Xerox Holdings Corp. reported first-quarter revenue dropped 14.7 percent to $1.86 billion, with cash flow dropping to $173 million of operating cash flow from continuing operations, down $49 million year-over-year, and $150 million of free cash flow, down $57 million year-over-year.
John Visentin, CEO, Xerox
“During this unprecedented time, we are committed to doing everything in our power to protect our employees, customers, partners and society, because we all have a critical role to play battling the COVID-19 pandemic,” says John Visentin, vice chairman and CEO Xerox. “While Xerox saw an immediate impact to our business due to the rapid implementation of lockdown measures globally, the disciplined approach we implemented over the last two years provided a foundation to move quickly to preserve cash, continue operations, provide support to our many clients on the frontlines, and apply our manufacturing and R&D expertise to help save lives. I’m incredibly proud of the Xerox team’s dedication and ingenuity during this extraordinary time.”
(in millions, except per share data)
Q1 2020
Q1 2019
B/(W)
YOY
% Change
YOY
Revenue
$1,860
$2,180
$(320)
(14.7)% AC
(13.9)% CC1
Gross Margin
38.3%
40.2%
(190) bps
RD&E %
4.5%
4.2%
(30) bps
SAG %
29.1%
25.0%
(410) bps
Pre-Tax (Loss) Income
$(5)
$73
$(78)
nm
Pre-Tax (Loss) Income Margin
(0.3)%
3.3%
(360) bps
Operating Income – Adjusted1
$87
$239
$(152)
(63.6)%
Operating Margin – Adjusted1
4.7%
11.0%
(630) bps
GAAP (Loss) Earnings per Share
$(0.03)
$0.34
$(0.37)
nm
EPS – Adjusted1
$0.21
$0.66
$(0.45)
(68.2%)
(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.
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