Motorola Solutions

MSI Q1 2026 Earnings

Reported May 7, 2026 at 4:14 PM ET · SEC Source

Q1 26 EPS

$3.37

BEAT +3.83%

Est. $3.25

Q1 26 Revenue

$2.71B

BEAT +0.52%

Est. $2.70B

vs S&P Since Q1 26

-9.8%

TRAILING MARKET

MSI -10.4% vs S&P -0.5%

Market Reaction

Did MSI Beat Earnings? Q1 2026 Results

Motorola Solutions kicked off fiscal 2026 on solid footing, posting first-quarter revenue of $2.71 billion, up 7.4% year-over-year, and non-GAAP EPS of $3.37, beating the $3.25 consensus estimate by 3.83%, as robust demand for public safety communica… Read more Motorola Solutions kicked off fiscal 2026 on solid footing, posting first-quarter revenue of $2.71 billion, up 7.4% year-over-year, and non-GAAP EPS of $3.37, beating the $3.25 consensus estimate by 3.83%, as robust demand for public safety communication equipment and video security systems drove results ahead of expectations. The standout driver was the Software and Services segment, which surged 18% to $1.16 billion with non-GAAP operating margin expanding sharply to 34.2% from 28.7% a year ago, more than offsetting modest 1% growth in Products and Systems Integration. The company also reported a record Q1 ending backlog of $15.70 billion, up 11% year-over-year, underpinning confidence in the raised full-year outlook; Motorola now expects 2026 revenue of approximately $12.80 billion and non-GAAP EPS of $16.87 to $16.99, both above prior guidance. For Q2, management guided to roughly 8.5% revenue growth and non-GAAP EPS of $3.82 to $3.88, signaling continued momentum heading into the second half of the year.

Key Takeaways

  • Software and Services segment grew 18% driven by growth in MCN, Command Center and Video
  • International growth was the primary driver of the 7% revenue increase
  • Revenue from acquisitions was $219 million in the quarter
  • Foreign currency tailwinds of $60 million in the quarter
  • Record Q1 ending backlog of $15.7 billion, up 11% year-over-year
  • Non-GAAP operating margin expanded 50 basis points to 28.8%
  • Lower non-GAAP effective tax rate of 19.1% vs. 21.1% driven by higher benefits from share-based compensation

MSI Forward Guidance & Outlook

For Q2 2026, the company expects revenue growth of approximately 8.5% versus Q2 2025 and non-GAAP EPS between $3.82 and $3.88 per share, assuming approximately 168 million fully diluted shares and a non-GAAP effective tax rate of approximately 23%. For full-year 2026, the company raised guidance to revenue of approximately $12.8 billion (up from prior $12.7 billion) and non-GAAP EPS of $16.87 to $16.99 (up from prior $16.70 to $16.85), assuming approximately 168 million fully diluted shares and a non-GAAP effective tax rate of approximately 22.5%.

24/7 Wall St

MSI YoY Financials

Q1 2026 vs Q1 2025, source: SEC Filings

24/7 Wall St

MSI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“Q1 was an outstanding start to the year, with strong sales and earnings. Our record first-quarter backlog was driven by robust, broad-based demand. As a result, we're raising both our revenue and earnings guidance for the full year 2026.”

— Greg Brown, Q1 2026 Earnings Press Release