Motorola Solutions, Inc.
For the period ended Oct 3, 2026. Filed Nov 4, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Oct 3, 2026 · Filed Nov 4, 2026
MSI$514.51-0.5%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-07-04; filed 2026-08-05.
0000068505-26-000028
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-10-03; filed 2026-11-04.
0000068505-26-000044
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 177 previous paragraphs and 185 current paragraphs.
63 unchanged; 78 reworded; 41 added; 35 removed; 1 previous and 3 current paragraphs rearranged.
Tables are not compared: 23 previous and 23 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (41)
Current report
Third Quarter Financial Results
Current report
•Net sales were $3.4 billion in the third quarter of 2026 compared to $3.0 billion in the third quarter of 2025.
Current report
•Operating earnings were $777 million in the third quarter of 2026 compared to $770 million in the third quarter of 2025.
Current report
•inclusive of $11 million from favorable currency rates.
Current report
•a 18% increase in the International region, inclusive of revenue from acquisitions, driven by an increase in MCN, Video and Command Center.
Current report
The 12% increase in the Products and Systems Integration segment was driven by the following:
Current report
•$186 million, or 12%, growth in MCN, inclusive of revenue from acquisitions, driven by the North America and International regions;
Current report
•inclusive of $7 million from favorable currency rates.
Current report
The 13% increase in the Software and Services segment was driven by the following:
Current report
•inclusive of $4 million from favorable currency rates.
Current report
•a 1.0% increase in gross margin as a percentage of net sales in the Products and Systems Integration segment, inclusive of acquisitions, primarily driven by higher sales, including favorable mix, partially offset by higher supply chain costs.
Current report
•a 0.3% increase in gross margin as a percentage of net sales in the Software and Services segment, inclusive of acquisitions, primarily driven by higher sales, including favorable mix.
Current report
SG&A expenses increased 4% in the third quarter of 2026 compared to the third quarter of 2025 primarily driven by:
Current report
SG&A expenses were 14.9% of net sales in the third quarter of 2026 compared to 16.1% of net sales in the third quarter of 2025.
Current report
R&D expenditures increased 16% in the third quarter of 2026 compared to the third quarter of 2025 primarily driven by:
Current report
R&D expenditures were 8.2% of net sales in the third quarter of 2026 compared to 7.9% of net sales in the third quarter of 2025.
Current report
•$29 million of acquisition related transaction fees in the third quarter of 2026 compared to $55 million of acquisition related transaction fees in the third quarter of 2025, primarily related to the acquisition of Silvus.
Current report
•a $12 million decrease in the Products and Systems Integration segment, primarily driven by a contingent earnout charge related to the Silvus acquisition, lower gains recognized from ongoing Hytera litigation recoveries, and higher supply chain costs, partially offset by higher sales, including favorable mix.
Current report
Results of Operations—Nine months ended October 3, 2026 compared to Nine months ended September 27, 2025
Current report
•inclusive of $105 million from favorable currency rates.
Current report
•a 23% increase in the International region, inclusive of revenue from acquisitions, driven by an increase in MCN, Video and Command Center; and
Current report
•inclusive of $56 million from favorable currency rates.
Current report
The 13% increase in the Software and Services segment was driven by the following:
Current report
•a 1.4% increase in gross margin as a percentage of net sales in the Software and Services segment, inclusive of acquisitions, primarily driven by higher sales, including favorable mix.
Current report
SG&A expenses increased 5% in the first nine months of 2026 compared to the first nine months of 2025 primarily driven by:
Current report
SG&A expenses were 15.6% of net sales in the first nine months of 2026 compared to 16.5% of net sales in the first nine months of 2025.
Current report
•$178 million of contingent earnout charges related to the Silvus acquisition in the first nine months of 2026 that did not occur in the first nine months of 2025;
Current report
•$42 million of acquisition related transaction fees in the first nine months of 2026 compared to $63 million of acquisition related transaction fees in the first nine months of 2025.
Current report
•a $47 million loss on derivative instruments in the first nine months of 2026 compared to a $41 million gain on derivative instruments in the first nine months of 2025;
Current report
During the first nine months of 2026, we recorded net reorganization of business charges of $42 million, including $30 million of charges recorded within Other charges and $12 million of charges in Cost of sales in our Condensed Consolidated Statements of Operations. Included in the $42 million were charges of $46 million related to employee separation costs, partially offset by $4 million of reversals for employee separation accruals no longer needed.
Current report
Cash flows provided by operating activities increased by $1 million in the first nine months of 2026 compared to the first nine months of 2025, totaling $1.6 billion in both periods, driven primarily by:
Current report
•Expanded operating earnings of $67 million driven by an increase in net sales and gross profit, inclusive of higher non-cash charges of $445 million which included contingent earnout charges related to the Silvus acquisition, depreciation and intangible asset amortization expense and share-based compensation expense; partially offset by
Current report
•An increase in cash paid for income and withholding taxes, net of refunds, of $61 million, primarily driven by higher cash tax payments on our U.S. federal income tax return;
Current report
•An increase of $164 million in cash paid for interest driven by elevated levels of outstanding debt issued in connection with the funding of the Silvus acquisition in 2025;
Current report
•An increase of $50 million in cash paid for employee contributions into the employee stock purchase plan due to timing of the settlement window; and
Current report
•An increase in cash used for working capital, primarily due to higher investments in inventory of $396 million to provide operational flexibility to respond to customer demand and mitigate production risks associated with supply chain volatility, partially offset by improved collections of trade receivables and favorable billing terms across our contract assets and contract liabilities, which contributed $320 million year over year.
Current report
•$1.8 billion decrease in net proceeds from the issuance of debt in the first nine months of 2026 driven by the issuance of our 4.85% senior notes due 2029 and 5.65% senior notes due 2036 compared to the issuance of debt in the first nine months of 2025 driven by the issuance of our 4.85% senior notes due 2030, 5.2% senior notes due 2032, 5.55% senior notes due 2035, and term loan due 2028 (defined below);
Current report
•$178 million increase in the repayment of short-term debt driven by the partial repayment of our 2025 364-day facility in the first nine months of 2026 compared to the repayment of our 7.5% debentures and 6.5% debentures in the first nine months of 2025; and
Current report
•$56 million increase in the payment of dividends in the first nine months of 2026 compared to the first nine months of 2025; partially offset by
Current report
•$121 million decrease in cash used for the purchase of common stock in the first nine months of 2026 compared to the first nine months of 2025; and
Showing the first 40 of 41 passages. Open the source sections for the rest.
Removed paragraphs (35)
Previous report
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
Previous report
Second Quarter Financial Results
Previous report
•Net sales were $3.1 billion in the second quarter of 2026 compared to $2.8 billion in the second quarter of 2025.
Previous report
•Operating earnings were $809 million in the second quarter of 2026 compared to $692 million in the second quarter of 2025.
Previous report
•inclusive of $35 million from favorable currency rates.
Previous report
•a 25% increase in the International region, inclusive of revenue from acquisitions, driven by an increase in MCN, Video and Command Center; and
Previous report
The 15% increase in the Products and Systems Integration segment was driven by the following:
Previous report
•inclusive of $19 million from favorable currency rates.
Previous report
•inclusive of $16 million from favorable currency rates.
Previous report
•a 1.5% increase in gross margin as a percentage of net sales in the Software and Services segment, inclusive of acquisitions, primarily driven by higher sales, including favorable mix.
Previous report
SG&A expenses increased 10% in the second quarter of 2026 compared to the second quarter of 2025 primarily driven by:
Previous report
SG&A expenses were 15.8% of net sales in the second quarter of 2026 compared to 16.3% of net sales in the second quarter of 2025.
Previous report
•a $90 million increase in the Products and Systems Integration segment, primarily driven by higher sales, including favorable mix, IEEPA tariff refunds, improved operating leverage, and a gain on the Hytera litigation partially offset by higher employee incentive costs, including share-based compensation, an increase in intangible amortization expense, higher expenses associated with acquired businesses, higher direct material costs, and a contingent earnout charge related to the Silvus acquisition; and
Previous report
•a $17 million loss on derivatives in the second quarter of 2026 compared to a $34 million gain on derivatives in the second quarter of 2025;
Previous report
Results of Operations—Six months ended July 4, 2026 compared to Six months ended June 28, 2025
Previous report
•inclusive of $94 million from favorable currency rates.
Previous report
•a 26% increase in the International region, inclusive of revenue from acquisitions, driven by an increase in MCN, Video and Command Center; and
Previous report
•a 5% increase in the North America region, inclusive of revenue from acquisitions, driven by an increase in Video, Command Center and MCN.
Previous report
The 8% increase in the Products and Systems Integration segment was driven by the following:
Previous report
•$185 million, or 7% growth in MCN, inclusive of revenue from acquisitions, driven by the International region partially offset by the North America region;
Previous report
The 14% increase in the Software and Services segment was driven by the following:
Previous report
•inclusive of $45 million from favorable currency rates.
Previous report
•a 2.0% increase in gross margin as a percentage of net sales in the Software and Services segment, inclusive of acquisitions, primarily driven by higher sales, including favorable mix; and
Previous report
•gross margin as a percentage of net sales in the Products and Systems Integration segment remained flat, inclusive of acquisitions, primarily driven by higher sales and IEEPA tariff refunds, offset by higher direct material costs.
Previous report
SG&A expenses increased 6% in the first half of 2026 compared to the first half of 2025 primarily driven by:
Previous report
SG&A expenses were 16.0% of net sales in the first half of 2026 compared to 16.7% of net sales in the first half of 2025.
Previous report
R&D expenditures increased 10% in the first half of 2026 compared to the first half of 2025 primarily driven by:
Previous report
R&D expenditures were 8.8% of net sales in the first half of both 2026 and 2025.
Previous report
•a $91 million contingent earnout charge related to the Silvus acquisition in the first half of 2026 that did not occur in the first half of 2025; partially offset by
Previous report
•a $44 million loss on derivatives in the first half of 2026 compared to a $48 million gain on derivatives in the first half of 2025; and
Previous report
During the first half of 2026, we recorded net reorganization of business charges of $30 million, including $20 million of charges recorded within Other charges and $10 million of charges in Costs of sales in our Condensed Consolidated Statements of Operations. Included in the $30 million were charges of $33 million related to employee separation costs, partially offset by $3 million of reversals for employee separation accruals no longer needed.
Previous report
The increase in cash flows provided by operating activities from the first half of 2025 to the first half of 2026 was driven primarily by higher earnings, net of non-cash charges, partially offset by increased investments in inventory and higher interest payments in the first half of 2026 compared to the first half of 2025.
Previous report
•$2 billion in net proceeds from the issuance of debt in the first half of 2025 that did not recur in the first half of 2026; partially offset by
Previous report
•$94 million decrease in share repurchases in the first half of 2026 compared to the first half of 2025; and
Previous report
•$52 million decrease in repayments of short-term debt in the first half of 2026 compared to the first half of 2025.
Reworded paragraphs (78)
Previous wording
This commentary should be read in conjunction with the condensed consolidated financial statements and related notes thereto of Motorola Solutions, Inc. (“Motorola Solutions,” the “Company,” “we,” “our,” or “us”) for the three and six months ended July 4, 2026 and June 28, 2025, as well as our consolidated financial statements and related notes thereto and management’s discussion and analysis of financial condition and results of operations in our Annual Report on Form 10-K for the year ended December 31, 2025 (the "Form 10-K").
Current wording
This commentary should be read in conjunction with the condensed consolidated financial statements and related notes thereto of Motorola Solutions, Inc. (“Motorola Solutions,” the “Company,” “we,” “our,” or “us”) for the three and nine months ended October 3, 2026 and September 27, 2025, as well as our consolidated financial statements and related notes thereto and management’s discussion and analysis of financial condition and results of operations in our Annual Report on Form 10-K for the year ended December 31, 2025 (the "Form 10-K").
Previous wording
•MCN: Infrastructure, mobile ad-hoc network ("MANET") technology, devices (two-way radio and broadband, including both for public safety and professional and commercial radio ("PCR")), software and artificial intelligence ("AI")-powered capabilities. MCN includes installation and integration, backed by managed and support services, to help assure mission-critical communications availability, security and resiliency;
Current wording
•MCN: Infrastructure, mobile ad-hoc network ("MANET") technology, devices (two-way radio and broadband, including both for public safety and professional and commercial radio ("PCR")), counter-unmanned aircraft systems (“C-UAS”), software and artificial intelligence ("AI")-powered capabilities. MCN includes installation and integration, backed by managed and support services, to help assure mission-critical communications availability, security and resiliency;
Previous wording
•Net earnings attributable to Motorola Solutions, Inc. was $557 million, or $3.33 per diluted common share, in the second quarter of 2026, compared to $513 million, or $3.04 per diluted common share, in the second quarter of 2025.
Current wording
•Net earnings attributable to Motorola Solutions, Inc. was $512 million, or $3.06 per diluted common share, in the third quarter of 2026, compared to $562 million, or $3.33 per diluted common share, in the third quarter of 2025.
Previous wording
•Operating cash flow increased $137 million to $920 million in the first half of 2026 compared to $783 million in the first half of 2025.
Current wording
•Operating cash flow increased $1 million in the first nine months of 2026 compared to the first nine months of 2025, totaling $1.6 billion in both periods.
Previous wording
•We repurchased $444 million of common stock and paid $402 million in dividends in the first half of 2026.
Current wording
•We repurchased $538 million of common stock and paid $602 million in dividends in the first nine months of 2026.
Previous wording
On February 20, 2026, a U.S. Supreme Court ruling invalidated tariffs imposed under the International Emergency Economic Powers Act ("IEEPA"). On April 20, 2026, the U.S. Customs and Border Protection launched a system to process IEEPA tariff refund claims. Following the implementation of this system, we have determined that the recovery of a portion of these refunds is now probable. Accordingly, during the quarter ended July 4, 2026, we recognized a favorable adjustment of $60 million recorded within Cost of sales in our Condensed Consolidated Statements of Operations.
Current wording
On February 20, 2026, a U.S. Supreme Court ruling invalidated tariffs imposed under the International Emergency Economic Powers Act ("IEEPA"). On April 20, 2026, the U.S. Customs and Border Protection launched a system to process IEEPA tariff refund claims. Following the implementation of this system, we have determined that the recovery of a portion of these refunds is now probable. Accordingly, during the nine months ended October 3, 2026, we recognized a favorable adjustment of approximately $70 million recorded within Cost of sales in our Condensed Consolidated Statements of Operations.
Previous wording
The results of operations for the second quarter of 2026 are not necessarily indicative of the operating results to be expected for the full year. Historically, we have experienced higher revenues in the fourth quarter as compared to the rest of the quarters of our fiscal year as a result of the purchasing patterns of our customers.
Current wording
The results of operations for the third quarter of 2026 are not necessarily indicative of the operating results to be expected for the full year. Historically, we have experienced higher revenues in the fourth quarter as compared to the rest of the quarters of our fiscal year as a result of the purchasing patterns of our customers.
Previous wording
The Products and Systems Integration segment’s net sales represented 61% of our net sales in the second quarter of 2026 and 60% in the second quarter of 2025. The Software and Services segment’s net sales represented 39% of our net sales in the second quarter of 2026 and 40% in the second quarter of 2025.
Current wording
The Products and Systems Integration segment’s net sales represented 63% of our net sales in the third quarter of each of 2026 and 2025. The Software and Services segment’s net sales represented 37% of our net sales in the third quarter of each of 2026 and 2025.
Previous wording
Net sales increased $555 million, or 10%, in the first half of 2026 compared to the first half of 2025. The $286 million, or 14%, increase in net sales within the Software and Services segment was driven by an increase of 13% in the North America region and an increase of 15% in the International region. The $269 million, or 8%, increase in net sales within the Products and Systems Integration segment was driven by an increase of 35% in the International region, while the North America region remained flat. Net sales includes:
Current wording
Net sales increased $367 million, or 12%, in the third quarter of 2026 compared to the third quarter of 2025. The $221 million, or 12%, increase in net sales within the Products and Systems Integration segment was driven by an increase of 21% in the International region and an increase of 8% in the North America region. The $146 million, or 13%, increase in net sales within the Software and Services segment was driven by an increase of 13% in both the North America and International regions. Net sales includes:
Previous wording
•an increase in the Products and Systems Integration segment, inclusive of $210 million of revenue from acquisitions, driven by an increase in MCN and Video;
Current wording
•an increase in the Products and Systems Integration segment, inclusive of $169 million of revenue from acquisitions, driven by an increase in MCN and Video;
Previous wording
•an increase in the Software and Services segment, inclusive of $33 million of revenue from acquisitions, driven by an increase in MCN, Command Center and Video; and
Current wording
•an increase in the Software and Services segment, inclusive of $42 million of revenue from acquisitions, driven by an increase in MCN, Command Center and Video; and
Previous wording
•a 9% increase in the North America region, inclusive of revenue from acquisitions, driven by an increase in MCN, Video and Command Center.
Current wording
•a 10% increase in the North America region, inclusive of revenue from acquisitions, driven by an increase in MCN, Video and Command Center; and
Previous wording
•$84 million, or 16% growth in Video, driven by the North America and International regions; and
Current wording
•$35 million, or 12%, growth in Video, driven by the International and North America regions; and
Previous wording
•$158 million, or 13% growth in MCN, inclusive of revenue from acquisitions, driven by the North America and International regions;
Current wording
•$84 million, or 13%, growth in MCN, inclusive of revenue from acquisitions, driven by the North America and International regions;
Previous wording
•$32 million, or 14%, growth in Command Center, inclusive of revenue from acquisitions, driven by the North America and International regions;
Current wording
•$37 million, or 16%, growth in Command Center, inclusive of revenue from acquisitions, driven by the North America and International regions;
Previous wording
•$17 million, or 8%, growth in Video, inclusive of revenue from acquisitions, driven by the North America and International regions; and
Current wording
•$25 million, or 11%, growth in Video, inclusive of revenue from acquisitions, driven by the North America region and partially offset by the International region; and
Previous wording
Gross margin was 53.6% of net sales in the second quarter of 2026 compared to 51.1% in the second quarter of 2025. The primary drivers of this increase in gross margin as a percentage of net sales were:
Current wording
Gross margin was 52.4% of net sales in the third quarter of 2026 compared to 51.6% in the third quarter of 2025. The primary drivers of this increase in gross margin as a percentage of net sales were:
Previous wording
•a $34 million, or 5%, increase in Products and Systems Integration SG&A expenses primarily due to higher expenses associated with acquired businesses and higher employee incentive costs, including share-based compensation, partially offset by lower expenses related to legal matters, including Hytera-related expenses; and
Current wording
•a $12 million, or 3%, increase in Products and Systems Integration SG&A expenses primarily due to higher expenses associated with acquired businesses, partially offset by lower expenses related to legal matters, including Hytera-related expenses; and
Previous wording
•a $13 million, or 14%, increase in Software and Services SG&A expenses primarily due to higher employee incentive costs, including share-based compensation, and higher expenses associated with acquired businesses.
Current wording
•a $7 million, or 7%, increase in Software and Services SG&A expenses primarily due to higher expenses associated with acquired businesses.
Previous wording
•a $19 million, or 22%, increase in Software and Services R&D expenditures primarily due to investments in Command Center, higher employee incentive costs, including share-based compensation, and higher expenses associated with acquired businesses; and
Current wording
•a $20 million, or 22%, increase in Software and Services R&D expenditures primarily due to investments in Video, higher expenses associated with acquired businesses, and higher employee incentive costs, including share-based compensation; and
Previous wording
•a $10 million, or 7%, increase in Products and Systems Integration R&D expenditures primarily due to higher expenses associated with acquired businesses and higher employee incentive costs, including share-based compensation.
Current wording
•a $19 million, or 13%, increase in Products and Systems Integration R&D expenditures primarily due to higher expenses associated with acquired businesses and higher employee incentive costs, including share-based compensation.
Previous wording
Other charges increased $73 million in the second quarter of 2026 compared to the second quarter of 2025. The increase was primarily driven by:
Current wording
Other charges increased $149 million in the third quarter of 2026 compared to the third quarter of 2025. The increase was primarily driven by:
Previous wording
•a $16 million contingent earnout charge related to the Silvus acquisition in the second quarter of 2026 that did not occur in the second quarter of 2025; partially offset by
Current wording
•an $87 million contingent earnout charge related to the Silvus acquisition in the third quarter of 2026 that did not occur in the third quarter of 2025;
Previous wording
•a $20 million gain on Hytera litigation for amounts recovered through legal proceedings due to the theft of our trade secrets recognized in the second quarter of 2026 compared to $10 million of gains on Hytera litigation in the second quarter of 2025.
Current wording
•a $13 million gain on Hytera litigation for amounts recovered through legal proceedings due to the theft of our trade secrets recognized in the third quarter of 2026 compared to $74 million of gains on Hytera litigation in the third quarter of 2025; and
Previous wording
•$95 million of intangible amortization expense in the second quarter of 2026 compared to $39 million of intangible amortization expense in the second quarter of 2025; and
Current wording
•$97 million of intangible amortization expense in the third quarter of 2026 compared to $66 million of intangible amortization expense in the third quarter of 2025; partially offset by
Previous wording
Operating earnings increased $117 million, or 17%, in the second quarter of 2026 compared to the second quarter of 2025. The increase in Operating earnings was due to:
Current wording
Operating earnings increased $7 million, or 1%, in the third quarter of 2026 compared to the third quarter of 2025. The increase in Operating earnings was due to:
Previous wording
•a $27 million increase in the Software and Services segment, primarily driven by higher sales, including favorable mix, partially offset by higher employee incentive costs, including share-based compensation, and higher expenses associated with acquired businesses.
Current wording
•a $19 million increase in the Software and Services segment, primarily driven by higher sales, including favorable mix, partially offset by higher expenses associated with acquired businesses and an increase in intangible amortization expense; partially offset by
Previous wording
The $48 million increase in Interest expense, net in the second quarter of 2026 compared to the second quarter of 2025 was primarily driven by higher outstanding debt.
Current wording
The $21 million increase in Interest expense, net in the third quarter of 2026 compared to the third quarter of 2025 was primarily driven by higher outstanding debt and lower interest income.
Previous wording
The $7 million decrease in Other, net in the second quarter of 2026 compared to the second quarter of 2025 was primarily driven by:
Current wording
The $33 million decrease in Other, net in the third quarter of 2026 compared to the third quarter of 2025 was primarily driven by:
Previous wording
•a $13 million gain on fair value adjustments to equity investments in the second quarter of 2026 compared to a $18 million gain on fair value adjustments to equity investments in the second quarter of 2025; and
Current wording
•a $9 million loss on fair value adjustments to equity investments in the third quarter of 2026 compared to a $8 million gain on fair value adjustments to equity investments in the third quarter of 2025;
Previous wording
•a $11 million gain on foreign currency in the second quarter of 2026 compared to a $42 million loss on foreign currency in the second quarter of 2025.
Current wording
•a $4 million loss on foreign currency in the third quarter of 2026 compared to a $4 million gain on foreign currency in the third quarter of 2025; and
Previous wording
•$25 million of net periodic pension and postretirement benefit in the second quarter of 2026 compared to $30 million of net periodic pension and postretirement benefit in the second quarter of 2025; partially offset by
Current wording
•$25 million of net periodic pension and postretirement benefit in the third quarter of 2026 compared to $31 million of net periodic pension and postretirement benefit in the third quarter of 2025.
Previous wording
The effective tax rate for the six months ended July 4, 2026 of 22% was lower than the effective tax rate for the six months ended June 28, 2025 of 23%, primarily due to higher excess tax benefits of share-based compensation and an increased deduction for foreign-derived deduction-eligible income.
Current wording
The effective tax rate for the three months ended October 3, 2026 of 24% was higher than the effective tax rate for the three months ended September 27, 2025 of 22%, primarily due to lower excess tax benefits of share-based compensation, partially offset by an increased deduction for foreign-derived deduction-eligible income.
Previous wording
The Products and Systems Integration segment's net sales represented 59% of our net sales in the first half of 2026 and 60% in the first half of 2025. Net sales from the Software and Services segment represented 41% of our net sales in the first half of 2026 and 40% in the first half of 2025.
Current wording
The Products and Systems Integration segment's net sales represented 61% of our net sales in the first nine months of each of 2026 and 2025. Net sales from the Software and Services segment represented 39% of our net sales in the first nine months of each of 2026 and 2025.
Previous wording
Net sales increased $368 million, or 13%, in the second quarter of 2026 compared to the second quarter of 2025. The $255 million, or 15%, increase in net sales within the Products and Systems Integration segment was driven by an increase of 36% in the International region and an increase of 9% in the North America region. The $113 million, or 10%, increase in net sales within the Software and Services segment was driven by an increase of 9% in the North America region and an increase of 12% in the International region. Net sales includes:
Current wording
Net sales increased $921 million, or 11%, in the first nine months of 2026 compared to the first nine months of 2025. The $491 million, or 10%, increase in net sales within the Products and Systems Integration segment was driven by an increase of 29% in the International region and an increase of 3% in the North America region. The $430 million, or 13%, increase in net sales within the Software and Services segment was driven by an increase of 13% in the North America region and an increase of 14% in the International region. Net sales includes:
Previous wording
•an increase in the Products and Systems Integration segment, inclusive of $392 million of revenue from acquisitions, driven by an increase in MCN and Video; and
Current wording
•an increase in the Products and Systems Integration segment, inclusive of $562 million of revenue from acquisitions, driven by an increase in MCN and Video;
Previous wording
•an increase in the Software and Services segment, inclusive of $71 million of revenue from acquisitions, driven by an increase in MCN, Command Center and Video;
Current wording
•an increase in the Software and Services segment, inclusive of $112 million of revenue from acquisitions, driven by an increase in MCN, Command Center and Video; and
Previous wording
The 10% increase in the Software and Services segment was driven by the following:
Current wording
The 10% increase in the Products and Systems Integration segment was driven by the following:
Previous wording
•$211 million, or 16%, growth in MCN, inclusive of revenue from acquisitions, driven by the International and North America regions;
Current wording
•$370 million, or 9% growth in MCN, inclusive of revenue from acquisitions, driven by the International and North America regions;
Previous wording
•$44 million, or 15%, growth in Video, driven by the International and North America regions; and
Current wording
•$121 million, or 15% growth in Video, driven by the North America and International regions; and
Showing the first 40 of 78 pairs. Open the source sections for the rest.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
•a 7% increase in the North America region, inclusive of revenue from acquisitions, driven by an increase in MCN, Video and Command Center.
Current report — wording carried from elsewhere
•$242 million, or 13% growth in MCN, inclusive of revenue from acquisitions, driven by the North America and International regions;
Current report — wording carried from elsewhere
•a $1 million loss on fair value adjustments to equity investments in the first nine months of 2026 compared to a $21 million gain on fair value adjustments to equity investments in the first nine months of 2025; and
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
•$64 million, or 10%, growth in MCN, inclusive of revenue from acquisitions, driven by the North America and International regions;