Motorola Inc. (MOT) Warns for the 2Q
Struggling cell-phone maker Motorola Inc. warned Wednesday that second-quarter results will be worse than expected and it will post an operating loss because of poor results in its mobile devices business in Asia and Europe.
The company also said it no longer expects mobile devices -- its largest business -- to be profitable in 2007.
Weak results had been expected for the quarter, continuing a tailspin that began last fall when aggressive attempts to increase market share by lowering phone prices began to backfire and hurt profit margins. Company executives warned as far back as February that the first half of 2007 would be "rocky."
The company also said it no longer expects mobile devices -- its largest business -- to be profitable in 2007.
Weak results had been expected for the quarter, continuing a tailspin that began last fall when aggressive attempts to increase market share by lowering phone prices began to backfire and hurt profit margins. Company executives warned as far back as February that the first half of 2007 would be "rocky."
Labels: MOT, Motorola Inc.
posted by Stock Administrator @ 9:14 PM
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