Xerox Releases Financial Results for Q1 2024

Xerox Releases Financial Results for Q1 2024

Xerox has revealed its financial performance for the first quarter of 2024, indicating an overall decline in revenue compared to the same period last year.

Total revenue amounted to $1.502 billion, marking a decline of 12.4% (13.2% in constant currency) from the first quarter of 2023. GAAP figures showed a net loss of $184 million, or $1.37 per share, with GAAP earnings of $113 million, or $0.94 per share.

The decline was mainly attributed to Xerox’s ongoing organizational changes aimed at meeting the Reinvention targets and transforming its operating model. These changes include strategic withdrawals from certain operations and the sale of operations in four Latin American countries.  “While results were below our expectations in Q1, I have full confidence we have the right team and the right strategy to execute Xerox’s Reinvention and deliver on our adjusted operating income targets.” said Steve Bandrowczak, chief executive officer at Xerox.

Equipment sales and post-sale revenue were respectively $290 billion and $1.2 billion, down by 25.8% and 8.5% each. These decreases were primarily driven by backlog reductions in 2023, business structure simplifications, the termination of Fuji Royalty, and the absence of PARC revenue.

Xerox’s 2024 Guidance forecasts a further decline of 3% to 5% in constant currency compared to the previous year. This projection considers prior-year backlog reductions and the presence of non-strategic businesses. While revenue from Xerox’s core business is expected to remain stable due to steady Print demands and neutral macroeconomic conditions, growth in Digital and IT services is anticipated to offset potential declines in other areas.

Related:

• Xerox Expands Printer Access for Partners
• Xerox Forges Strategic Partnership in Peru and Ecuador
• Xerox Announces Business Sale in South America

Comment:

Please leave your comment below about the news: Xerox Releases Financial Results for Q1 2024.