Slides
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Investor Overview January 2026 ● Investment thesis ● Total addressable market ● Who we serve ● Segments and technologies ● Financials ● Capital allocation
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We build and connect technologies to help protect people, property & places. Solving for safer Command Center 3.6K of 6K 911 centers in U.S. use our software solutions Mission Critical Networks 13K Land Mobile Radio (“LMR”) networks worldwide Video Security & Access Control 5M+ fixed video cameras deployed across 300K+ sites 36% of 2024 revenue from Software & Services, a proxy for ARR 17% CAGR Non-GAAP EPS growth since 2015 152% Growth in full-year free cash flow since 2015
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Segments & Technologies Products & Systems Integration Segment Software & Services Segment (primarily recurring) MCN Products and Integration Video Products MCN Services Command Center Video Software $6.9B $3.9B Mission Critical Networks $8.1B Video Security & Access Control $1.9B Command Center $0.8B 2024 Annual Revenue
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* 2026 TAM updated as of January 6 , 2026 ** Excludes China A technology ecosystem for public safety, defense and enterprise security with $81B TAM* Video Security & Access Control Our video security and access control systems, powered by AI, can alert you when action is needed, focusing human attention to help cover more ground and act with more certainty. $37B TAM** Mission Critical Networks Our critical communications devices and networks are designed for the harshest conditions, helping you stay connected and communicate with clarity when it matters most - from everyday routines to a crisis unfolding. $24B TAM Command Center Our command center technologies can bring voice, video and data into a single view to help simplify workflows and provide the overarching perspective to make decisions with greater focus, accuracy and speed. $20B TAM
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Investment thesis Revenue growth ● Nearly half of revenue now Video, software, and recurring Services ● Cloud and SaaS revenue growing rapidly ● Increased demand for security and access control solutions driving enterprise growth Operating margin expansion ● Shift to more feature rich solutions ● Growing cloud and SaaS contribution ● Continued operating leverage Cash flow generation ● Durable cash flows driven by recurring and reoccurring revenue ● 152% growth in annual free cash flow since 2015 ● Strong cash conversion Prudent capital deployment ● Strong balance sheet and durable cash flows drive capital allocation framework ● Reduced outstanding shares by 51% since 2011* ● ~$11B** in accretive acquisitions since 2015 * As of September 27, 2025 ** As of January 6, 2026
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~70% of revenue ~30% of revenue POLICE EMERGENCY MEDICALFIRE UTILITIES EDUCATION HOSPITALS Public Safety Enterprises NATIONAL SECURITY PUBLIC SERVICES CRITICAL INFRASTRUCTURE SCHOOLS MANUFACTURING RETAIL HOSPITALITY & STADIUMS $10.8B 2024 Annual Revenue 72% North America 28% International 64% Products & Systems Integration 36% Software & Services By Region By Segment Who we serve We enable the collaboration between public safety agencies and enterprises for a proactive approach to safety and security.
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Revenue by Geographic Region Region $10.8B* of Revenue International $3.0B of Revenue ● North America ● International ● EMEA/Australia & NZ ● Other 2024 Annual Revenue * China revenues represent <1% of 2024 Annual Revenue 72% 28%
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Revenue Who we serve Public Safety ~70% of Revenue ● Public Safety ● Enterprise ● North America state and local ● U.S. federal agencies ● International public safety 2024 Annual Revenue 2024 $10.8B of Revenue ~70%~30% 62% 12% 26%
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Ongoing Portfolio Transformation Nearly half of revenue now video, software and recurring services 2015 $5.7B of Revenue 2024 $10.8B of Revenue Total Addressable Market ~$13B Total Addressable Market ~$81B* ● Mission Critical Networks Products and Systems Integration ● Services, Command Center, Video Security & Access Control * 2026 TAM updated as of January 6, 2026
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Strong backlog Backlog growth drivers ● Multi-year service agreements ● Cloud adoption ● SaaS and applications ●Software & Services ●Products & SI ($B)
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Strong Financial Track Record Non-GAAP Operating Earnings ($B) Total Revenue Growth ($B) Software & Services Segment Revenue Growth* ($B) Adj.Operating Cash Flow ($B) * Above amounts have been recast to be consistent with the realignment of our former Products and Services segment into our Products and Systems Integration segment and Software and Services segment that took place during the second quarter of 2018 Summary ● Consistent compounded revenue growth and ongoing margin expansion ● Strong durable cash flows used to fund acquisitions and share repurchases Total Revenue Growth ($B) Adj.Operating Cash Flow ($B) +10% Y/Y +12% Y/Y +10% Y/Y(6%) Y/Y +7% Y/Y +15% Y/Y +6% Y/Y+6% Y/Y +41% Y/Y +14% Y/Y +20% Y/Y +14% Y/Y +9% Y/Y +13% Y/Y +8% Y/Y +10% Y/Y +20% Y/Y +8% Y/Y +23% Y/Y +13% Y/Y (11%) Y/Y +14% Y/Y (1%) Y/Y +12% Y/Y +8% Y/Y +5% Y/Y +17% Y/Y
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2025 Guidance October 30, 2025 FY guidance ● Revenue of approx. $11.65B or up ~7.7% ● Non-GAAP EPS $15.09 - $15.15 ● $2.75B of Operating Cash Flow or up ~15% Total Revenue ($B) Non-GAAP EPS $10.8 ~$11.65 $15.09 -$15.15 Operating Cash Flow ($B) $13.84 $2.4 ~$2.75 EEE
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Capital allocation framework drives shareholder value Based on operating cash flow Capex Asset light model Annual Dividend Double digit annual increases since 2015 * As of September 27, 2025 ** $16.4B of share repurchases, resulting in a 51% reduction of share float at average cost of $71.90 since 2011 *** As of January 6, 2026 Share repurchases or acquisitions ~$8.6B* of share repurchases, retiring 23% of share float at average cost of $102.47 since 2015** ~$11B*** of acquisitions since 2015
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Accretive Acquisitions Video Security & Access Control 2018 2019 20202020 2019 2021 2021 2022 2022 2022 2016 2017 2015 2021 2022 Command Center 2016 2019 2017 2022 2022 2022 Mission Critical Networks ~$11B invested since 2015* Estimated 2025 contribution ~$3.4B Revenue Double-digit 2023 Growth rate *As of January 6, 2026 Adj. EBITDA Margin ~20% 2024 2024 2024 2025 2018 2020 2025 2025 2025
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Video Security & Access Control Our video security and access control systems, powered by AI, can alert you when action is needed, focusing human attention to help cover more ground and act with more certainty.
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Current environment Our approach ● 5M+ fixed cameras across 300k+ installations ● Less than 20% of events are detected after the first 20 minutes of live monitoring by a person (1) ● 100TB of body-worn video per month in a large city, 90% of citizens prefer use of body cameras (2) More than just cameras and footage, our video solutions combine computer vision with AI, helping to recognize what’s important and what’s not. Our Vision: To make video monitoring obsolete. Video Security & Access Control (1) Motorola Solutions Research & Study (2) LAPD CompStat Division
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In-car video & license plate analytics Body cameras Fixed video security Access control management Drone as First Responder & Drone Detection Embedded AI locates persons or vehicles, anomaly detection flags unusual motion Radios automate camera activation, send alerts, stream incident video Video, biometrics, weapons detection, card readers in one enterprise system Drone as First Responder and drone detection capabilities integrated into 911 command centers In-car, body and fixed cameras connect for a 360° view, and license plate analytics help find vehicles of interest Video Security & Access Control
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Video Security & Access Control Portfolio $1.9B 2024 Revenue Mobile Video ● Body cameras ● In-car cameras ● License plate recognition solutions and services ● AI-powered analytics ● Video Management ● Drone as First Responder ● Drone detection Purpose-built solutions for both government and enterprise that can enable public-private information sharing and collaboration to better inform and accelerate response. ~30% ~70% Fixed Video & Access Control ● Avigilon Unity on-prem suite ● Avigilon Alta cloud suite ● Specialized cameras ● Specialty sensors ● Remote video monitoring ● AI-powered analytics
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~50% of total video sales in government & public safety, education and healthcare ● Financial Services ● Manufacturing ● Commercial Buildings ● Retail ● Utilities ● Entertainment ● Transportation ● Hospitality $1.9 Billion 2024 Video Revenue ● Gov’t & Public Safety ● Education ● Healthcare
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SVX with Assist Features ● Enhances APX NEXT family with advanced AI capabilities through an integrated body-worn camera ● Provides secure, P25 superior audio that significantly improves AI experience and evidence capture ● Streamlines operations and improves user experience through a converged speaker mic and camera device ● Leverages Assist, our new AI platform, which unifies critical communications and software for public safety
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Gaining share in video security ● $1.9B+ in sales growing double digits in $37B TAM ● 5M+ fixed video cameras deployed across 300K+ sites ● 90% of our fixed video camera portfolio has embedded AI capabilities ● Broad on-prem and cloud fixed video portfolio with global go-to-market reach provides competitive advantage ● Integration opportunities for remote video monitoring ● Integrations enable requests for drone aerial support from the command center or APX NEXT emergency button ● Leveraging existing MCN relationships in U.S. and international Video Security & Access Control 2025 - ~10% - 12% Sales Growth Growth and Monetization
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Mission Critical Networks Our critical communications devices and networks are designed for the harshest conditions, helping you stay connected and communicate with clarity when it matters most - from everyday routines to a crisis unfolding.
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Current environment Our approach ● When disaster strikes, cellular networks can fail or get overloaded - Hurricanes Helene and Milton, Los Angeles wildfires ● 13K+ LMR networks globally, 50+ nationwide & statewide systems ● Growing demand for infrastructureless video and high-bandwidth data in challenging or contested environments. Secure and resilient communications through LMR and mobile ad-hoc networks (“MANET”) can unify voice and multimedia collaboration for critical events Mission Critical Networks
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Software & servicesPublic safety Enterprise Defense P25 and TETRA highly survivable networks and devices, total control of coverage, capacity, maintenance, complemented with broadband connectivity Strong adoption for managed services, software upgrades, remote monitoring and cybersecurity; serving 4M end users PCR networks and devices protect sensitive communications and shield enterprise data MANET secure data, video and voice communications without the need for fixed infrastructure Mission Critical Networks
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$7.5 billion 2023 Services and Software ● Critical networks with expanded scope and new value-added services like cybersecurity ● Software Upgrade Agreements ● Recurring contracts Public Safety Devices ● Multi-year refresh cycles across thousands of customers ● Innovation bringing new features that customers value with higher average selling prices Network Deployment & Accessories ● Network Infrastructure ● System Integration ● Accessories Professional & Commercial Radio ● Serving commercial verticals ● Primarily distributed through channel partners LMR Portfolio Majority of LMR revenue driven by recurring services and multi-year public safety device refresh cycles $2.4B S&S $5.7B P&SI 2024 $8.1B of LMR Revenue* *2024 LMR revenue does not include Silvus Technologies (“Silvus”). With the acquisition of Silvus, we are expanding our LMR technology category to include Silvus’s complementary technology under the new name of Mission Critical Networks or “MCN” beginning in Q3’25.
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Silvus overview ● Adds high-speed mobile ad-hoc network (“MANET”) technology to Motorola Solutions' safety and security ecosystem that enables highly secure data, video and voice communications without the need for fixed infrastructure ● Rapid customer adoption for drone and unmanned systems C2 and communications; additional use cases in border security and public safety ○ Customers include defense agencies, autonomous systems manufacturers, the intelligence community, law enforcement and enterprises globally ● Strong financial profile* ○ ~$500M in 2025 revenue ○ ~45% Adjusted EBITDA margin ● Impact on MSI financials ○ Our "LMR" technology category has expanded to include Silvus’s complementary technology and renamed to “Mission Critical Networks" ○ ~$210M expected revenue contribution in 2025 ○ Non-GAAP EPS* slightly accretive for 2025, inclusive of higher interest expense * Estimated financial information regarding Silvus for 2025 is as of October 30, 2025. Adjusted EBITDA is a non-GAAP measure which excludes highlighted items, including share-based compensation expenses and intangible assets amortization expense
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Silvus use cases Border Security Backhauls video and other sensor data from remote surveillance towers to security operations centers Wildfire Response Streams high-fidelity aerial video and mapping data to front line personnel battling America's biggest wildfires U.S. Department of Defense Provides a rapidly deployable battlefield mesh data network for command and control Unmanned Systems Connects unmanned aerial, ground and naval systems for U.S., NATO and other allied nations International Defense Provides protected communications for manned/unmanned teaming in congested and contested spectrum environments Law Enforcement Used by leading law enforcement agencies to create tactical bubbles to share video and data for large scale public safety events
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f A global leader in critical communications ● 13k+ LMR networks globally, 50+ nationwide & statewide systems ● Networks monetized with recurring services and devices replaced every 6-8 years ● Multi-year services agreements shifting to higher margin offerings: software upgrades, cybersecurity, remote monitoring ● Customers with unique requirements & high expectations for ‘always-on’ performance provides a competitive advantage ● Worldwide network of channel partners to amplify market reach and penetration ● Silvus’ autonomous technology is increasingly used in defense applications to safely provide a greater distance between soldiers and potential threats, helping to save lives while informing better tactical decisions Mission Critical Networks 2025 - “Mid-Single Digit” Sales Growth Growth and Monetization
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Command Center Our command center technologies can bring voice, video and data into a single view to help simplify workflows and provide the overarching perspective to make decisions with greater focus, accuracy and speed.
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Current environment Our approach ● ~3.6K out of 6K 911 centers in the U.S. use our software solutions. ● 10k more lives could be saved each year if 911 could get to callers one minute faster. (1) Software solutions that support the complex process of the public safety workflow from "911 call to case closure." Command Center (1) FCC “Wireless E911 Location Accuracy, Fifth Report and Order,” 2019
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Response Detection Resolution Community tipping, mass notification, panic buttons and 911 call handling & routing Centralized records, evidence management and investigative tools Dispatch & coordination, real-time intelligence & collaboration, field reporting and broadband enabled solutions Command Center Helping public safety agencies, enterprises and communities work together through the phases of an incident as it unfolds.
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$7.5 billion 2023 Command Center 911 call handling & routing Dispatch & records Collaborative workflow applications ● CommandCentral Aware ● Push to talk (PTT) broadband communications ● Mass notification and alerting ● APX NEXT applications ● Incident management ● Cloud-native, on-prem and hybrid ● Assistive AI enhances user workflows and creates efficiencies ● Growing international presence $0.8 Billion 2024 Revenue
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End-to-end platform offered in the cloud and on-prem ● Large software install base of 3.6k 911 centers in the U.S. creates significant expansion opportunity ● Sales of ~$0.8B growing double digits in $20B TAM ● More than 60% of our Command Center customers have one or more of our cloud solutions ● Margin expansion driven by transition to SaaS cloud offerings ● Rave and Noggin bridge enterprise security and public safety with panic button alerting, mass notification, Smart 911 app suite, business continuity management and incident management in a recurring revenue stream ● Video intelligence automates incident triggers and analytics speed operations Command Center 2025 - ~12% Sales Growth Growth and Monetization
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Solving with AI Taking a proactive and responsible approach to using AI to maximize efficiency and effectiveness Human-Centered Application in 3 Areas Automate Analysis Human attention Detect key events and automate workflows Accelerate response Human action Find answers without drowning in information Protect privacy Human judgement Share information quickly while keeping the privacy of unrelated individuals and objects intact
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SVX & Assist Converging the incident workflow from APX NEXT through the Command Center enhances user productivity & drives software attachment opportunity Smart Applications SmartConnect SmartProgramming SmartLocate SmartMapping SmartIncident SmartMessaging ViQi VP APX NEXT Digital Evidence CC DEMS Redaction Assist Transcription Storage Narrative Assist Translation Mobile Apps Responder Platform Citations Police Phone Evidence Narrative Assist SVX Command Center Records Aware Dispatch Lightning (9-1-1) AI-Assisted Applications AI Platform Command Center
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Competitive Landscape Video Security & Access Control Command Center Mission Critical Networks Access Control Video Security * This competitive landscape slide includes a non-exhaustive list of some key competitors in each technology MSI operates. Our mission-critical ecosystem across Video, Command Center and MCN creates competitive differentiation
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Additional Financials
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Strong Balance Sheet * Net Debt to Adj. EBITDA ratio Investment Grade Rating Total Liquidity US Pension Funded Status Summary ● Total Liquidity of ~3.14B ● Net Debt to Adj. EBITDA ratio of ~2.3X ● U.S. Pension ~87% funded as of Q4’24 +41% Y/Y +14% Y/Y +20% Y/Y +14% Y/Y +9% Y/Y +13% Y/Y +8% Y/Y +10% Y/Y +5% Y/Y Moody’s Baa2, Stable S&P BBB, Stable Fitch BBB, Stable * As of September 27, 2025
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Balanced Senior Debt Maturity Profile* ● Average maturity ~8yr ● Average coupon ~4.6% ● All fixed-rate notes ($M) * As of September 27, 2025 **On August 6, 2025 the Company borrowed $1.5 billion of senior delayed draw term loan facilities comprised of a $750 million 364-day facility and a $750 million three-year facility ("term loan due 2028") to fund a portion of the acquisition of Silvus.
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Corporate Responsibility
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We are committed to corporate responsibility TIME 2025 World’s Best Companies Fast Company 2025 Voted #1 Best Workplaces for Innovators Fortune 2025 America’s Most Innovative Companies Glassdoor 2025 Best Places to Work Forbes 2025 Most Trusted Companies in America Newsweek 2025 America's Most Responsible Companies Employee Volunteerism ~105,000 hours volunteered by employees around the world in 2024 Supplier Responsibility Over $400M in spend with small business partners Philanthropy Employee-initiated giving raised more than $300,000 for causes around the world Environment Optimized our company-wide cloud usage to reduce our carbon emissions
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Our impact Our technologies can directly support some of the world’s largest safety challenges every day. Safer schools More than 394,000 students have been exposed to gun violence in schools since the 1999 Columbine shooting. ⎯ Video cameras can give law enforcement visibility on scene, access control can automatically lock down doors and radios can support coordination and response. Office of Community Oriented Policing Services disbursed $73M for School Violence Prevention Programs in 2024. Rising retail theft and violence Shoplifting incidents increased 93% from pre-COVID levels in 2019 to 2023, with ~177 incidents per day in the U.S. ⎯ Body cameras can be a deterrent to aggressive or criminal behavior in stores, while access control and panic buttons can make frontline workers feel safer. Frontline workers make up 60% of the global workforce, with 21% in the U.S. retail industry alone. Natural disasters U.S. natural disasters have cost $2.915 trillion since 1980 across 403 disasters on record. ⎯ Land mobile radio devices and networks are built for redundancy and can withstand extreme conditions, offering reliable communication that’s critical to coordinate emergency response. Omdia projects active LMR users will increase to 66M by 2028. Soaring cyber attacks 324 confirmed cyber attacks impacted public safety agencies globally in 2024, with 25 complete system shutdowns - a direct effect on communities. ⎯ 24/7 cybersecurity services can identify system and network risks, helping public safety agencies and businesses protect against attacks and respond to threats. Cybercrime is projected to cost ~$15.6T annually by 2029. Responding faster to 911 ~10K lives could be saved each year if 911 could get to callers just one minute faster. ⎯ A command center can unify information about an incident, from "911 call to case closure," helping to create a broad informational view that can simplify workflows and improve the accuracy and speed of decisions. 240M 911 calls are made to 911 each year. References: Please see slide 53 “New defense” technologies NATO members are increasing defense spending to modernize capabilities, including sensors, soldier systems and platforms, and UAVs/drones. ⎯ Deploying autonomous technologies for intelligence and reconnaissance safely provide additional distance between people and potential threats, helping to save lives while informing better tactical decisions. The U.S. Army plans to equip its 10 active duty divisions with 1,000 drones each.
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Appendix
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Safe harbor A number of forward-looking statements will be made during this presentation. Forward-looking statements are any statements that are not historical facts. These forward-looking statements are based on the current expectations of Motorola Solutions, and we can give no assurance that any future results or events discussed in these statements will be achieved. Any forward-looking statements represent our views only as of today and should not be relied upon as representing our views as of any subsequent date. Forward-looking statements are subject to a variety of risks and uncertainties that could cause our actual results to differ materially from the statements contained in this presentation. Risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements include, without limitation: (i) impact of current global economic and political conditions in the markets in which we operate (including, but not limited to, with respect to tariffs and the U.S. government shutdown); (ii) increased areas of risk, increased competition and additional compliance obligations associated with the introduction of new or enhanced products and services in our segments; (iii) impact of catastrophic events on our business or our customers' or suppliers' business; (iv) social, ethical, environmental and competitive risks relating to the use of artificial intelligence ("AI") in our products and services; (v) the effectiveness of our strategic acquisitions, including the integrations of such acquired businesses and the resulting impact on our financial results and operations; (vi) the inability of our products to meet our customers’ expectations or regulatory or industry standards; (vii) our inability to purchase a sufficient amount of materials, parts, and components, as well as software and services, at acceptable prices to meet the demands of our customers, and any disruption to our suppliers or significant increase in the price of supplies; (viii) risks related to our large, multi-year system and services contracts; (ix) the global nature of our employees, customers, suppliers and outsource partners; (x) our use of third-parties to develop, design and/or manufacture many of our components and some of our products, and to perform portions of our business operations; (xi) the inability of our subcontractors to perform in a timely and compliant manner or adhere to our Human Rights Policy; (xii) increasing scrutiny and evolving expectations from investors, customers, lawmakers, regulators and other stakeholders regarding environmental, social and governance (“ESG”) related practices and disclosures, as well as recent U.S. based anti-ESG efforts; (xiii) challenges relating to existing or future legislation and regulations pertaining to AI, AI-enabled products and the use of biometrics and other video analytics; (xiv) the impact, including increased costs and potential liabilities, associated with changes in laws and regulations regarding cybersecurity, privacy, data protection, and information security; (xv) the impact of government regulation of radio frequencies; (xvi) regulations, laws and other compliance requirements applicable to our U.S. government customer contracts and grants; (xvii) the impact, including increased costs and additional compliance obligations, associated with existing or future telecommunications-related laws and regulations; (xviii) impact of product regulatory and safety, consumer, worker safety and environmental product compliance and remediation laws; (xix) the evolving state of environmental regulation relating to climate change, and the physical risks of climate change; (xx) impact of tax matters; (xxi) increased cybersecurity threats, a security breach or other significant disruption of our IT systems or those of our outsource partners, suppliers or customers; (xxii) our inability to protect our intellectual property or potential infringement of intellectual property rights of third parties; (xxiii) risks relating to intellectual property licenses and intellectual property indemnities in our customer and supplier contracts; (xxiv) our license of the MOTOROLA, MOTO, MOTOROLA SOLUTIONS and the Stylized M logo and all derivatives and formatives thereof from Motorola Trademark Holdings, LLC; (xxv) inability to attract and retain senior management and key employees; (xxvi) inability to access the capital markets for financing on acceptable terms and conditions; (xxvii) exposure to exchange rate fluctuations on cross-border transactions and the translation of local currency results into U.S. dollars; (xxviii) impact of returns on pension and retirement plan assets and interest rate changes; and (xix) the return of capital to shareholders through dividends and/or repurchasing shares. Motorola Solutions undertakes no obligation to publicly update any forward-looking statement or risk factor, whether as a result of new information, future events or otherwise. For additional information on identifying factors that may cause actual results to vary materially from those stated in forward-looking statements, see our reports on Forms 10-K, 10-Q and 8-K filed with or furnished to the SEC from time to time available for free on the SEC’s website at www.sec.gov, and on Motorola Solutions’ website at www.motorolasolutions.com/investors. Unless otherwise indicated, information in this presentation was updated on the 6th day of January 2026. For the avoidance of doubt, the 2025 fiscal year guidance was provided as of October 30, 2025 and has not been updated or reaffirmed as of the date of this presentation. The content of this presentation contains time-sensitive information that is accurate only as of the time hereof. If any portion of this presentation is rebroadcast, retransmitted or redistributed at a later date, Motorola Solutions will not be reviewing or updating the material that is contained herein.
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Use of non-GAAP measures In addition to the results presented in accordance with accounting principles generally accepted in the U.S. (“GAAP”) in this presentation, Motorola Solutions, Inc. (“Motorola Solutions” or the “Company”) has provided certain non-GAAP measurements. Motorola Solutions has provided these non-GAAP measurements to help investors better understand its core operating performance, enhance comparisons of Motorola Solutions’ core operating performance from period-to-period and to allow better comparisons of Motorola Solutions’ operating performance to that of its competitors. Among other things, the Company’s management uses these operating results, excluding the identified items, to evaluate the performance of its businesses and to evaluate results relative to incentive compensation targets. Management uses operating results excluding these items because it believes these measurements enable it to make better period-to-period evaluations of the financial performance of core business operations. There are inherent limitations in the use of operating results excluding these items because the Company’s GAAP results include the impact of these items. The non-GAAP measures are intended only as a supplement to the comparable GAAP measures and the Company compensates for the limitations inherent in the use of non-GAAP measures by using GAAP measures in conjunction with the non-GAAP measures. As a result, investors should consider these non-GAAP measures in addition to, and not in substitution for, or as superior to, measures of financial performance prepared in accordance with GAAP . Details of these items and reconciliations of the non-GAAP measurements provided during this presentation to GAAP measurements can be found in this Appendix to this presentation and on Motorola Solutions’ website at investors.motorolasolutions.com The Company has not quantitatively reconciled its guidance for forward-looking non-GAAP metrics to their most comparable GAAP measures because the Company does not provide specific guidance for the various reconciling items, as certain items that impact these measures have not occurred, are out of the Company’s control, or cannot be reasonably predicted. Accordingly, a reconciliation to the most comparable GAAP financial measure is not available without unreasonable effort. Please note that the unavailable reconciling items could significantly impact the Company’s results. “Adjusted Operating Cash Flow,” “Free Cash Flow,” “Adjusted Free Cash Flow,” “EBITDA,” “Adjusted EBITDA,” “Adjusted EBITDA Margin,” “Net Debt,” and “Net Debt to Adj. EBITDA Ratio,” are non-GAAP measures and should not be considered as a replacement for GAAP results. These non-GAAP measures may not be comparable to similarly-titled measures reported by other companies. The primary limitation of these measures are that they exclude the financial impact of items that would otherwise either increase or decrease our reported results. These limitations are best addressed by using these non-GAAP measures in combination with the most directly comparable GAAP measures in order to better understand the amounts, character and impact of any increase or decrease in reported amounts. The following provides additional information regarding these non-GAAP measures. Adjusted Operating Cash Flow - Represents operating cash flow under GAAP excluding a $500 million voluntary, debt-funded U.S. pension contribution in the first quarter of 2018. The Company has excluded the impact of this contribution because the Company believes that this item does not reflect expected future operating cash flows and does not contribute to a meaningful evaluation of the Company's current operating cash flow performance or comparisons to the Company's past operating cash flow performance. Free Cash Flow - Represents net cash provided by operating activities (“operating cash flow”) less capital expenditures. The Company believes that free cash flow is also useful to investors as the basis for comparing its performance and coverage ratios with other companies in the Company's industries, although the Company's measure of free cash flow may not be directly comparable to similar measures used by other companies. This measure is also used as a component of incentive compensation.
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Use of non-GAAP measures Adjusted Free Cash Flow - Represents Free Cash Flow excluding a $500 million voluntary, debt-funded U.S. pension contribution in the first quarter 2018. The Company has excluded the impact of this contribution because the Company believes that this item does not reflect expected future free cash flows and does not contribute to a meaningful evaluation of the Company's current free cash flow performance or comparisons to the Company's past free cash flow performance. EBITDA - Represents net income before interest expense, interest income, income taxes, depreciation, and amortization. Adjusted EBITDA - Represents EBITDA adjusted for net other income, income from discontinued operations, share based compensation expense, U.S. pension settlement loss, and special items including charges or income related to reorganization and other charges, acquisition related charges, impairment charges, and other income or charges, if any. The Company believes Adjusted EBITDA provides improved period-to-period comparability for decision making and better measures the ongoing earnings results of its strategic and operating decisions by excluding the earnings effects of reorganization activities. Adjusted EBITDA Margin - Adj. EBITDA Margin is calculated as Adjusted EBITDA divided by Revenue. Net Debt and Net Debt to Adj. EBITDA Ratio - Net Debt is calculated as Long-term Debt, including the Current Portion of Long-term Debt, less Cash and Cash Equivalents. Net Debt to Adj. EBITDA Ratio is calculated by dividing Net Debt by Trailing 12 month Adjusted EBITDA.
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Solving for safer communities schools hospitals businesses nations everywhere MOTOROLA, MOTO, MOTOROLA SOLUTIONS and the Stylized M Logo are trademarks or registered trademarks of Motorola Trademark Holdings, LLC and are used under license. All other trademarks are the property of their respective owners. ©2026 Motorola Solutions, Inc. All rights reserved.
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Appendix: Supplemental Non-GAAP Measures * Amounts attributable to Motorola Solutions, Inc. common shareholders. ** Under U.S. GAAP , the accounting for a net loss from continuing operations results in the presentation of dilutive earnings per share equal to basic earnings per share, as any increase in basic shares would be anti-dilutive to earnings per share. As a result of the highlighted items identified during Q4 2017, the Company reported a net loss from continuing operations within our GAAP Consolidated Statement of Operations, while reporting income on a non-GAAP basis. An adjustment is shown to reflect the dilution of 7.2 million dilutive shares outstanding in Q4 2017 and 6.4 million dilutive shares for the full year of 2017. *** Under U.S. GAAP , the Silver Lake shares were considered anti-dilutive to earnings per share for the year ended December 31, 2024 and were excluded from the computation of GAAP diluted weighted average common shares and diluted earnings per share. The shares are considered dilutive for non-GAAP earnings per share for the year ended December 31, 2024 and an adjustment is reflected to include these shares for non-GAAP diluted earnings per share. ****Highlighted items: The company has excluded the effects of highlighted items including, but not limited to, acquisition-related transaction fees, tangible and intangible asset impairments, reorganization of business charges, certain non-cash pension adjustments, legal settlements and other contingencies, gains and losses on investments and businesses, Hytera-related legal expenses, gains and losses on the extinguishment of debt and the income tax effects of significant tax matters, from its non-GAAP operating expenses and net income measurements because the company believes that these historical items do not reflect expected future operating earnings or expenses and do not contribute to a meaningful evaluation of the company's current operating performance or comparisons to the company's past operating performance. For the purposes of management's internal analysis over operating performance, the company uses financial statements that exclude highlighted items, as these charges do not contribute to a meaningful evaluation of the company's current operating performance or comparisons to the company's past operating performance.
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Appendix: Supplemental Non-GAAP Measures Reconciliation of GAAP net earnings to EBITDA and adjusted EBITDA *** Refer to slide 48 for details of highlighted items
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Supplemental Disaggregation of Revenue Appendix: Supplemental Non-GAAP Measures Reconciliation of GAAP operating cash flow to adjusted operating cash flow Reconciliation of GAAP operating cash flow to adjusted free cash flow
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Appendix: Supplemental Non-GAAP Measures Reconciliation of GAAP net earnings to EBITDA and adjusted EBITDA *** Refer to slide 48 for details of highlighted items Net Debt to adjusted EBITDA calculation Net Debt calculation
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Supplemental Disaggregation of Revenue Appendix: Supplemental Non-GAAP Measures Net Debt to adjusted EBITDA ratio calculation
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Our impact ● Safer Schools: ○ Gun violence in schools, January 24, 2025: https://www.washingtonpost.com/education/interactive/school-shootings-database/ ○ Federal funding 2024: https://cops.usdoj.gov/pdf/2024AwardDocs/svpp/Post_Award_Fact_Sheet.pdf ● Natural Disasters: ○ Weather: https://www.ncei.noaa.gov/access/billions/ ○ Global LMR users: Omdia, Licensed Mobile Radio Report - 2024 Analysis ● Rising Retail Theft and Violence ○ Shoplifting incidents, National Retail Federation, December 17, 2024: https://nrf.com/media-center/press-releases/shoplifting-incidents-jump-93-since-pre-covid-according-to-new-industry-study ○ Global frontline workers: Bureau of Labor Statistics: https://www.bls.gov/oes/tables.htm, Gartner Hype Cycle for Frontline Worker Technologies, 2024, August 8, 2024: https://www.gartner.com/en/documents/5657223, and Motorola Solutions analysis ● Soaring Cyber Attacks: ○ Cybersecurity attacks: Motorola Solutions Public Safety Threat Alliance ○ Cyber cost, July 30, 2024: https://www.statista.com/forecasts/1280009/cost-cybercrime-worldwide ● Responding Faster to 911: ○ Response time: Page 20: https://docs.fcc.gov/public/attachments/FCC-18-32A1.pdf ○ NENA, as of February 2021: https://www.nena.org/page/911Statistics ● “New Defense” technologies ○ How NATO Defence Spending Has Changed Since the Ukraine-Russia War, as of July 4, 2025 ○ U.S. Army Plans Massive Increase in Its Use of Drones, as of April 30, 2025 References for slide 42