Third-Quarter Financial Highlights
- Net sales of $956 million; year-over-year decrease of
30.6%
- Net loss of $15 million and 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
- Previously announced cost reduction plans now expected to drive
$100 million annualized net expense savings, an increase from $85
million
Zebra Technologies Corporation (NASDAQ: ZBRA), an innovator at
the edge of the enterprise with solutions and partners that enable
businesses to gain a performance edge, today announced results for
the third quarter ended September 30, 2023.
“As expected, our third quarter results were impacted by
broad-based end market softness and elongated sales cycles across
our product categories, as well as distributor destocking,” said
Bill Burns, Chief Executive Officer of Zebra Technologies. “As we
enter the fourth quarter, with most of our cost restructuring
actions now implemented, we expect to see a significant sequential
improvement in profitability. While we believe demand trends are
leveling, we are not seeing signs of a market recovery based on
customer behavior, and remain cautious in our planning for the
remainder of the year and first half of 2024. We will continue to
take decisive actions to position us well for profitable growth as
our end markets recover, and elevate our position with customers
through our innovative portfolio of solutions."
$ in millions, except per share
amounts
3Q23
3Q22
Change
Select reported measures:
Net sales
$
956
$
1,378
(30.6
%)
Gross profit
427
628
(32.0
%)
Gross margin
44.7
%
45.6
%
(90) bps
Net (loss) income
(15
)
170
(108.8
%)
Net (loss) income margin
(1.6
)%
12.3
%
(1390) bps
Net (loss) income per diluted share
$
(0.28
)
$
3.26
(108.6
%)
Select Non-GAAP measures:
Adjusted net sales
$
956
$
1,378
(30.6
%)
Organic net sales decline
(29.6
%)
Adjusted gross profit
428
631
(32.2
%)
Adjusted gross margin
44.8
%
45.8
%
(100) bps
Adjusted EBITDA
111
291
(61.9
%)
Adjusted EBITDA margin
11.6
%
21.1
%
(950) bps
Non-GAAP net income
$
45
$
215
(79.1
%)
Non-GAAP diluted earnings per share
$
0.87
$
4.12
(78.9
%)
Net sales were $956 million in the third quarter of 2023
compared to $1,378 million in the prior year. Net sales in the
Enterprise Visibility & Mobility ("EVM") segment were $632
million in the third quarter of 2023 compared with $936 million in
the prior year. Asset Intelligence & Tracking ("AIT") segment
net sales were $324 million in the third quarter of 2023 compared
to $442 million in the prior year. Consolidated organic net sales
for the third quarter decreased 29.6% year-over-year, with a 31.4%
decrease in the EVM segment and 25.8% decrease in the AIT
segment.
Third quarter 2023 gross profit was $427 million compared to
$628 million in the prior year. Gross margin decreased to 44.7% for
the third quarter of 2023 compared to 45.6% in the prior year. The
decrease was primarily due to volume deleveraging partially offset
by lower premium supply chain costs. Adjusted gross margin was
44.8% in the third quarter of 2023 compared to 45.8% in the prior
year.
Operating expenses increased in the third quarter of 2023 to
$439 million from $426 million in the prior year. Operating
expenses increased primarily due to higher exit and restructuring
costs partially offset by lower employee incentive compensation
associated with financial performance, cost reductions and lower
amortization expense. Adjusted operating expenses decreased in the
third quarter of 2023 to $334 million from $356 million in the
prior year.
Net loss for the third quarter of 2023 was $15 million, or $0.28
loss per diluted share, compared to net income of $170 million, or
$3.26 income per diluted share, for the prior year. Non-GAAP net
income for the third quarter of 2023 decreased to $45 million, or
$0.87 per diluted share, compared to $215 million, or $4.12 per
diluted share, for the prior year.
Adjusted EBITDA for the third quarter of 2023 decreased to $111
million, or 11.6% of adjusted net sales, compared to $291 million,
or 21.1% of adjusted net sales for the prior year primarily due to
lower gross margin and higher operating expense as a percent of
revenue.
Balance Sheet and Cash Flow
As of September 30, 2023, the Company had cash and cash
equivalents of $61 million and total debt of $2,280 million.
For the first nine months of 2023, net cash used in operating
activities was $145 million and the Company made capital
expenditures of $48 million, resulting in negative free cash flow
of $193 million. The Company made share repurchases under its
existing authorization of $52 million, and had net debt borrowings
of $248 million.
Cost Initiatives
As previously announced, the Company is executing on the 2022
Productivity Plan and initiated a Voluntary Retirement Plan to
generate cost efficiencies. Both of these Exit and Restructuring
plans are expected to be substantially complete in 2023. The total
charges are expected to be approximately $105 million, and the net
annualized expense savings resulting from these actions is expected
to total approximately $100 million, an increase from $85
million.
Outlook
The Company expects fourth quarter 2023 net sales to decrease
between 32% and 36% compared to the prior year. Foreign currency
translation is expected to have a negligible impact.
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. This
assumes an adjusted effective tax rate of approximately 17%.
Free cash flow is expected to be positive for the second half of
2023, and negative for the full year reflecting lower profitability
and elevated inventory, higher cash taxes and is inclusive of the
anticipated $180 million of previously-announced settlement
payments.
The Company does not provide a reconciliation for non-GAAP
estimates on a forward-looking basis where it is unable to provide
a meaningful or accurate calculation or estimation of reconciling
items and the information is not available without unreasonable
effort. This is due to the inherent difficulty of forecasting the
timing or amount of the most directly comparable forward-looking
GAAP financial measure as discussed under the "Forward-Looking
Statements" caption below. This would include items that have not
yet occurred, are out of the Company’s control and/or cannot be
reasonably predicted, and that would impact diluted net earnings
per share. For the same reasons, the Company is unable to address
the probable significance of the unavailable information.
Forward-looking non-GAAP financial measures provided without the
most directly comparable GAAP financial measures may vary
materially from the corresponding GAAP financial measures.
Conference Call Notification
Investors are invited to listen to a live webcast of Zebra’s
conference call regarding the Company’s financial results. The
conference call will be held today at 7:30 a.m. Central Time (8:30
a.m. Eastern Time). To view the webcast, visit the investor
relations section of the Company’s website at
investors.zebra.com.
About Zebra
Zebra (NASDAQ: ZBRA) helps organizations monitor, anticipate,
and accelerate workflows by empowering their frontline and ensuring
that everyone and everything is visible, connected and fully
optimized. Our award-winning portfolio spans software to
innovations in robotics, machine vision, automation and digital
decisioning, all backed by a +50-year legacy in scanning,
track-and-trace and mobile computing solutions. With an ecosystem
of 10,000 partners across more than 100 countries, Zebra's
customers include over 80% of the Fortune 500. Newsweek recently
recognized Zebra as one of America's Most Loved Workplaces and
Greatest Workplaces for Diversity, and we are on Fast Company's
list of the Best Workplaces for Innovators. Learn more at
www.zebra.com or sign up for news alerts. Follow Zebra’s Your Edge
blog, LinkedIn, Twitter and Facebook, and check out our Story Hub:
Zebra Perspectives.
Forward-Looking Statements
This press release contains forward-looking statements, as
defined by the Private Securities Litigation Reform Act of 1995,
including, without limitation, the statements regarding the
company’s outlook. Actual results may differ from those expressed
or implied in the company’s forward-looking statements. These
statements represent estimates only as of the date they were made.
Zebra undertakes no obligation, other than as may be required by
law, to publicly update or revise any forward-looking statements,
whether as a result of new information, future events, changed
circumstances or any other reason after the date of this
release.
These forward-looking statements are based on current
expectations, forecasts and assumptions and are subject to the
risks and uncertainties inherent in Zebra’s industry, market
conditions, general domestic and international economic conditions,
and other factors. These factors include customer acceptance of
Zebra’s offerings and competitors' offerings, and the potential
effects of emerging technologies and changes in customer
requirements. The effect of global market conditions, and the
availability of credit and capital markets volatility may have
adverse effects on Zebra, its suppliers and its customers. In
addition, natural disasters, man-made disasters, public health
issues (including pandemics), and cybersecurity incidents may have
negative effects on Zebra's business and results of operations.
Zebra's ability to purchase sufficient materials, parts, and
components, and ability to provide services, software and products
to meet customer demand could negatively impact Zebra's results of
operations and customer relationships. Profits and profitability
will be affected by Zebra’s ability to control manufacturing and
operating costs. Because of its debt, interest rates and financial
market conditions may also have an adverse impact on results.
Foreign exchange rates, customs duties and trade policies may have
an adverse effect on financial results because of the large
percentage of Zebra's international sales. The impacts of changes
in foreign and domestic governmental policies, regulations, or
laws, as well as the outcome of litigation or tax matters in which
Zebra may be involved are other factors that could adversely affect
Zebra's business and results of operations. The success of
integrating acquisitions could also adversely affect profitability,
reported results and the company’s competitive position in its
industry. These and other factors could have an adverse effect on
Zebra’s sales, gross profit margins and results of operations and
increase the volatility of Zebra's financial results. When used in
this release and documents referenced, the words “anticipate,”
“believe,” “outlook,” and “expect” and similar expressions, as they
relate to the company or its management, are intended to identify
such forward-looking statements, but are not the exclusive means of
identifying these statements. Descriptions of certain risks,
uncertainties and other factors that could adversely affect the
company’s future operations and results can be found in Zebra’s
filings with the Securities and Exchange Commission, including the
company’s most recent Form 10-K and Form 10-Q.
Use of Non-GAAP Financial Information
This press release contains certain Non-GAAP financial measures,
consisting of “adjusted net sales,” “adjusted gross profit,”
“adjusted gross margin,” “EBITDA,” “Adjusted EBITDA,” “Adjusted
EBITDA margin,” “Adjusted EBITDA % of adjusted net sales,”
“Non-GAAP net income,” “Non-GAAP earnings per share,” “Non-GAAP
diluted earnings per share,” “free cash flow,” “organic net sales,”
“organic net sales growth (decline),” “organic net sales decline,”
and “adjusted operating expenses.” Management presents these
measures to focus on the on-going operations and believes it is
useful to investors because they enable them to perform meaningful
comparisons of past and present operating results. The company
believes it is useful to present non-GAAP financial measures, which
exclude certain significant items, as a means to understand the
performance of its ongoing operations and how management views the
business. Please see the “Reconciliation of GAAP to Non-GAAP
Financial Measures” tables and accompanying disclosures at the end
of this press release for more detailed information regarding
non-GAAP financial measures herein, including the items reflected
in adjusted net earnings calculations. These measures, however,
should not be construed as an alternative to any other measure of
performance determined in accordance with GAAP.
The company does not provide a reconciliation for non-GAAP
estimates on a forward-looking basis (including the information
under “Outlook” above) where it is unable to provide a meaningful
or accurate calculation or estimation of reconciling items and the
information is not available without unreasonable effort. This is
due to the inherent difficulty of forecasting the timing or amount
of various items that have not yet occurred, are out of the
company’s control and/or cannot be reasonably predicted, and that
would impact diluted net earnings per share, the most directly
comparable forward-looking GAAP financial measure. For the same
reasons, the company is unable to address the probable significance
of the unavailable information. Forward-looking non-GAAP financial
measures provided without the most directly comparable GAAP
financial measures may vary materially from the corresponding GAAP
financial measures.
As a global company, Zebra's operating results reported in U.S.
dollars are affected by foreign currency exchange rate fluctuations
because the underlying foreign currencies in which the company
transacts change in value over time compared to the U.S. dollar;
accordingly, the company presents certain organic growth financial
information, which includes impacts of foreign currency
translation, to provide a framework to assess how the company’s
businesses performed excluding the impact of foreign currency
exchange rate fluctuations. Foreign currency impact represents the
difference in results that are attributable to fluctuations in the
currency exchange rates used to convert the results for businesses
where the functional currency is not the U.S. dollar. This impact
is calculated by translating current period results at the currency
exchange rates used in the comparable period in the prior year,
rather than the exchange rates in effect during the current period.
In addition, the company excludes the impact of its foreign
currency hedging program in the prior year periods. The company
believes these measures should be considered a supplement to and
not in lieu of the company’s performance measures calculated in
accordance with GAAP.
ZEBRA TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
CONSOLIDATED BALANCE
SHEETS
(In millions, except share
data)
September 30,
2023
December 31,
2022
(Unaudited)
Assets
Current assets:
Cash and cash equivalents
$
61
$
105
Accounts receivable, net of allowances for
doubtful accounts of $1 each as of September 30, 2023 and December
31, 2022
538
768
Inventories, net
848
860
Income tax receivable
43
26
Prepaid expenses and other current
assets
162
124
Total Current assets
1,652
1,883
Property, plant and equipment, net
302
278
Right-of-use lease assets
165
156
Goodwill
3,893
3,899
Other intangibles, net
552
630
Deferred income taxes
438
407
Other long-term assets
329
276
Total Assets
$
7,331
$
7,529
Liabilities and Stockholders’ Equity
Current liabilities:
Current portion of long-term debt
$
152
$
214
Accounts payable
433
811
Accrued liabilities
528
744
Deferred revenue
428
425
Income taxes payable
21
138
Total Current liabilities
1,562
2,332
Long-term debt
2,121
1,809
Long-term lease liabilities
150
139
Deferred income taxes
75
75
Long-term deferred revenue
318
333
Other long-term liabilities
92
108
Total Liabilities
4,318
4,796
Stockholders’ Equity:
Preferred stock, $.01 par value;
authorized 10,000,000 shares; none issued
—
—
Class A common stock, $.01 par value;
authorized 150,000,000 shares; issued 72,151,857 shares
1
1
Additional paid-in capital
599
561
Treasury stock at cost, 20,792,573 and
20,700,357 shares as of September 30, 2023 and December 31, 2022,
respectively
(1,858
)
(1,799
)
Retained earnings
4,315
4,036
Accumulated other comprehensive loss
(44
)
(66
)
Total Stockholders’ Equity
3,013
2,733
Total Liabilities and Stockholders’
Equity
$
7,331
$
7,529
ZEBRA TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF
OPERATIONS
(In millions, except per share
data)
(Unaudited)
Three Months Ended
Nine Months Ended
September 30,
2023
October 1, 2022
September 30,
2023
October 1, 2022
Net sales:
Tangible products
$
729
$
1,164
$
2,885
$
3,630
Services and software
227
214
690
648
Total Net sales
956
1,378
3,575
4,278
Cost of sales:
Tangible products
419
632
1,559
1,998
Services and software
110
118
341
341
Total Cost of sales
529
750
1,900
2,339
Gross profit
427
628
1,675
1,939
Operating expenses:
Selling and marketing
138
149
445
452
Research and development
127
143
403
428
General and administrative
88
92
256
288
Settlement and related costs
—
—
—
372
Amortization of intangible assets
26
39
78
107
Acquisition and integration costs
2
1
4
19
Exit and restructuring costs
58
2
82
4
Total Operating expenses
439
426
1,268
1,670
Operating (loss) income
(12
)
202
407
269
Other income (loss), net:
Foreign exchange gain
6
—
2
5
Interest (expense) income, net
(16
)
21
(69
)
48
Other expense, net
(2
)
(1
)
(8
)
(3
)
Total Other (expense) income, net
(12
)
20
(75
)
50
(Loss) income before income tax
(24
)
222
332
319
Income tax (benefit) expense
(9
)
52
53
42
Net (loss) income
$
(15
)
$
170
$
279
$
277
Basic (loss) earnings per share
$
(0.28
)
$
3.28
$
5.44
$
5.29
Diluted (loss) earnings per share
$
(0.28
)
$
3.26
$
5.40
$
5.25
ZEBRA TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF
CASH FLOWS
(In millions)
(Unaudited)
Nine Months Ended
September 30,
2023
October 1, 2022
Cash flows from operating activities:
Net income
$
279
$
277
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization
132
158
Share-based compensation
39
70
Deferred income taxes
(35
)
(115
)
Unrealized gain on forward interest rate
swaps
(14
)
(92
)
Other, net
3
4
Changes in operating assets and
liabilities:
Accounts receivable, net
228
(58
)
Inventories, net
7
(293
)
Other assets
(25
)
(68
)
Accounts payable
(402
)
127
Accrued liabilities
(79
)
(101
)
Deferred revenue
(12
)
27
Income taxes
(134
)
3
Settlement liability
(135
)
270
Other operating activities
3
12
Net cash (used in) provided by operating
activities
(145
)
221
Cash flows from investing activities:
Acquisition of businesses, net of cash
acquired
—
(878
)
Purchases of property, plant and
equipment
(48
)
(51
)
Purchases of long-term investments
(1
)
(12
)
Net cash used in investing activities
(49
)
(941
)
Cash flows from financing activities:
Payment of debt issuance costs,
extinguishment costs and discounts
—
(8
)
Payments of long-term debt
(221
)
(210
)
Proceeds from issuance of long-term
debt
469
1,385
Payments for repurchases of common
stock
(52
)
(655
)
Net proceeds related to share-based
compensation plans
(8
)
(14
)
Change in unremitted cash collections from
servicing factored receivables
(48
)
(28
)
Net cash provided by financing
activities
140
470
Effect of exchange rate changes on cash
and cash equivalents, including restricted cash
(2
)
(2
)
Net decrease in cash and cash equivalents,
including restricted cash
(56
)
(252
)
Cash and cash equivalents, including
restricted cash, at beginning of period
117
344
Cash and cash equivalents, including
restricted cash, at end of period
$
61
$
92
Less restricted cash, included in Prepaid
expenses and other current assets
—
(11
)
Cash and cash equivalents at end of
period
$
61
$
81
Supplemental disclosures of cash flow
information:
Income taxes paid
$
227
$
152
Interest paid
$
80
$
34
ZEBRA TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
RECONCILIATION OF ORGANIC NET
SALES GROWTH (DECLINE)
(Unaudited)
Three Months Ended
September 30, 2023
AIT
EVM
Consolidated
Reported GAAP Consolidated Net sales
decline
(26.7
)%
(32.5
)%
(30.6
)%
Adjustments:
Impact of foreign currency translations
(1)
0.9
%
1.1
%
1.0
%
Consolidated Organic Net sales decline
(25.8
)%
(31.4
)%
(29.6
)%
Nine Months Ended
September 30, 2023
AIT
EVM
Consolidated
Reported GAAP Consolidated Net sales
decline
(1.1
)%
(23.3
)%
(16.4
)%
Adjustments:
Impact of foreign currency translations
(1)
2.1
%
2.0
%
2.0
%
Impact of acquisitions (2)
—
%
(1.0
)%
(0.7
)%
Consolidated Organic Net sales growth
(decline)
1.0
%
(22.3
)%
(15.1
)%
(1)
Operating results reported in U.S. Dollars
are affected by foreign currency exchange rate fluctuations.
Foreign currency translation impact represents the difference in
results that are attributable to fluctuations in the currency
exchange rates used to convert the results for businesses where the
functional currency is not the U.S. Dollar. This impact is
calculated by translating the current period results at the
currency exchange rates used in the comparable prior year period,
inclusive of the Company’s foreign currency hedging program.
(2)
For purposes of computing Consolidated
Organic Net sales decline and Consolidated Organic Net sales growth
(decline), amounts directly attributable to business acquisitions
are excluded for twelve months following their respective
acquisitions.
ZEBRA TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
RECONCILIATION OF GAAP TO
NON-GAAP GROSS MARGIN
(In millions)
(Unaudited)
Three Months Ended
September 30, 2023
October 1, 2022
AIT
EVM
Consolidated
AIT
EVM
Consolidated
GAAP
Reported Net sales
$
324
$
632
$
956
$
442
$
936
$
1,378
Reported Gross profit
145
282
427
193
435
628
Gross Margin
44.8
%
44.6
%
44.7
%
43.7
%
46.5
%
45.6
%
Non-GAAP
Adjusted Net sales
$
324
$
632
$
956
$
442
$
936
$
1,378
Adjusted Gross profit (1)
145
283
428
194
437
631
Adjusted Gross Margin
44.8
%
44.8
%
44.8
%
43.9
%
46.7
%
45.8
%
Nine Months Ended
September 30, 2023
October 1, 2022
AIT
EVM
Consolidated
AIT
EVM
Consolidated
GAAP
Reported Net sales
$
1,305
$
2,270
$
3,575
$
1,320
$
2,958
$
4,278
Reported Gross profit
628
1,047
1,675
557
1,382
1,939
Gross Margin
48.1
%
46.1
%
46.9
%
42.2
%
46.7
%
45.3
%
Non-GAAP
Adjusted Net sales
$
1,305
$
2,270
$
3,575
$
1,320
$
2,958
$
4,278
Adjusted Gross profit (1)
629
1,050
1,679
558
1,386
1,944
Adjusted Gross Margin
48.2
%
46.3
%
47.0
%
42.3
%
46.9
%
45.4
%
(1)
Adjusted Gross profit excludes
share-based compensation expense.
ZEBRA TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
RECONCILIATION OF GAAP TO
NON-GAAP NET INCOME
(In millions, except share
data)
(Unaudited)
Three Months Ended
Nine Months Ended
September 30,
2023
October 1, 2022
September 30,
2023
October 1, 2022
GAAP Net (loss) income
$
(15
)
$
170
$
279
$
277
Adjustments to Cost of sales(1)
Share-based compensation
1
3
4
5
Total adjustments to Cost of
sales
1
3
4
5
Adjustments to Operating expenses(1)
Amortization of intangible assets
26
39
78
107
Acquisition and integration costs
2
1
4
19
Settlement and related costs
—
—
—
372
Share-based compensation
19
28
42
70
Exit and restructuring costs
58
2
82
4
Total adjustments to Operating
expenses
105
70
206
572
Adjustments to Other income (expense),
net(1)
Amortization of debt issuance costs and
discounts
1
—
2
4
Investment loss
—
—
1
—
Foreign exchange (gain)
(6
)
—
(2
)
(5
)
Forward interest rate swap (gain)
(23
)
(39
)
(34
)
(84
)
Total adjustments to Other income
(expense), net
(28
)
(39
)
(33
)
(85
)
Income tax effect of adjustments(2)
Reported income tax (benefit) expense
(9
)
52
53
42
Adjusted income tax (benefit)
(9
)
(41
)
(90
)
(139
)
Total adjustments to income tax
(18
)
11
(37
)
(97
)
Total adjustments
60
45
140
395
Non-GAAP Net income
$
45
$
215
$
419
$
672
GAAP (loss) earnings per share
Basic
$
(0.28
)
$
3.28
$
5.44
$
5.29
Diluted
$
(0.28
)
$
3.26
$
5.40
$
5.25
Non-GAAP earnings per share
Basic
$
0.87
$
4.15
$
8.16
$
12.82
Diluted
$
0.87
$
4.12
$
8.10
$
12.73
Basic weighted average shares
outstanding(3)
51,336,645
51,834,236
51,380,876
52,387,838
Diluted weighted average and equivalent
shares outstanding(3)
51,336,645
52,157,852
51,717,731
52,756,631
(1)
Presented on a pre-tax basis.
(2)
Represents adjustments to GAAP income tax
expense commensurate with pre-tax non-GAAP adjustments (including
the resulting impacts to U.S. BEAT/GILTI provisions), as well as
adjustments to exclude the impacts of certain discrete income tax
items and incorporate the anticipated annualized effects of current
year tax planning.
(3)
For GAAP purposes, in periods of a net
loss, restricted stock and performance share awards, which are
participating securities, are excluded from weighted-average shares
outstanding and all unvested share-based awards were anti-dilutive
and therefore excluded from diluted shares. For the three months
ended September 30, 2023, Non-GAAP basic and diluted weighted
average shares outstanding were 51,344,065 and 51,696,702,
respectively.
ZEBRA TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
GAAP to NON-GAAP
RECONCILIATION TO EBITDA
(In millions)
(Unaudited)
Three Months Ended
Nine Months Ended
September 30,
2023
October 1, 2022
September 30,
2023
October 1, 2022
GAAP Net (loss) income
$
(15
)
$
170
$
279
$
277
Add back:
Depreciation (excluding exit and
restructuring)
17
16
52
51
Amortization of intangible assets
26
39
78
107
Total Other expense (income), net
12
(20
)
75
(50
)
Income tax (benefit) expense
(9
)
52
53
42
EBITDA (Non-GAAP)
31
257
537
427
Adjustments to Cost of sales
Share-based compensation
1
3
4
5
Total adjustments to Cost of sales
1
3
4
5
Adjustments to Operating expenses
Acquisition and integration costs
2
1
4
19
Settlement and related costs
—
—
—
372
Share-based compensation
19
28
42
70
Exit and restructuring costs
58
2
82
4
Total adjustments to Operating
expenses
79
31
128
465
Total adjustments to EBITDA
80
34
132
470
Adjusted EBITDA (Non-GAAP)
$
111
$
291
$
669
$
897
Adjusted EBITDA % of Adjusted Net Sales
(Non-GAAP)
11.6
%
21.1
%
18.7
%
21.0
%
FREE
CASH FLOW
Nine Months Ended
September 30,
2023
October 1, 2022
Net cash (used in) provided by operating
activities
$
(145
)
$
221
Less: Purchases of property, plant and
equipment
(48
)
(51
)
Free cash flow (Non-GAAP)(1)
$
(193
)
$
170
(1)
Free cash flow, a non-GAAP
measure, is defined as Net cash provided by (used in) operating
activities in a period minus purchases of property, plant and
equipment (capital expenditures) made in that period. This measure
does not represent residual cash flows available for discretionary
expenditures as the measure does not deduct the payments required
for debt service and other contractual obligations or payments for
future business acquisitions. Therefore, we believe it is important
to view free cash flow as a measure that provides supplemental
information to our entire statements of cash flows.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20231031307855/en/
Investors Michael Steele, CFA, IRC
Vice President, Investor Relations Phone: + 1 847 518 6432
InvestorRelations@zebra.com
Media Therese Van Ryne Senior
Director, External Communications Phone: + 1 847 370 2317
therese.vanryne@zebra.com
Zebra Technologies (NASDAQ:ZBRA)
Gráfico Histórico do Ativo
De Ago 2024 até Set 2024
Zebra Technologies (NASDAQ:ZBRA)
Gráfico Histórico do Ativo
De Set 2023 até Set 2024