Xerox Releases Fourth-Quarter and Full-Year Results

Financial Summary

Q4 2025

• Revenue of $2.03 billion, up 25.7 percent, or 23.6 percent in constant currency¹. On a pro forma² basis, revenue down 9.0 percent.

• GAAP net (loss) of $(73) million, or $(0.60) per share, an increased loss of $52 million or $(0.40) per share, year-over-year, respectively.

• Adjusted¹ net (loss) of $(8) million, or $(0.10) per share, down $57 million or $(0.46) per share, year-over-year, respectively.

• Adjusted¹ operating margin of 5.0 percent, down 140 basis points year-over-year.

• Operating cash flow of $208 million, down $143 million year-over-year.

• Free cash flow¹ of $184 million, down $150 million year-over-year.
   

FY 2025

• Revenue of $7.02 billion, up 12.9 percent, or 12.2 percent in constant currency¹. On a pro forma² basis, revenue down 7.6 percent.

• GAAP net (loss) of $(1.03) billion, or $(8.25) per share, an improvement of approximately $0.3 billion or $2.50 per share, year-over-year, respectively. 2024 includes an after-tax non-cash goodwill impairment charge of $1.0 billion, or $8.17 per share.
• Adjusted¹ net (loss) of $(62) million, or $(0.60) per share, down $197 million or $1.57 per share, year-over-year, respectively. 

• Adjusted¹ operating margin of 3.5 percent, down 140 basis points year-over-year.

• Operating cash flow of $224 million, down $287 million year-over-year.  

• Free cash flow¹ of $133 million, down $334 million year-over-year.

* 2025 free cash flow guidance did not anticipate the accounting treatment of pre-existing intercompany balances between Xerox and Lexmark. U.S. GAAP requires it to be recorded within operating cash flow instead of being treated as part of the purchase price within investing. Because of this, following Q3 earnings we reclassified $43 million from investing cash flow to operating cash flow. This adjustment had no impact on actual cash, no impact on underlying cash generation, and no impact on Q4 free cash flow.

News Release	Related Earnings Documents	Webcast and Multimedia
Fourth-Quarter and Full-Year Results (PDF, 811KB)	Xerox Q4 2025 Earnings Presentation (PDF, 1.97 MB)   Xerox Q4 2025 Non-GAAP Measures (PDF, 1.11 MB)   Xerox Q4 2025 Financial Model (PDF, 337 KB) or (Excel, 4.3 MB)	Webcast Replay: Conference Call

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