Motorola posted an unexpected Q3 09 net profit of $ 12 million as compared to loss of $ 397 million recorded last year. Sales were down from $ 7.48 billion last year to $ 5.45 billion at end of September 30, 2009. The drop in revenues is because of the company’s increased focus on spurning down its mobile devices product line and instead focus on limited segment such as smartphone.

The EPS was $ 0.01 as compared to loss of $ 0.18 last year. Operating income to improved from loss of $ 452 million in September 30, 2008 to $ 128 million profit by the end of quarter under consideration.

Motorola was able to maintain its gross margins at $ 1.8 billion. It registered a sequential cash increase of $ 700 million with the total cash now peaking to $ 7.2 billion.

Home & Networks as well as Enterprise Mobility divisions of the company witnessed positive growth with sales of $ 2.0 billion and $1.8 billion respectively.

The mobile devices arm managed shipments of 13.6 million and sales of $1.7 billion. The sales for this division will remain low for some more quarters as the company plans to reduce the product line to focus only on smartphone.

Shares of the company jumped 11.6% or 92 cents to $8.88.

Motorola had reported profit of $ 26 million in the previous quarter as well.