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Xerox Holdings Corporation (XRX) Reports Q2 Loss, Misses Revenue Estimates
ZACKSยท 2025-07-31 12:45
Core Insights - Xerox Holdings Corporation reported a quarterly loss of $0.64 per share, significantly missing the Zacks Consensus Estimate of $0.1, representing an earnings surprise of -740.00% [1] - The company posted revenues of $1.58 billion for the quarter ended June 2025, which was a 0.75% miss against the Zacks Consensus Estimate, with no year-over-year revenue growth [2] - Xerox shares have declined approximately 38.1% year-to-date, contrasting with the S&P 500's gain of 8.2% [3] Company Performance - Over the last four quarters, Xerox has consistently failed to meet consensus EPS estimates, with only one instance of surpassing revenue expectations [2] - The current consensus EPS estimate for the upcoming quarter is $0.31 on revenues of $1.55 billion, and for the current fiscal year, it is $0.75 on revenues of $6.23 billion [7] - The estimate revisions trend for Xerox was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Industry Context - The Office Supplies industry, to which Xerox belongs, is currently ranked in the top 39% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Xerox's stock performance [5]