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Xerox Tanks On Decreased Outlook; Q3 Results Below Estimates

By RTTNews Staff Writer   ✉   | Published:   | Follow Us On Google News
rttnewslogo20mar2024

Shares of Xerox Holdings Corporation (XRX) are falling more than 18% Tuesday morning after the company's third-quarter results missed analysts' view. The company also cut its annual revenue outlook.

The company reported loss of $383 million or $2.48 per share in the third quarter, compared with profit of $90 million or $0.48 per share in the same quarter a year ago. The latest quarter included a non-cash goodwill impairment charge of $395 million or $2.54 per share.

Excluding one-time items, Xerox reported earnings of $0.19 per share, that missed the average estimate of analysts polled by Thomson-Reuters of $0.40 per share.

Quarterly revenue decreased to $1.751 billion from $1.758 billion last year. The consensus estimate was for $1.77 billion.

Looking forward, Xerox expects full-year revenue to be in the range of $7.0 billion to $7.1 billion in actual currency, compared with the previous outlook of at least $7.1 billion. The consensus estimate stands at $7.1 billion.

"We adjusted our revenue guidance primarily to reflect higher-than-expected currency effects associated with a weaker Euro and British Pound," the company said.

XRX is at $13.05 currently. It has traded in the range of $11.80-$24.14 in the last 1 year.

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