Lexmark Records Strong Growth in Solution Service

Lexmark International, Inc. (Lexmark) has announced its third quarter financial result on October 21. The revenue excluding Inkjet Exit marked up 6% year-on-year, which is the sixth consecutive quarter of growth.

Total GAAP revenue was $918 million, up 3% year-on-year. Total non-GAAP revenue was $921 million, increasing 3% year-on-year. Net earnings were $38 million compared to 2013’s net earnings of $34 million.

In terms of segment revenue, Imaging Solutions and Services (ISS) revenue of $835 million was about flat compared to the same period last year. ISS revenue, excluding Inkjet Exit revenue, grew 3% compared to last year. Inkjet Exit revenue reached $60 million (6% of total revenue) declined 29%. MPS revenue achieved $205 million, increasing 12% year-on-year.

As to product revenue, hardware revenue was $196 million, up 8% compared to the same period of last year. Supplies revenue of $593 million declined 2% compared to 2013. Laser supplies revenue was $533 million, growing 2% year-on-year.

“In the third quarter, Managed Print Services and Perceptive Software combined revenue increased 20%, representing nearly one third of Lexmark’s total revenue, and is on track to exceed $1 billion this year,” said Paul Rooke, Lexmark chairman and chief executive officer. “Our strong results reflect the work we have been doing to transform Lexmark to a solutions company, creating a unique portfolio of higher value imaging and software solutions.”