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NORWALK, Conn .– (BUSINESS WIRE)-Xerox Holdings Corporation (NASDAQ: XRX) is hosting an Investor Day today to share plans for creating long-term shareholder value, including strategies to grow the Print & Services business and specifically growth and commercialization strategies for new businesses and innovations. Xerox will also provide a long -term financial forecast for each of its businesses, covering plans for growth in print and beyond. The event was hosted at the Nasdaq Marketsite in New York, New York.
“At Xerox, innovation is the core of what we do and who we are. We have continued to invest in innovation throughout pandemics and disruptions in the global supply chain, and now we are pleased to share our progress, ”said John Visentin, vice chairman and CEO, Xerox. “We use innovation to drive growth in Print & Services, IT and Digital Services, as well as in our new disruptive businesses, CareAR and FITTLE, and in some transformative efforts at PARC.”
As part of its Investor Day, Xerox will introduce FITTLE, a rebrand of Xerox Financial Services (XFS), a leading provider of innovative business funding solutions to help organizations of all sizes adapt and grow. The evolution at FITTLE reflects the breadth of Xerox’s offerings and expansion into new market segments.
The event also includes:
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Review Xerox’s three -year financial outlook:
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Revenue of at least $ 7.1 billion in actual money in 2022, with expected low to mid-single digit annual growth through 2024
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Adjusted operating margin expansion by more than 200 basis points
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Free cash flow generation of at least $ 400 million by 2022, and $ 450 million to $ 500 million annually through 2024
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Expected return of at least 50% of free cash flow to shareholders
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A detailed analysis of newly established businesses and their respective growth strategies
- KASAMA – Introducing a new name for this business, which will further target funding opportunities beyond Xerox equipment and services.
- CareAR -Will play a leading role in developing the Service Experience Management market, which is expected to grow to $ 80 billion by 2028, with its AR/VR and AI-driven visual support platform.
- PARC – Venture ecosystem driving the commercial applications of PARC’s research efforts in the IoT, additive manufacturing and cleantech industries.
- Financial perspectives for Print & Services, FITTLE, CareAR and PARC, along with KPI and financial metrics to enable the sum of Xerox’s analysis components.
- Investment strategy for driving long-term growth, including the expansion of IT Services, deployment of Digital Services that respond to changing clients needs and investment in the workplace to measure, commercialize and ultimately monetize our new business.
A live webcast of today’s event along with related presentation material is available on Xerox’s Investor Relations website at news.xerox.com/investors. The replay of the Investor Day presentation and presentation material will be accessible for at least 90 days.
About Xerox Holdings Corporation (NASDAQ: XRX)
For over 100 years, Xerox has continually transformed the workplace experience. With our leadership position in office printing technology and production, we have expanded software and services to maintain today’s workforce. From the office to industrial environments, our diverse business solutions and financial services are designed to make every day better for clients – wherever that work is done. Today, Xerox scientists and engineers continue our legacy of innovation with disruptive technologies in digital transformation, augmented reality, robotic process automation, additive manufacturing, Industrial Internet of Things and cleantech. Learn more at xerox.com.
Non -GAAP Measures
This release refers to the following non -GAAP financial measures:
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Adjusted operating margin excluding Restructuring and related costs, net profit, Amortization of intangible assets, Transaction and related costs, net profit, non-service costs associated with retirement, and other discrete adjustment as well as the remainder of Other expenses, net profit from pre-tax income and margin.
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Free cash flow, which operates cash flow that lowers capital expenditures.
Refer to the “Non -GAAP Finances” section of the Investor Day presentation for a discussion on these non -GAAP measures. The concessions of the above measures in GAAP, for the periods mentioned, cannot be granted without unreasonable effort due to the uncertainty of the reconciliation amounts such as restructuring, transaction costs, retirement costs that non -service, intangible amortization, other costs, net income and related income tax effects on those items.
Dependent Statements
This presentation, and other written or oral statements made from time to time by management contain “future statements” as defined in the Private Securities Litigation Reform Act of 1995. The words “anticipate”, “believe “,” estimate “,” expect “,” intend “,” will “,” should “,” targeting “,” projecting “,” driving “and similar expressions, as they relate to us, to our performance and/or our technology, are intended to define forward- looking statements.These statements reflect current management beliefs, assumptions, and expectations and are subject to certain factors that may cause actual results that differ in material.Such factors include but are not limited to: the effects of the COVID-19 pandemic on our businesses and our customers and the duration and extent to which it will affect our results in future operations a t overall financial performance; our ability to address our business challenges to reverse declining revenue, reduce costs and increase productivity so we can invest and grow our business; our ability to attract and retain key personnel; changes in economic and political conditions, trade protection measures, licensing requirements and tax laws in the United States and in the foreign countries in which we do business; the imposition of new or incremental trade protection measures such as tariffs and restrictions on imports or exports; changes in foreign exchange rates; our ability to successfully develop new products, technologies and service offerings and protect our intellectual property rights; the risk that multi-year contracts with government entities may be terminated before the end of the contract term and that civil or criminal penalties and administrative penalties may be imposed on us if we do not comply with the terms of such contracts and applicable law; the risk that partners, subcontractors and software vendors will not perform in a timely, quality manner; actions of competitors and our ability to respond quickly and effectively to changing technologies and customer expectations; our ability to obtain adequate pricing for our products and services and to maintain and improve cost efficiency of operations, including savings from restructuring actions; the risk that confidential and/or individually identifiable information to us, our customers, clients and employees may inadvertently disclose or disclose as a result of a breach of our security systems due to cyber attacks or other intentional actions; reliance on third parties, including subcontractors, for the manufacture of products and provision of services; the exit of the United Kingdom from the European Union; our ability to manage changes in the printing environment and expand equipment placements; interest rates, borrowing amounts and access to credit markets; funding requirements associated with our employee pension and retiree health benefit plans; the risk that our operations and products may not comply with applicable worldwide regulatory requirements, specifically environmental regulations and directives and anti -corruption laws; the outcome of litigation and regulatory proceedings in which we may be a party; any effects resulting from the reorganization of our relationship with Fujifilm Holdings Corporation; the shared service adjustments we entered into as part of Project Own It; whether CareAR’s service experience management platform will meet expectations regarding customer adoption, integration with the ServiceNow platform, and cost and carbon reduction; CareAR’s financial performance, including projected revenue for fiscal years 2022 and beyond; the financial performance of FITTLE, including projected revenue for fiscal years 2022 and beyond; and PARC’s ability to successfully monetize its technology and its research products. Additional risks that may affect Xerox’s operations and other factors are set forth in the “Risk Factors” section, the “Legal Procedures” section, the “Financial Condition Management Discussion and Analysis” section. Results of Operations ”and other sections of Xerox Holdings The combined 2020 Annual Report of the Corporation and Xerox Corporation on Form 10-K, as well as the Quarterly Reports of Xerox Holdings Corporation and Xerox Corporation on Form 10-Q and Current Reports on Form 8-K filed with the SEC.
These statements speak only on the date of this presentation or the date on which they are determined, and Xerox has no obligation to update any future statements as a result of new information or events or future development, unless required by law.
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Check out the source version at businesswire.com: https://www.businesswire.com/news/home/20220223005445/en/
Media Contact:
Justin Capella, Xerox, +1-203-258-6535, [email protected]
Investor Relations:
David Beckel, Xerox, +1-203-849-2318, [email protected]
Source: Xerox Holdings Corporation