NASDAQ$ZBRA
Zebra Technologies Corp. · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Third quarter results were impacted by broad-based end market softness and elongated sales cycles across product categories, as well as distributor destocking.
Zebra Technologies reported a decrease in net sales by 30.6% year-over-year to $956 million, with a net loss of $15 million, or $(0.28) per diluted share. Adjusted EBITDA decreased to $111 million. The company expects a significant sequential improvement in profitability due to cost restructuring actions.
- Net sales decreased by 30.6% year-over-year to $956 million.
- Net loss was $15 million, with a net loss per diluted share of $(0.28).
- Non-GAAP diluted EPS decreased year-over-year to $0.87.
- Adjusted EBITDA decreased year-over-year to $111 million.
Headline financials
Revenue & EPS history
Zebra · Revenue · Quarterly
$956M
Revenue by segment
Zebra · $956M total across 2 segments · Q3 2023
- Connected Frontline (CF)$632M-34.4%66.1%
- Asset Visibility & Automation$324M-21.9%33.9%
Forward guidance
The Company expects fourth quarter 2023 net sales to decrease between 32% and 36% compared to the prior year. Adjusted EBITDA margin for the fourth quarter of 2023 is expected to be approximately 16%. Non-GAAP diluted earnings per share are expected to be in the range of $1.40 to $1.80.
Tailwinds
- Adjusted EBITDA margin for the fourth quarter of 2023 is expected to be approximately 16%.
- Non-GAAP diluted earnings per share are expected to be in the range of $1.40 to $1.80.
- Free cash flow is expected to be positive for the second half of 2023.
- Cost reduction plans now expected to drive $100 million annualized net expense savings, an increase from $85 million.
- Expect to see a significant sequential improvement in profitability.
Headwinds
- Fourth quarter 2023 net sales to decrease between 32% and 36% compared to the prior year.
- Free cash flow is expected to be negative for the full year.
- Lower profitability.
- Elevated inventory.
- Higher cash taxes.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q3 2023
+0.3%
Avg return
Earnings day
+2.2%
Avg return
5 days after
+2.4%
Avg return
30 days after
53%
36 / 68 earnings
Positive
+17.9%
Q4 2017
Best reaction
-21.7%
Q2 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.6% | +19.7% | +0.5% | |
| Q4 2025 | +8.6% | +3.3% | -19.7% | |
| Q3 2025 | -11.7% | -13.3% | -19.3% | |
| Q1 2025 | +5.2% | +5.1% | +20.1% | |
| Q4 2024 | -8.4% | -6.2% | -21.0% | |
| Q3 2024 | +5.6% | +5.8% | +11.6% | |
| Q2 2024 | +4.8% | -3.8% | +2.1% | |
| Q1 2024 | +3.0% | +3.2% | +5.5% | |
| Q4 2023 | +8.9% | +7.5% | +13.0% | |
| Q3 2023 | -5.6% | +2.2% | +13.0% | |
| Q2 2023 | -21.7% | -18.4% | -10.7% | |
| Q1 2023 | -10.1% | -4.7% | -7.4% | |
| Q4 2022 | -1.4% | -6.1% | -11.7% | |
| Q3 2022 | -16.7% | -18.6% | -5.1% | |
| Q2 2022 | -8.9% | -7.5% | -13.6% | |
| Q1 2022 | -3.1% | -9.7% | -8.6% | |
| Q4 2021 | -12.7% | -14.0% | -23.7% | |
| Q3 2021 | +6.6% | +12.0% | +10.0% | |
| Q2 2021 | +1.6% | +2.1% | +6.8% | |
| Q1 2021 | +0.7% | +2.0% | +5.6% | |
| Q4 2020 | +11.8% | +13.7% | +10.6% | |
| Q3 2020 | +12.3% | +18.2% | +27.1% | |
| Q2 2020 | +0.2% | +2.7% | +1.4% | |
| Q1 2020 | +10.9% | +2.1% | +16.5% | |
| Q4 2019 | -5.2% | -6.1% | -27.0% | |
| Q3 2019 | +7.2% | +6.8% | +14.5% | |
| Q2 2019 | +11.3% | +5.0% | +10.1% | |
| Q1 2019 | -9.6% | -9.0% | -25.2% | |
| Q4 2018 | +8.6% | +8.3% | +14.9% | |
| Q3 2018 | +7.3% | +8.0% | +2.7% | |
| Q2 2018 | +10.7% | +13.4% | +17.5% | |
| Q1 2018 | +8.8% | +13.2% | +15.0% | |
| Q4 2017 | +17.9% | +16.6% | +13.3% | |
| Q3 2017 | -7.9% | -9.8% | -7.0% | |
| Q2 2017 | +6.8% | +6.4% | +3.6% | |
| Q1 2017 | +2.3% | +3.1% | +11.7% | |
| Q4 2016 | +8.4% | +5.8% | +1.2% | |
| Q3 2016 | +9.2% | +12.3% | +27.5% | |
| Q2 2016 | +11.8% | +15.1% | +17.6% | |
| Q1 2016 | -17.8% | — | — | |
| Q4 2015 | -15.0% | — | — | |
| Q3 2015 | -9.3% | — | — | |
| Q2 2015 | -20.4% | — | — | |
| Q1 2015 | +15.5% | — | — | |
| Q4 2014 | -3.5% | — | — | |
| Q3 2014 | -1.1% | — | — | |
| Q2 2014 | -8.1% | — | — | |
| Q1 2014 | +3.5% | — | — | |
| Q4 2013 | +15.3% | — | — | |
| Q3 2013 | +6.3% | — | — | |
| Q2 2013 | -1.3% | — | — | |
| Q1 2013 | +0.3% | — | — | |
| Q4 2012 | +3.5% | — | — | |
| Q3 2012 | +3.5% | — | — | |
| Q2 2012 | -2.0% | — | — | |
| Q1 2012 | +0.7% | — | — | |
| Q4 2011 | +1.9% | — | — | |
| Q3 2011 | -1.5% | — | — | |
| Q2 2011 | -11.6% | — | — | |
| Q1 2010 | -1.0% | — | — | |
| Q4 2010 | -1.0% | — | — | |
| Q1 2011 | +0.1% | — | — | |
| Q4 2008 | -0.3% | — | — | |
| Q3 2010 | -1.1% | — | — | |
| Q3 2009 | -1.1% | — | — | |
| Q2 2009 | -0.0% | — | — | |
| Q2 2010 | -0.0% | — | — | |
| Q4 2009 | -0.0% | — | — |
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