Xerox Raises Full-Year EPS Guidance Despite Reporting a Decline in Revenues for Q1 2019
Xerox announced its first-quarter 2019 financial results. “Our transformation initiatives are yielding results, which give us confidence to raise our full-year earnings guidance despite revenue declines. We are investing in our core business as well as new technologies that create value for our stakeholders and position us for long-term growth,” said Xerox Vice Chairman and CEO John Visentin.
First-Quarter 2019 Financial Highlights:
- GAAP earnings per share (EPS) of $0.55, up $0.47 year-over-year and adjusted EPS of $0.91, up $0.23 year-over-year
- $226 million of operating cash flow, up $10 million year-over-year and $211 million of free cash flow, up $13 million year-over-year
- Adjusted operating margin of 11.3%, up 140 basis points year-over-year
- $2.2 billion of revenue in the quarter, a decrease of 9.4% year-over-year or 7% percent in constant currency
- Raising 2019 guidance for GAAP EPS to $2.90 to $3.05 and adjusted EPS to $3.80 to $3.95. Prior guidance was $2.60 to $2.70 and $3.70 to $3.80, respectively.
Key Financial Results:
Key Business Highlights:
- On track to drive gross savings in 2019 of at least $640 million under Project Own It, Xerox’s enterprise-wide transformation initiative to create a simpler, more effective organization
- Introduced a new services portfolio to deepen the integration of Xerox’s software, services and technology to deliver differentiated, higher margin solutions
- Enabled mobile, on-the-go print services with the launch of Xerox Instant Print Kiosk, positioning Xerox for growth in the self-service print and document management market
- Announced the new Xerox Rialto 900 MP Inkjet Press, a roll-to-cut sheet platform designed to deliver maximum productivity per square meter
- Introduced software enhancements to the Xerox AltaLink Multifunction Printers that enable clients to detect and neutralize cyber threats instantaneously
The preceding press release was provided by a company unaffiliated with Printing Impressions. The views expressed within do not directly express the thoughts opinions of Printing Impressions.