Xerox Reports Earnings with Optimistic 2025 Outlook

Xerox Corporation ( (XRX) ) has released its Q4 earnings. Here is a breakdown of the information Xerox Corporation presented to its investors.

Xerox Corporation is a multinational company specializing in the design, development, and sale of document management systems and solutions, as well as associated technology services in the digital and IT sectors. The company is known for its strong presence in the printing and digital services industry.

In its latest earnings report, Xerox Holdings Corporation reported a decrease in revenue for both the fourth quarter and the full year of 2024. Despite this, the company highlighted advancements in its Reinvention strategy and provided guidance suggesting potential growth in revenue and profits for 2025.

For the fourth quarter of 2024, Xerox reported revenue of $1.61 billion, marking an 8.6% decrease year-over-year. The company also posted a GAAP net loss of $21 million, although this was an improvement from the previous year. The adjusted net income stood at $49 million. Meanwhile, the full-year results showed a revenue decline of 9.7% to $6.22 billion, primarily due to a significant goodwill impairment charge. Operating cash flow and free cash flow also saw year-over-year declines.

Looking ahead, Xerox management remains optimistic about 2025, expecting low single-digit growth in revenue and adjusted operating margin improvements. The company plans to focus on executing its Reinvention strategy, leveraging recent acquisitions, and enhancing its balance sheet to achieve sustainable growth.

The financial outlook for Xerox in 2025 indicates a cautious optimism. The company’s plans to capitalize on recent acquisitions and strategic changes are aimed at driving revenue stability and improved operating margins, reflecting a forward-looking approach to enhancing shareholder value.