Financial Performance - Revenue remained relatively stable at $1.58 billion, reflecting a (0.1)% change at actual currency (AC) and a (1.1)% change at constant currency (CC) [6] - Adjusted operating margin increased from 3.7% to 5.4% [7] - Free cash flow was $(30) million, compared to $115 million in the previous year [8] - Adjusted earnings per share (EPS) improved to $0.29 from $(0.64) [10] Strategic Initiatives and Acquisitions - The company acquired Lexmark in July 2025, expecting to drive operating efficiencies and increase competitiveness in the A4 print segment [13] - The acquisition of ITsavvy doubled IT Solutions (ITS) revenue and enhanced the ITS offering [13] - The company expects to realize more than $250 million of total synergies within two years of the Lexmark transaction close [23] Segment Results - Print & Other segment revenue decreased by (8.6)% AC and (9.7)% CC to $1.366 billion [37] - IT Solutions segment revenue increased significantly by 153.6% AC and 152.4% CC to $213 million, driven by the acquisition of ITsavvy [40] Guidance and Outlook - The company expects Lexmark to contribute around $1 billion of revenue and $100 to $110 million of adjusted operating income in 2025 [34] - Free cash flow guidance for 2025 was revised to approximately $250 million, reflecting tariff expenses and accelerated Lexmark synergy implementation costs [34]

Q1 2025 Financial Performance - Revenue decreased to $1.457 billion, a 3.0% decrease year-over-year at actual currency (AC) and a 1.1% decrease at constant currency (CC)[6, 25] - Adjusted operating margin was 1.5% in Q1 2024 and increased to 2.2% in Q1 2025[7] - Free cash flow was negative $109 million in Q1 2025, compared to negative $89 million in Q1 2024[8] - Adjusted loss per share was negative $0.06 in Q1 2024 and turned into positive $0.06 in Q1 2025[10] Segment Results - Print & Other segment revenue decreased by 9.4% year-over-year (AC) to $1.294 billion[25, 27] - IT Solutions segment revenue increased by 121.6% year-over-year (AC) to $164 million[25, 31] Strategic Initiatives and Outlook - The company is executing a Reinvention program, targeting over $700 million in identified savings[14, 18] - The company expects over $250 million of cost synergies from the ITsavvy and Lexmark acquisitions[18] - Full-year 2025 guidance includes low single-digit revenue growth in constant currency, an adjusted operating margin of at least 5.0%, and free cash flow of $350 million to $400 million[50] Lexmark Acquisition - The acquisition of Lexmark is progressing as expected, with revenue growing approximately 9% in 2024 to $2.247 billion and EBITDA increasing 24% to $291 million[21, 22] - The company continues to expect >$1 per share of adjusted EPS accretion from the Lexmark acquisition[21] Tariff Impact - The company estimates a potential $50 million reduction in operating income in 2025 due to incremental tariff costs, based on tariffs in place on May 1[24]