Company reports higher revenue, EPS and free cash flow while increasing investments in targeted growth areas
- $1.79 billion of revenue, up 22.4 percent year-over-year or 18.1 percent in constant currency.
- GAAP earnings per share (EPS) of $0.46, up $0.35 year-over-year, and adjusted EPS of $0.47, up $0.32 year-over-year.
- Adjusted operating margin of 7.0 percent, up 280 basis points year-over-year.
- $214 million of operating cash flow, up $180 million year-over-year.
- $198 million of free cash flow, up $183 million year-over-year.
“We saw growing demand for our products and services in the second quarter. Increased equipment sales and print volumes in many regions are consistent with a continuing, gradual return to the office and give us confidence to reaffirm our revenue and cash flow guidance for the year,” said Xerox Vice Chairman and CEO John Visentin. “Over the past 18 months, our team has successfully managed through an unprecedented level of uncertainty to continue delivering value to our clients. This focus will continue in the second half of the year as we manage through global supply chain disruption while investing for sustainable, long-term growth.”
Second-Quarter Key Financial Results:
(in millions, except per share data)
22.4% AC 18.1% CC1
Pre-Tax Income Margin
Operating Income - Adjusted1
Operating Margin - Adjusted1
GAAP Earnings per Share
Earnings Per Share - Adjusted1
(1) Refer to the “Non-GAAP Financial Measures” section of this release for a discussion of these non-GAAP measures and their reconciliation to the reported GAAP measures.
This release refers to the following non-GAAP financial measures:
- Adjusted EPS, which excludes Restructuring and related costs, net, Amortization of intangible assets, non-service retirement-related costs, Transaction and related costs, net and other discrete adjustments from GAAP-EPS, as applicable.
- Adjusted operating margin and income, which exclude the EPS adjustments noted above as well as the remainder of Other expenses, net from pre-tax income and margin.
- Constant currency (CC) revenue change, which excludes the effects of currency translation.
- Free cash flow, which is operating cash flow less capital expenditures.
Refer to the “Non-GAAP Financial Measures” section of this release for a discussion of these non-GAAP measures and their reconciliation to the reported GAAP measures. more here