The world's second-biggest mobile phone maker Motorola has suffered a big slump in profits due to weak handset sales.
Motorola posted a first-quarter loss of $181m compared with a year-earlier profit of $686m. Revenue fell to $9.43 billion from $9.61 billion.
Motorola repeated its expectation that it would be profitable for the full year as it sees sales and operating margins gradually improving in the second half.
Revenue for its mobile devices business was down 15% from the year-ago quarter at $5.4 billion and the unit posted an operating loss of $231m, compared with a profit of $701m in the year-ago quarter.
Its shares have lost about a third of their value since mid-October as the company has disappointed investors for three quarters in a row.
Besides challenges such as competition in emerging markets and criticism for a stale phone line-up, Motorola also faces a proxy battle with activist investor Carl Icahn, who has a 2.9% stake and is seeking a board seat.
