Sector Update: Technology Up on Positive Earnings

January 28, 2011

Technology shares are up on positive earnings news from Motorola Solutions Inc. (MSI) and Nokia Corp.'s (NOK) telecom gear venture Nokia Siemens Networks. Motorola Solutions posted a 13% climb in revenue, helped by rise in demand for its wireless equipment. It posted $279 million from operating earnings, compared with operating earnings of $250 million in the year-ago quarter if it had been a standalone company. Motorola Inc. split into Motorola Solutions and Motorola Mobility (MMI) in January. Nokia's (NOK) telecom gear venture Nokia Siemens Networks posted profit above the mean analyst estimate. It is a 50-50 joint venture between Nokia and Siemens (SI). An October-December operating profit of 145 million euros ($198.7 million) was down from 201 million euros a year earlier. The figure is up from a forecast for a 127 million profit by a Reuters poll. But Nokia Siemens said it expects Q1 operating profit margin to be between a -3% and break even.