Xerox reports Q2 adjusted EPS 29c, consensus 43c

Reports Q2 revenue $1.58B, consensus $1.6B. “The comprehensive and strategic operating model changes implemented in Q1 caused a short period of disruption but are delivering the intended improvements in financial results. Adjusted operating income margin, free cash flow and revenue trajectory improved sequentially in Q2. Momentum in orders, enhanced sales operations and new product initiatives are expected to drive a return to revenue growth in the second half of the year,” said CEO Steve Bandrowczak. “Q2 results give us confidence Xerox’s new operating model, which is more streamlined and closely aligned to the economic buyers of our products and services, is enabling the operating improvements required to deliver an incremental $300M of adjusted operating income over 2023 levels and a return to double-digit adjusted operating income margin by 2026.”