Q2 FY26 · Ended Jul 4, 2026 · View SEC filing
The smaller segment carries an outsized share of profit
Service and software contracts earn a 29.1% operating margin against 23.7% on devices and networks, so service growth lifts profit faster.
For investorsWhat the margin step-up rests on from here
For foundersHow an installed network becomes a service relationship
Gross margin dollars grew 18.8% on 13.3% sales growth, but a refund booked in hardware costs flatters part of the step-up.
Operating earnings rose 16.9%, but higher interest on borrowed money held net earnings growth to 8.6%.
Agencies buy on budget cycles, so a second quarter's $414M of free cash flow says little about the full year.
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Business Lens describes Motorola Solutions from its own filings with the SEC. It is not a view on its shares, a target, or advice to buy, sell or hold anything; figures are as filed and may be restated by the company later. The filing is linked above.
