Motorola Mobility reports $56M quarterly net loss

MotorolaMotorola Mobility on Thursday reported a net loss of $56 million, or $0.19 a share, for the second quarter, compared with net earnings of $80 million, or $0.27 a share, in the year ago period.

However, the company saw a year-on-year increase of 28 per cent in revenue to $3.3 billion during the three months. The figure is slightly better than the prediction of Wall Street analysts. Earnings of 9 cents per share also surpassed analysts’ prediction of 6 cents per share.

Strong sales in Latin America and China helped the company to enjoy a rise of 41 per cent in revenue from mobile devices. In the home division, revenue jumped to $907.

Motorola Mobility said it shipped as many as 11 million devices, including smartphones and 440,000 Xoom tablets, during the quarter.

Motorola Mobility’s CEO Sanjay Jha said they expected to achieve profitability in mobile devices in the coming months of 2011.

Speaking on the topic, Jha said, “With a focus on profitable growth and delivering differentiated LTE smartphones and tablets, we expect to achieve profitability in mobile devices in the fourth quarter and for the full-year 2011.”

For the whole year, the company expects to ship 21 million to 23 million mobile devices, including 1.3 million to 1.5 million tablets.

The Illinois-based Motorola Mobility spun out of its parent company Motorola in January this year to become a separately-traded body.