Press release from the issuing company:
Xerox Holdings Corporation (NASDAQ: XRX) announced its 2026 second-quarter results on July 30:
Xerox Financial Summary for Q2 2026*
- Revenue of $1.92 billion, up 22.0 percent, or 21.2 percent in constant currency1. On a pro forma2 basis, revenue is down 6.5 percent.
- GAAP net income of $13 million, or $0.07 per share, up $119 million or $0.94 per share, year-over-year, respectively.
- Adjusted1 net income of $55 million, or $0.38 per share, up $132 million or $1.02 per share, year-over-year, respectively.
- Adjusted1 operating income of $203 million, up $144 million year-over-year.
- Adjusted1 operating margin of 10.6 percent, up 690 basis points year-over-year.
- Operating cash flow of $37 million, up $48 million year-over year.
- Free cash flow1 of $11 million, up $41 million year-over-year.
“Our second-quarter results gave us another reason for confidence,” said Louie Pastor, chief executive officer at Xerox. “We made progress on each of our three strategic priorities: stabilizing revenue, increasing profitability, and reducing leverage. As a result, we are raising both revenue and adjusted operating income guidance, as well as our Lexmark gross synergy targets. While we have more to prove, I like how our team is showing up and executing with urgency and discipline.”
Progress Against Strategic Priorities
Q2 2026
- Raised Lexmark gross cost synergy target by $50 million to at least $350 million
- Expanded the 9‑Series A3 lineup in June, adding new mid‑range devices and making the portfolio available to all clients and channel partners
- Launched new A4 color devices in June under the new unified brand and logo
- Print and IT Solutions total sales pipelines remain ahead of the prior year
- Reduced total debt outstanding by more than $200 million:
o $125 million of 13.00% 2026 Senior Notes at maturity
o $93 million of 5.50% 2028 Senior Notes
o $6 million of 13.50% 2031 Senior Secured Notes
Read the complete earnings release.
* Profitability metrics for Q2 2026 include $105 million of a pre-tax benefit from the recognition of IEEPA tariff receivables. This benefit is not included in either Operating cash flow or Free cash flow for Q2 2026 as the sale of the receivables is currently accounted for within Financing cash flow.
