Xerox Holdings Corp. shares slid 14% premarket Thursday, after the maker of copiers and printers swung to a loss in the first quarter, weighed down by supply chain issues and inflationary pressures. The company posted a net loss of $56 million, or 38 cents a share, for the quarter, after earnings of $39 million, or 18 cents a share, in the year-earlier period. Adjusted per-share loss came to 12 cents, while the FactSet consensus was for EPS of 13 cents. Revenue fell to $1.668 billion from $1.710 billion a year ago, edging ahead of the $1.641 billion FactSet consensus. Chief Executive John Visentin said it was an “increasingly volatile operation environment.” “Broad-based inflationary pressure and increased logistics costs from supply chain disruption resulted in an operating loss, but we expect to offset most of these cost increases over time with price actions and additional Project Own It savings,” Visentin said in a statement. The company is sticking with its 2022 guidance and still expects revenue of at least $7.1 billion. Shares have fallen 18% in the last 12 months, while the S&P 500 has gained 6.9%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.