at approximately 49.8% in spring 2020, declined gradually to a low of about 46.4% by the end of 2021, possibly reflecting increased costs or changing sales mix during that period. From 2022 onwards, there is a clear upward trend in gross profit margin, improving steadily from the mid-46% range to over 50% by the end of 2023 and entering 2024. This improvement indicates enhanced operational efficiency or pricing power despite fluctuations in absolute gross margins and sales.
- Overall Trend and Insights
- The data reveals a resilient sales performance with cyclical variations influenced by both seasonal factors and external economic events, notably the pandemic impact beginning in early 2020. Following an initial decline, net sales and gross margins recovered strongly and consistently, reaching peak levels by late 2022 and maintaining momentum into 2023 and mid-2024. The improvement in gross profit margin percentage over the latter part of the data set suggests effective cost management or favorable product mix adjustments contributing to profitability enhancements. The correlation of increasing gross profit margin percentages with rising dollar gross margins and net sales underscores a positive operational trend.
Operating Profit Margin
Motorola Solutions Inc., operating profit margin calculation (quarterly data)
| Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Dec 31, 2021 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 31, 2020 | Sep 26, 2020 | Jun 27, 2020 | Mar 28, 2020 | Dec 31, 2019 | Sep 28, 2019 | Jun 29, 2019 | Mar 30, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Operating earnings | 644) | 519) | 738) | 639) | 518) | 399) | 691) | 373) | 358) | 239) | 548) | 451) | 370) | 298) | 554) | 352) | 218) | 259) | 590) | 413) | 349) | 229) | |||||||
| Net sales | 2,628) | 2,389) | 2,848) | 2,556) | 2,403) | 2,171) | 2,707) | 2,373) | 2,140) | 1,892) | 2,320) | 2,107) | 1,971) | 1,773) | 2,273) | 1,868) | 1,618) | 1,655) | 2,376) | 1,994) | 1,860) | 1,657) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Operating profit margin1 | 24.37% | 23.68% | 22.99% | 22.84% | 20.52% | 19.39% | 18.23% | 17.40% | 18.87% | 19.40% | 20.40% | 20.59% | 19.96% | 18.88% | 18.65% | 18.88% | 19.36% | 20.43% | 20.05% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| Apple Inc. | 30.98% | 30.76% | 29.82% | 29.23% | 29.16% | 29.41% | 30.29% | 30.53% | 30.93% | 30.90% | 29.78% | 28.79% | 27.32% | 25.24% | 24.15% | 24.52% | 24.48% | 24.71% | 24.57% | — | — | — | |||||||
| Arista Networks Inc. | 41.23% | 40.01% | 38.52% | 37.29% | 36.12% | 35.71% | 34.86% | 33.69% | 32.55% | 31.56% | 31.37% | 30.79% | 30.76% | 30.72% | 30.19% | — | — | — | — | — | — | — | |||||||
| Cisco Systems Inc. | 27.21% | 27.17% | 26.37% | 25.89% | 26.10% | 26.91% | 27.09% | 27.36% | 27.09% | 26.98% | 25.76% | 25.60% | 25.93% | 26.23% | 27.63% | 27.81% | 27.47% | 26.91% | 27.39% | — | — | — | |||||||
| Dell Technologies Inc. | 5.54% | 5.45% | 5.64% | 5.88% | 5.12% | 4.99% | 4.60% | 5.26% | 5.51% | 5.72% | 5.46% | 4.00% | 3.71% | 3.01% | 2.85% | — | — | — | — | — | — | — | |||||||
| Super Micro Computer Inc. | 9.40% | 9.65% | 10.68% | 10.64% | 10.39% | 8.75% | 6.45% | 4.52% | 3.27% | 3.20% | 3.48% | 2.79% | 2.85% | 2.52% | 2.57% | 3.23% | 3.17% | 3.05% | 2.78% | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).
1 Q2 2024 Calculation
Operating profit margin = 100
× (Operating earningsQ2 2024
+ Operating earningsQ1 2024
+ Operating earningsQ4 2023
+ Operating earningsQ3 2023)
÷ (Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023
+ Net salesQ3 2023)
= 100 × (644 + 519 + 738 + 639)
÷ (2,628 + 2,389 + 2,848 + 2,556)
= 24.37%
2 Click competitor name to see calculations.
- Operating earnings
- Operating earnings exhibited volatility over the observed periods. Initially, from March 2019 to December 2019, there was a clear upward trend from 229 million USD to 590 million USD. This peak was followed by a sharp decline in the first half of 2020, reaching a low of 218 million USD in June 2020. Subsequently, operating earnings showed a recovery trend, gradually increasing to a high of 691 million USD by December 2022 and further peaking at 738 million USD in December 2023. The most recent data points indicate a slight decrease, with 644 million USD reported in June 2024, but the earnings remain substantially higher than the initial periods.
- Net sales
- Net sales displayed a similar fluctuating pattern. There was a pronounced growth from 1.657 billion USD in March 2019 to 2.376 billion USD in December 2019. In early 2020, net sales declined, hitting a trough of 1.618 billion USD in June 2020. From that point forward, net sales steadily increased again, reaching a peak of 2.848 billion USD in December 2023. The last data points through mid-2024 show a slight retreat to 2.628 billion USD but still reflect an overall strong upward trajectory over the entire period.
- Operating profit margin
- The operating profit margin was not available for the earlier periods but became reported starting March 2020 at 20.05%. It slightly fluctuated around the 18.5% to 20.6% range through 2021 and 2022, indicating relatively stable profitability percentages during those years. Beginning in 2023, the margin showed a marked improvement, rising consistently from 20.52% in April 2023 to 24.37% in June 2024. This upward trend in margin suggests increasing operational efficiency or favorable cost management contributing to higher percentages of profit relative to sales.
- Summary of trends
- The financial data reveals a clear cyclical pattern of growth and contraction in both operating earnings and net sales, with significant dips during early 2020 likely related to broader economic challenges. Post-2020, there is a sustained recovery and overall growth trend in sales and earnings, culminating in record highs towards the end of 2023. Additionally, the operating profit margin shows a strong improvement especially in the latest periods, signifying enhanced profitability. Together, these trends point to strengthening financial performance and operational leverage over the recent years.
Net Profit Margin
Motorola Solutions Inc., net profit margin calculation (quarterly data)
| Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Dec 31, 2021 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 31, 2020 | Sep 26, 2020 | Jun 27, 2020 | Mar 28, 2020 | Dec 31, 2019 | Sep 28, 2019 | Jun 29, 2019 | Mar 30, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Net earnings (loss) attributable to Motorola Solutions, Inc. | 443) | (39) | 596) | 464) | 371) | 278) | 589) | 279) | 228) | 267) | 401) | 307) | 293) | 244) | 412) | 205) | 135) | 197) | 243) | 267) | 207) | 151) | |||||||
| Net sales | 2,628) | 2,389) | 2,848) | 2,556) | 2,403) | 2,171) | 2,707) | 2,373) | 2,140) | 1,892) | 2,320) | 2,107) | 1,971) | 1,773) | 2,273) | 1,868) | 1,618) | 1,655) | 2,376) | 1,994) | 1,860) | 1,657) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Net profit margin1 | 14.05% | 13.65% | 17.13% | 17.30% | 15.71% | 14.63% | 14.96% | 13.47% | 14.22% | 15.30% | 15.24% | 15.46% | 14.64% | 13.22% | 12.80% | 10.38% | 11.02% | 11.59% | 11.01% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| Apple Inc. | 26.31% | 26.16% | 25.31% | 24.68% | 24.49% | 24.56% | 25.31% | 25.71% | 26.41% | 26.58% | 25.88% | 25.00% | 23.45% | 21.73% | 20.91% | 21.33% | 21.35% | 21.49% | 21.24% | — | — | — | |||||||
| Arista Networks Inc. | 39.01% | 37.64% | 35.62% | 33.97% | 32.48% | 31.24% | 30.87% | 29.63% | 29.55% | 29.54% | 28.52% | 28.30% | 27.72% | 27.48% | 27.38% | — | — | — | — | — | — | — | |||||||
| Cisco Systems Inc. | 23.49% | 23.40% | 22.13% | 20.89% | 21.26% | 22.00% | 22.91% | 23.28% | 22.94% | 22.44% | 21.26% | 20.92% | 21.09% | 21.76% | 22.75% | 21.32% | 21.44% | 21.15% | 22.39% | — | — | — | |||||||
| Dell Technologies Inc. | 2.03% | 2.01% | 2.39% | 1.74% | 5.07% | 5.49% | 5.50% | 6.83% | 3.92% | 4.21% | 3.45% | 2.64% | 2.29% | 4.85% | 5.01% | — | — | — | — | — | — | — | |||||||
| Super Micro Computer Inc. | 7.92% | 8.29% | 8.98% | 8.93% | 8.70% | 7.38% | 5.49% | 3.96% | 3.00% | 2.89% | 3.14% | 2.69% | 2.71% | 2.56% | 2.52% | 2.72% | 2.58% | 2.37% | 2.05% | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).
1 Q2 2024 Calculation
Net profit margin = 100
× (Net earnings (loss) attributable to Motorola Solutions, Inc.Q2 2024
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q1 2024
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q4 2023
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q3 2023)
÷ (Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023
+ Net salesQ3 2023)
= 100 × (443 + -39 + 596 + 464)
÷ (2,628 + 2,389 + 2,848 + 2,556)
= 14.05%
2 Click competitor name to see calculations.
- Net Earnings Trend
- The net earnings attributable to the company exhibit notable fluctuations over the observed periods. Initially, earnings saw a general upward trend from 151 million in March 2019 to a peak of 589 million by December 2022. This was followed by a sharp decline to -39 million in March 2024, indicating a significant loss, before recovering to 443 million in June 2024. The volatility in earnings, particularly the substantial dip in early 2024, suggests episodic challenges affecting profitability.
- Net Sales Trend
- Net sales demonstrated a mostly consistent increase across the timeline. Starting at 1,657 million in March 2019, sales fluctuated slightly during 2020 but then resumed growth, reaching a high of 2,848 million by December 2023. A slight reduction was observed in the first two quarters of 2024 with sales figures at 2,389 million and 2,628 million respectively. Overall, sales growth suggests expanding market activity or enhanced revenue generation capabilities over the medium term.
- Net Profit Margin Analysis
- Net profit margin percentages originated from the data in late 2019. Margins began at 11.01%, gradually increasing and peaking around 17.3% in late 2023. This steady increase indicates improved efficiency or profitability relative to sales over the period. The margin then tapered slightly to around 14% in the first half of 2024, which may reflect the earnings volatility or cost dynamics during this timeframe.
- Comparative Insights
- The increasing net sales coupled with generally rising profit margins through 2023 suggest effective management of revenue scaling and operational efficiency. However, the sharp earnings loss in early 2024, despite relatively strong sales, implies unusual expenses or impairments adversely impacting profitability. The partial earnings recovery in mid-2024 alongside an uptick in net sales indicates some mitigation of adverse factors but continued volatility.
Return on Equity (ROE)
Motorola Solutions Inc., ROE calculation (quarterly data)
| Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Dec 31, 2021 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 31, 2020 | Sep 26, 2020 | Jun 27, 2020 | Mar 28, 2020 | Dec 31, 2019 | Sep 28, 2019 | Jun 29, 2019 | Mar 30, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Net earnings (loss) attributable to Motorola Solutions, Inc. | 443) | (39) | 596) | 464) | 371) | 278) | 589) | 279) | 228) | 267) | 401) | 307) | 293) | 244) | 412) | 205) | 135) | 197) | 243) | 267) | 207) | 151) | |||||||
| Total Motorola Solutions, Inc. stockholders’ equity (deficit) | 802) | 521) | 724) | 362) | 337) | 234) | 116) | (408) | (443) | (316) | (40) | (263) | (358) | (496) | (558) | (756) | (830) | (948) | (700) | (1,101) | (970) | (1,108) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| ROE1 | 182.54% | 267.18% | 236.05% | 470.17% | 450.15% | 587.18% | 1,175.00% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||||||||||
| Apple Inc. | 135.31% | 136.18% | 156.08% | 157.22% | 151.74% | 167.77% | 196.96% | 171.46% | 151.24% | 139.79% | 150.07% | 135.04% | 110.31% | 96.54% | 87.87% | 80.83% | 72.96% | 64.25% | 61.06% | — | — | — | |||||||
| Arista Networks Inc. | 29.20% | 29.11% | 28.91% | 29.22% | 29.18% | 28.46% | 27.68% | 26.56% | 25.84% | 22.46% | 21.13% | 20.30% | 19.70% | 19.60% | 19.11% | — | — | — | — | — | — | — | |||||||
| Cisco Systems Inc. | 29.06% | 30.04% | 28.44% | 27.12% | 27.25% | 28.56% | 29.70% | 29.72% | 29.94% | 26.69% | 25.66% | 25.41% | 25.89% | 27.42% | 29.57% | 30.20% | 31.11% | 31.95% | 34.62% | — | — | — | |||||||
| Dell Technologies Inc. | — | — | — | — | — | — | — | 75.81% | 78.28% | 114.54% | 131.10% | 275.31% | — | — | — | — | — | — | — | — | — | — | |||||||
| Super Micro Computer Inc. | 23.80% | 28.29% | 32.45% | 33.21% | 31.80% | 27.33% | 20.00% | 14.41% | 10.53% | 9.77% | 10.20% | 8.65% | 8.32% | 7.88% | 7.91% | 8.63% | 8.43% | 8.12% | 7.64% | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).
1 Q2 2024 Calculation
ROE = 100
× (Net earnings (loss) attributable to Motorola Solutions, Inc.Q2 2024
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q1 2024
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q4 2023
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q3 2023)
÷ Total Motorola Solutions, Inc. stockholders’ equity (deficit)
= 100 × (443 + -39 + 596 + 464)
÷ 802 = 182.54%
2 Click competitor name to see calculations.
The net earnings attributable to the company exhibit substantial fluctuations over the observed periods. Initially, earnings rose steadily from 151 million USD in the first quarter of 2019 to a peak of 412 million USD by the end of 2020. This upward momentum experienced some volatility thereafter, with periods of gains such as the increase to 589 million USD in the last quarter of 2022, followed by a significant dip to -39 million USD in the first quarter of 2024, before rebounding to 443 million USD in the subsequent quarter. This pattern suggests episodic challenges impacting profitability alongside periods of recovery.
The total stockholders’ equity reflects a noteworthy trend from a consistent deficit ranging from -1,108 million USD in early 2019 improving progressively to a modest positive 116 million USD by the end of 2022. Post-2022, equity values maintain a positive stance, increasing further to 802 million USD by mid-2024. This transition from deficit to surplus indicates strengthening financial health and potentially improved capital structure or retained earnings accumulation over time.
The return on equity (ROE) metric, which is only reported in the later periods, illustrates extremely high values starting at 1175% and gradually declining to approximately 183% by mid-2024. Although these figures are unusually elevated and may be influenced by the earlier periods of negative or minimal equity, they still suggest strong profitability relative to the equity base during the periods reported. The declining trend in ROE may reflect normalization as equity values improved and earnings fluctuated.
- Net Earnings Trend
- Generally upward from early 2019 through 2020, peaking in late 2022 with notable volatility and a sharp earnings loss in early 2024 followed by recovery.
- Stockholders’ Equity
- Progression from significant negative equity in 2019 to sustained positive territory from late 2022 onward, signaling improved financial stability.
- Return on Equity (ROE)
- Exceptionally high in the reporting periods due to low or negative equity base earlier, showing a declining yet robust profitability indicator in recent quarters.
Return on Assets (ROA)
Motorola Solutions Inc., ROA calculation (quarterly data)
| Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | Dec 31, 2021 | Oct 2, 2021 | Jul 3, 2021 | Apr 3, 2021 | Dec 31, 2020 | Sep 26, 2020 | Jun 27, 2020 | Mar 28, 2020 | Dec 31, 2019 | Sep 28, 2019 | Jun 29, 2019 | Mar 30, 2019 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Net earnings (loss) attributable to Motorola Solutions, Inc. | 443) | (39) | 596) | 464) | 371) | 278) | 589) | 279) | 228) | 267) | 401) | 307) | 293) | 244) | 412) | 205) | 135) | 197) | 243) | 267) | 207) | 151) | |||||||
| Total assets | 13,345) | 13,326) | 13,336) | 12,436) | 12,252) | 12,353) | 12,814) | 11,625) | 11,672) | 11,649) | 12,189) | 11,422) | 11,131) | 10,423) | 10,876) | 10,361) | 10,374) | 10,716) | 10,642) | 10,373) | 9,974) | 9,993) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| ROA1 | 10.97% | 10.45% | 12.81% | 13.69% | 12.38% | 11.12% | 10.64% | 10.11% | 10.31% | 10.89% | 10.21% | 11.00% | 10.37% | 9.56% | 8.73% | 7.53% | 8.12% | 8.53% | 8.16% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||||||||||
| Apple Inc. | 29.75% | 28.55% | 27.51% | 28.28% | 28.40% | 27.45% | 28.29% | 29.63% | 29.07% | 26.38% | 26.97% | 26.32% | 22.63% | 18.06% | 17.73% | 18.41% | 17.86% | 16.89% | 16.32% | — | — | — | |||||||
| Arista Networks Inc. | 21.18% | 21.69% | 20.98% | 20.96% | 20.88% | 20.11% | 19.96% | 18.90% | 17.77% | 15.27% | 14.66% | 14.43% | 13.99% | 13.82% | 13.39% | — | — | — | — | — | — | — | |||||||
| Cisco Systems Inc. | 13.29% | 13.75% | 12.38% | 11.76% | 11.79% | 12.36% | 12.57% | 12.94% | 12.54% | 11.87% | 10.86% | 10.88% | 10.60% | 11.01% | 11.82% | 11.80% | 12.22% | 11.89% | 11.88% | — | — | — | |||||||
| Dell Technologies Inc. | 2.22% | 2.32% | 2.73% | 2.15% | 6.11% | 6.50% | 6.00% | 5.00% | 3.08% | 3.28% | 2.63% | 2.04% | 1.73% | 3.71% | 3.88% | — | — | — | — | — | — | — | |||||||
| Super Micro Computer Inc. | 13.55% | 14.96% | 17.42% | 18.39% | 18.81% | 13.45% | 8.90% | 5.98% | 4.67% | 4.56% | 4.99% | 4.56% | 4.67% | 4.65% | 4.39% | 4.57% | 4.67% | 4.64% | 4.27% | — | — | — | |||||||
Based on: 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-02), 10-Q (reporting date: 2021-07-03), 10-Q (reporting date: 2021-04-03), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30).
1 Q2 2024 Calculation
ROA = 100
× (Net earnings (loss) attributable to Motorola Solutions, Inc.Q2 2024
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q1 2024
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q4 2023
+ Net earnings (loss) attributable to Motorola Solutions, Inc.Q3 2023)
÷ Total assets
= 100 × (443 + -39 + 596 + 464)
÷ 13,345 = 10.97%
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals notable fluctuations and trends over the observed periods for the company's net earnings, total assets, and return on assets (ROA).
- Net Earnings
- The net earnings attributable to the company exhibit considerable variability across quarters. Early data shows a general upward trend with earnings rising from 151 million US dollars in March 2019 to a peak of 589 million US dollars by December 2022. This peak is followed by a decline, including a significant loss of 39 million US dollars in March 2024, before recovering to 443 million US dollars in June 2024. The fluctuations suggest periods of both strong profitability and financial challenges, highlighting volatility in earnings performance.
- Total Assets
- Total assets demonstrate a gradual increase from 9,993 million US dollars in March 2019 to 13,345 million US dollars by June 2024. Despite minor fluctuations, the overall asset base has expanded steadily. This growth in assets may reflect strategic investments, acquisitions, or accumulation of resources supporting company growth and operational capacity.
- Return on Assets (ROA)
- ROA figures, available from the fourth quarter of 2019 onward, indicate an overall improving trend, starting at 8.16% and peaking at 13.69% in September 2023. The ROA generally shows steady enhancement, suggesting increased efficiency in asset utilization to generate profits. A slight decrease towards the end of the timeline to approximately 10.97% indicates some variability but maintains relatively high performance levels compared to the earlier periods where data was not reported.
In summary, the data portrays a company experiencing growth in asset size alongside rising profitability and enhanced efficiency through most of the analyzed timeframe. However, the appearance of a negative net earnings quarter signals a risk area that may warrant further investigation to assess causative factors and long-term impacts on financial stability.