Xerox is reporting earnings that paint a mixed picture of the company’s financial performance for the first quarter.
The company exceeded Wall Street estimates on sales, but fell short on analysts’ profit predictions.
Xerox earned $39 million in the first quarter, compared to a loss at this time last year, when the first quarter of 2020 was hit hard by the pandemic.
Earnings-per-share in the first quarter of 18 cents didn’t meet Wall Street expectations.
Revenues of $1.7 billion were less than a year ago, but they did top the analysts’ predictions.
Brighton Securities Chairman George Conboy says cost-cutting helped Xerox show a profit for the first quarter.
"The tough part was, the top line for Xerox, sales were down year-over-year, so Xerox sold less service, less maintenance, less rental this year, although equipment sales were the bright spot," Conboy said. "Equipment sales rose, 12, 13 percent."
Xerox CEO John Visentin said that with small- and medium-sized businesses planning to return more employees to the office, along with the products Xerox can offer, management is confident they will return to growth this year.
