Motorola Solutions (MSI) Investor presentation summary

Investment thesis and market opportunity

• Nearly half of revenue is now from video, software, and recurring services, with rapid growth in cloud and SaaS revenue streams.

• Total addressable market (TAM) is $81B, with $37B in video security & access control, $24B in mission critical networks, and $20B in command center technologies.

• Demand for security and access control solutions is driving enterprise growth, supported by a shift to feature-rich, higher-margin solutions.

• Durable cash flows and a strong balance sheet support ongoing capital allocation, including $11B in acquisitions since 2015.

Financial performance and guidance

• 2024 revenue reached $10.8B, with 36% from software & services and 17% CAGR in non-GAAP EPS since 2015.

• Free cash flow grew 152% since 2015, and operating cash flow is projected to reach $2.75B in 2025, up 15%.

• 2025 revenue guidance is approximately $11.65B, with non-GAAP EPS of $15.09–$15.15.

• Backlog has grown steadily, driven by multi-year service agreements and cloud adoption.

Segment and technology overview

• Mission Critical Networks (MCN) generated $8.1B in 2024, with 13K+ LMR networks globally and strong adoption of managed services and cybersecurity.

• Video Security & Access Control delivered $1.9B in 2024 revenue, with over 5M fixed cameras deployed and 90% of the portfolio featuring embedded AI.

• Command Center software is used in 3.6K of 6K U.S. 911 centers, with $0.8B in 2024 revenue and double-digit growth.

• Integration of AI and cloud solutions is driving margin expansion and recurring revenue across all segments.