Xerox’s $1.5 Billion Acquisition Of Lexmark: A Game-Changer for the Printing Industry?

Xerox Holdings Corporation reported its third-quarter 2024 earnings and is undertaking a multiyear transformation aimed at streamlining operations, aligning more closely with market demands, and transitioning toward sustainable revenue growth and enhanced profitability. For the quarter, Xerox generated revenue of $1.5 billion, marking a 7.5% decrease year-over-year in actual currency and a 7.3% decline in constant currency. Equipment sales were below expectations, declining approximately 12%. This shortfall was attributed to delays in the global launch of two new products, lower-than-expected improvements in sales force productivity, and operational challenges, including impacts from Hurricane Helene. Despite these setbacks, post-sales revenue showed signs of improvement, with declines moderating and digital and managed IT services revenue growing in double digits.