Zebra Technologies Fourth Quarter and Full Year 2025 Earnings Results February 12, 2026 February 12, 2026 Safe Harbor Statement Statements made in this presentation which are not statements of historical fact are forward -looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995 . Actual results may differ from those expressed or implied in the company's forward -looking statements . Zebra undertakes no obligation, other than as may be r ...

Core Insights - BlackBerry Limited has announced a fully rebuilt mobile experience for its Critical Event Management platform, BlackBerry AtHoc, enhancing real-time situational intelligence and emergency response coordination [1][6] Mobile App Redesign - The new mobile app features a major architectural overhaul with modern frameworks, an intuitive interface, and a streamlined interaction model, providing a consumer-like experience that is easy to use under pressure [2] - Improvements in the app enable faster engagement, higher-quality intelligence, and lower-friction actions during emergencies [2] Enhanced User Interaction - The redesigned AtHoc platform allows participants to easily submit status updates, observations, images, and location details, improving the reliability of situational intelligence [3] - The familiar design reduces cognitive load, facilitating quicker contributions from all participants, thus enhancing operational intelligence [3] Improved Situational Awareness - The redesign organizes field input into clearer, actionable details, creating a steady flow of structured information that enhances accuracy and confidence in interpreting developments [4] - The platform expands the sensing footprint by enabling insights from a broader range of contributors, reducing blind spots in situational understanding [4] Streamlined Operations - Authorized users can manage assignments, direct activities, and report incidents directly from the app, which helps maintain alignment in response efforts as conditions change [5] - The streamlined interface minimizes delays, resulting in faster decision cycles and consistent follow-through during both emergencies and daily operations [5] Advancing Intelligent Operations - The renewed mobile experience provides structure and timeliness to real-time situational intelligence, allowing organizations to recognize developments sooner and operate with greater confidence [6] Availability - The new BlackBerry AtHoc mobile experience is now available for iOS and Android, with existing customers receiving updates through standard app updates without changes to their deployment or security posture [7]

Summary of Zebra Technologies FY Conference Call Company Overview - **Company**: Zebra Technologies (NasdaqGS: ZBRA) - **Event**: FY Conference Call on November 18, 2025 - **Key Speakers**: Nathan Winters (CFO), Mike Steele (VP of Finance and Investor Relations) Core Industry Insights - **Industry**: Technology and Automation Solutions for Frontline Operations - **Vision**: Transition from "Enterprise Asset Intelligence" to "Enabling Intelligent Operations" to reflect the company's evolution and current offerings [4][6] Key Points and Arguments 1. **Resegmentation of Business**: Zebra has resegmented its operations into two new segments: Connected Frontline and Asset Visibility and Automation, to better align with its current strategy and offerings [6][8] 2. **ELO Acquisition**: The $1.3 billion acquisition of ELO aims to enhance the frontline experience by integrating mobile computing with point-of-sale solutions, expected to generate $400 million in revenue and provide immediate accretive benefits [9][10] 3. **Demand Environment**: The company is experiencing uneven demand across regions, with strong performance in North America and Asia-Pacific, while Europe shows tepid demand, particularly in Germany and France [12][14] 4. **Customer Capital Planning**: Zebra maintains a two- to three-year roadmap with strategic customers, indicating a stable outlook for project deployments, although uncertainty remains regarding the timing of capital expenditures [15][16] 5. **Growth Projections**: The company anticipates a long-term compound annual growth rate (CAGR) of 5%-7%, driven by market leadership in mobile computing and expansion into new markets [25][26] 6. **RFID Technology**: Zebra sees RFID as a significant growth opportunity, with double-digit growth in recent years, emphasizing its role in inventory management and theft prevention [46][48] 7. **Machine Vision**: The integration of machine vision technologies is expected to enhance Zebra's competitive positioning, particularly in high-end inspection markets [52][53] 8. **Healthcare Market**: Adoption in healthcare is slower due to the nature of the industry, but Zebra remains optimistic about long-term growth opportunities, especially with the ELO acquisition [61][63] 9. **Omnichannel Retail**: The company has fully absorbed capacity constraints from previous years and is seeing a return to normal business levels, with ongoing discussions about technology refreshes and new applications [65][67] Additional Important Insights - **Tariff Mitigation**: Zebra has successfully reduced the expected gross profit headwinds from tariffs from $70 million to less than $25 million through proactive pricing and supply chain diversification [31][32] - **AI Integration**: The company is leveraging AI to enhance internal productivity and develop customer-facing applications, focusing on frontline worker solutions [35][39] - **Market Challenges**: Manufacturing remains subdued, with muted growth due to economic uncertainty, particularly in Europe and automotive sectors [57][59] This summary encapsulates the key insights and strategic directions discussed during the Zebra Technologies FY Conference Call, highlighting the company's focus on innovation, market adaptation, and long-term growth potential.

Group 1 - Zebra Technologies Corporation (NASDAQ: ZBRA) is a global leader in digitizing and automating workflows to deliver intelligent operations [6][7] - The company will present at two investor conferences: on Nov. 18 at the Stephens NASH25 Conference and on Dec. 1 at the UBS Global Technology and AI Conference [4][6] - Zebra Technologies provides a portfolio of connected frontline, asset visibility, and automation solutions powered by AI, serving various industries including retail, manufacturing, and healthcare [2][6] Group 2 - The company announced strong third-quarter results for 2025, driven by solid demand, lower-than-expected tariffs, and effective execution by its teams [6] - Zebra Technologies completed the acquisition of Elo Touch Solutions, enhancing its capabilities in customer engagement and automation across multiple sectors [7] - The company will release its third-quarter financial results on Oct. 28, 2025, followed by a conference call to discuss these results [8]

Financial Performance - Zebra Technologies reported net sales of $1,320 million, a 5.2% increase compared to $1,255 million in 3Q24 [14] - Organic net sales growth was 4.8% [10, 14] - Adjusted EBITDA margin increased by 20bps to 21.6% [10, 14] - Non-GAAP diluted EPS increased by 11.2% to $3.88 [10, 14] Segment and Regional Performance - Asset Intelligence & Tracking segment organic net sales grew by 10.6% [15] - Enterprise Visibility & Mobility segment organic net sales grew by 2.0% [15] - Asia Pacific region organic net sales grew by 23% [15] - Latin America region organic net sales grew by 8% [15] - North America region organic net sales grew by 6% [15] - EMEA region organic net sales declined by 3% [15] Cash Flow and Balance Sheet - Free cash flow was $504 million year-to-date [17] - The company closed the Elo Touch Solutions acquisition for $1.3 billion [17] - The company has $1,053 million in cash and cash equivalents [17] - The company expects to substantially mitigate U S import tariffs entering 2026 [18]

Financial Performance - Zebra Technologies reported net sales of $1,320 million for the third quarter of 2025, representing a year-over-year increase of 5.2% from $1,255 million in the same quarter of 2024 [3][4] - Gross profit for the third quarter was $634 million, up from $613 million, but gross margin decreased to 48.0% from 48.8% due to approximately $6 million in U.S. import tariff expenses [5][3] - Net income for the third quarter was $101 million, or $1.97 per diluted share, down from $137 million, or $2.64 per diluted share, in the prior year [7][4] Segment Performance - In the Enterprise Visibility & Mobility (EVM) segment, net sales were $865 million, an increase from $845 million year-over-year [3] - The Asset Intelligence & Tracking (AIT) segment saw net sales rise to $455 million from $410 million in the previous year, marking a 10.6% increase [3] Non-GAAP Measures - Non-GAAP net income increased to $198 million for the third quarter of 2025, or $3.88 per diluted share, compared to $181 million, or $3.49 per diluted share, in the prior year [7][4] - Adjusted EBITDA for the third quarter was $285 million, representing a 6.3% increase from $268 million in the prior year, with an adjusted EBITDA margin of 21.6% [8][4] Shareholder Returns - The company has committed to $500 million in share repurchases over the next twelve months, building on $284 million of share repurchases year-to-date [4][2] Outlook - For the fourth quarter of 2025, Zebra expects sales growth between 8% and 11% compared to the prior year, including a favorable impact from acquisitions and foreign currency translation [11][12] - Non-GAAP diluted earnings per share for the fourth quarter are anticipated to be in the range of $4.20 to $4.40 [12]

Core Insights - Capgemini has completed the acquisition of WNS, creating a global leader in Agentic AI-powered Intelligent Operations [1][2] - The acquisition is valued at $3.3 billion, with a cash consideration of $76.50 per WNS share [2] - Capgemini aims to leverage WNS's industry expertise and platforms to enhance its capabilities in transforming business processes [2] Financial Details - The total cash consideration for the acquisition amounts to $3.3 billion, excluding WNS's net financial debt, which was negligible as of March 31, 2025 [2][4] - Capgemini successfully priced €4.0 billion in bonds to finance the acquisition and refinance its financial debt [2] Strategic Vision - Both companies share a vision of utilizing agentic AI to transform business operations, focusing on efficiency and agility through hyper-automation [2] - The integration is expected to unlock long-term value for clients, employees, partners, and communities [2] Company Background - Capgemini is a global business and technology transformation partner with 350,000 team members across more than 50 countries [3] - The company reported global revenues of €22.1 billion for the year 2024 [3]

Core Insights - Capgemini is set to acquire WNS for $76.50 per share, totaling $3.3 billion, which represents a premium of 28% over the last 90-day average share price [2][5] - The acquisition is expected to enhance Capgemini's normalized EPS by 4% in 2026 and 7% in 2027 post-synergies [2][20] - The transaction has been unanimously approved by the boards of both companies and is anticipated to close by the end of the year [5][22] Strategic Rationale - The acquisition aims to create a leader in Intelligent Operations, leveraging Agentic AI to transform business processes [3][12] - Capgemini will gain scale and vertical expertise to capitalize on the shift from traditional Business Process Services (BPS) to AI-powered operations [3][5] - WNS's high-growth Digital BPS will enhance Capgemini's service offerings and increase its presence in the US market [4][10] Financial Impact - The combined entities are projected to generate revenues of €1.9 billion in Digital BPS by 2024 [10] - WNS has shown a consistent revenue growth of approximately 9% over the last three fiscal years, reaching $1,266 million in fiscal year 2025 with an 18.7% operating margin [8][9] - Capgemini expects revenue synergies of €100 million to €140 million and cost synergies of €50 million to €70 million by the end of 2027 [20] Market Positioning - The acquisition positions Capgemini to meet the growing demand for AI-driven business process transformation, addressing client needs for efficiency and agility [3][12] - The combination of Capgemini and WNS will create a robust platform for innovation and growth, enhancing their competitive edge in the market [6][17] - Both companies share a vision for Intelligent Operations, which will facilitate a smooth integration and unlock new opportunities for clients [6][21]