Zebra(US:ZBRA) ZACKSยท2025-08-05 14:21Core Insights - Zebra Technologies Corporation (ZBRA) reported second-quarter 2025 adjusted earnings of $3.61 per share, exceeding the Zacks Consensus Estimate of $3.31, marking a 13.5% increase from $3.18 per share in the same quarter last year [1][10] - Total revenues reached $1.29 billion, surpassing the consensus estimate of $1.28 billion, with a year-over-year growth of 6.2% driven by strong performance in the Enterprise Visibility & Mobility and Asset Intelligence & Tracking segments [2][10] Financial Performance - Revenues from the Asset Intelligence & Tracking segment increased by 5.3% year over year to $418 million, although it fell short of the Zacks Consensus Estimate of $430 million [3] - The Enterprise Visibility & Mobility segment reported revenues of $875 million, up 6.7% year over year, exceeding the consensus estimate of $853 million [4] - The cost of sales for the second quarter was $677 million, a 7.8% increase year over year, while total operating expenses rose by 2.6% to $433 million [5] Balance Sheet and Cash Flow - At the end of the second quarter, Zebra Technologies had cash and cash equivalents of $872 million, down from $901 million at the end of December 2024, with long-term debt increasing to $2.13 billion from $2.09 billion [6] - In the first half of 2025, the company generated net cash of $325 million from operating activities, down from $413 million in the previous year, with free cash flow amounting to $288 million compared to $389 million in the year-ago period [7] Guidance - For the third quarter of 2025, Zebra Technologies anticipates net sales growth in the range of 2-6% year over year, with an expected adjusted EBITDA margin of approximately 21% and adjusted earnings per share projected between $3.60 and $3.80 [8] - The company has raised its adjusted earnings outlook for 2025 to a range of $15.25-$15.75 per share, up from the previous estimate of $13.75-$14.75, and expects net sales to increase by 5-7% year over year [9][10]