Q2 26 EPS Adjusted
$4.41
BEAT +14.45%
Est. $3.85
Includes a $60M (pre-tax) benefit, or $0.25 per share, related to IEEPA tariff refunds recorded during the quarter.
Q2 26 Revenue
$3.13B
BEAT +4.37%
Est. $3.00B
vs S&P Since Q2 26
+3.7%
BEATING MARKET
MSI +4.3% vs S&P +0.6%
Market Reaction
Did MSI Beat Earnings? Q2 2026 Results
Motorola Solutions delivered a standout second quarter for fiscal 2026, beating Wall Street on both top and bottom lines as demand for its public safety technology continued to accelerate. The company posted adjusted non-GAAP EPS of $4.41, ahead of t… Read more Motorola Solutions delivered a standout second quarter for fiscal 2026, beating Wall Street on both top and bottom lines as demand for its public safety technology continued to accelerate. The company posted adjusted non-GAAP EPS of $4.41, ahead of the $3.85 consensus estimate by 14.45%, extending its streak of beating EPS expectations to five consecutive quarters, while revenue of $3.13 billion cleared estimates by 4.37% and grew 13.3% year-over-year. The headline results were bolstered by a $60 million pre-tax benefit, or approximately $0.25 per share, from IEEPA tariff refunds following a U.S. Supreme Court ruling that invalidated tariffs imposed under the International Emergency Economic Powers Act. Segment momentum was broad-based, with Products and Systems Integration climbing 15% to $1.91 billion and Software and Services rising 10% to $1.23 billion. Record backlog of $15.60 billion, up 11% year-over-year, reinforced management's confidence in raising its full-year 2026 revenue outlook to approximately $12.98 billion and non-GAAP EPS guidance to a range of $17.62 to $17.72, well above prior targets.
Key Takeaways
- • Products and Systems Integration segment grew 15% driven by Mission Critical Networks and Video Security and Access Control
- • Software and Services segment grew 10% driven by MCN, Command Center and Video
- • Growth in both North America and International markets
- • Revenue from acquisitions contributed $243 million in the quarter
- • Foreign currency tailwinds of $35 million in the quarter
- • Non-GAAP operating margin expanded 330 bps to 32.9% driven by higher sales and improved operating leverage
- • $60 million IEEPA refund benefit contributed approximately 190 bps to operating margin
- • Record Q2 ending backlog of $15.6 billion, up 11% year-over-year
MSI Forward Guidance & Outlook
For Q3 2026, the company expects revenue growth of approximately 8% versus Q3 2025 and non-GAAP EPS between $4.39 and $4.44, assuming approximately 168 million fully diluted shares and a non-GAAP effective tax rate of approximately 23%. For full-year 2026, the company raised its outlook to revenue of approximately $12.975 billion (up from prior guidance of $12.8 billion) and non-GAAP EPS between $17.62 and $17.72 (up from prior guidance of $16.87 to $16.99), assuming approximately 168 million fully diluted shares and a non-GAAP effective tax rate between 22% and 22.5%.
MSI YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
MSI Revenue by Segment
With YoY comparisons, source: SEC Filings
“Q2 was exceptional across the board. This performance, along with record Q2 orders, is driving very strong momentum into the second half of this year.”
— Greg Brown, Q2 2026 Earnings Press Release
MSI Earnings Trends
MSI vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
MSI EPS Trend
Earnings per share: estimate vs actual
MSI Revenue Trend
Quarterly revenue: estimate vs actual
MSI Quarterly Results
6 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 BEAT Includes a $60M (pre-tax) benefit, or $0.25 per share, related to IEEPA tariff refunds recorded during the quarter. | $3.85 | $4.41 | +14.45% | $3.13B | +4.37% |
| Q1 26 BEAT | $3.25 | $3.37 | +3.83% | $2.71B | +0.52% |
| Q4 25 BEAT FY | $4.35 | $4.59 | +5.44% | $3.38B | +1.05% |
| FY Full Year | $15.16 | $15.38 | +1.48% | $11.68B | +0.32% |
| Q3 25 BEAT | $3.85 | $4.06 | +5.45% | $3.01B | +0.68% |
| Q2 25 BEAT | $3.36 | $3.57 | +6.21% | $2.77B | +1.18% |
| Q1 25 BEAT | $3.01 | $3.18 | +5.66% | $2.53B | +0.42% |