Released on 30 April, the company reported revenue of USD 1.85-bn, up 26.7% or 23.6% in constant currency terms.
On a pro forma basis, which reflects the inclusion of Lexmark’s estimated results from 1 January 2025 to 31 March 2025, revenue was down 3.7%. Lexmark’s actual results were included in Xerox’s reported results beginning on 1 July 2025, the effective date of the acquisition.
The manufacturer also reported a GAAP net loss of USD 105-m or 0.84 per share, down USD 15-m or USD 0.09 per share, year-on-year, respectively.
Adjusted net loss was USD 51-m or USD 0.43 per share, down USD 47-m or USD 0.37 per share, year-on-year, respectively.
The business also reported adjusted operating income of USD 72-m, up USD 50-m year-on-year, and adjusted operating margin of 3.9%, up 240 basis points year-on-year.
By segment, Print and Other achieved revenue of USD 1.69-bn, up 30.8% year-on-year, while IT Solutions dropped by 4.9% to USD 156-m.
Louie Pastor, CEO at Xerox, who took over in the top role last month after Steve Bandrowczak stepped down, said: “This quarter’s results demonstrated tangible progress as revenue and profit trajectory improved, adjusted operating margin expanded, and we further enhanced our liquidity. When I took this role, I was unequivocal that we must be clear about our priorities – stabilise revenue, increase profitability and reduce leverage – and establish credibility by executing on them one quarter at a time. I am genuinely optimistic about the future of this business and confident we are closer to an inflexion point than the external narrative suggests. Reaffirming our 2026 guidance reflects that confidence.”
Recapping Q1 highlights, the business said Lexmark synergies were on plan, and it reaffirmed at least USD 300-m of integration synergies; while the company’s print sales pipeline was “materially higher” compared to this time last year.
Production installs increased by 31% year-on-year, partly fuelled by the Proficio launch.
Q1 IT Solutions bookings and billings showed growth of 32% and 21%, respectively, while the business said it raised USD 450-m through a newly formed IP joint venture with TPG Angelo Gordon. Xerox said it also repurchased USD 101-m face value of 2028 senior notes.
The company’s 2026 guidance is for revenue above USD 7.5-bn, adjusted operating income of USD 450-USD 500-m and free cash flow of around USD 250-m. Xerox’s 2025 revenue was USD 7.02-bn.