-->
Xerox reports EPS in-line, misses on revs; guides FY17 EPS in-line
- Reports Q4 (Dec) earnings of $0.25 per share, excluding non-recurring items, in-line with the Capital IQ Consensus of $0.25; revenues fell 7.2% year/year to $2.73 bln vs the $2.78 bln Capital IQ Consensus.
- Fourth-quarter adjusted operating margin of 14.0 percent was up 0.7 percentage points from the same quarter a year ago. Gross margin was 40.0 percent, and selling, administrative and general expenses were 23.4 percent of revenue.
- Co issues in-line guidance for FY17, sees EPS of $0.80-0.88, excluding non-recurring items, vs. $0.88 Capital IQ Consensus Estimate. Xerox expects to generate operating cash flow from continuing operations of $700 to $900 million and free cash flow from continuing operations of $525 to $725 million in 2017.
- "With the separation of Conduent [CNDT] now complete, we turn our full attention to delivering on our strategy, which includes pursuing the growing areas of the market. As the strategy begins to yield results, our revenue trajectory is expected to improve over time while we expand our margins and continue to generate strong cash flows."