Lexmark tumbles on soft guidance; H-P ticks lower


Though Lexmark (LXK -11.3%) beat Q1 estimates, it's guiding for Q2 EPS of $0.85-$0.95; the midpoint is below a $0.94 consensus. Revenue is expected to fall 2%-4% Y/Y vs. a -3.8% consensus. With shares having closed yesterday near their 52-week high of $47.98, the outlook isn't going over well.

Supplies revenue (69% of total revenue), pressured by declining sales related to discontinued inkjet hardware, fell 1% Y/Y after growing 1% in Q4; laser supplies rose 9%.

Hardware revenue (19% of total) fell 8% after growing 3% in Q4. Software/other sales (12% of total) grew 13%, down from Q4's 31%, with Perceptive Software's sales rising 38% to $64M.

Gross margin rose 100 bps Y/Y to 41%. Opex rose 2% to $270M, and $21M was spent on buybacks.

Rival H-P (HPQ -0.6%) is ticking lower on an up day for equities. H-P's printing ops accounted for 20% of its Jan. quarter revenue, and 36% of its op. profit.

From other sites
Comments (0)
Be the first to comment
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs