Zebra Technologies Stock Jumps On Q3 Earnings

Zebra Technologies Corporation ZBRA reported financial results for the third quarter Tuesday morning. Here’s what you need to know from the report.

Q3 Earnings: Zebra's reported sales of $1.255 billion beat analyst estimates of $1.217 billion, according to Benzinga Pro. Zebra reported adjusted earnings of $3.49 per share, exceeding analyst estimates of $3.24 per share.

Zebra's two main business segments also saw substantial growth during the period. The Enterprise Visibility & Mobility segment recorded net sales of $845 million, up 33% from year-over-year. The Asset Intelligence & Tracking segment recorded net sales of $410 million, up 25.8% year-over-year.

The company said it had $676 million in cash and cash equivalents as of Sept. 28.

“Our third quarter performance reflects excellent execution by our teams supported by continuing recovery in demand, strong gross margin, and the completion of our restructuring actions, enabling us to deliver sales and earnings results above the high end of our outlook,” said Bill Burns, CEO of Zebra Technologies.

“Our relentless focus on innovation continues to drive our competitive differentiation and secure wins.”

Looking Forward: For the fourth quarter, Zebra expects sales growth between 28% and 31%. The company anticipates adjusted earnings in the range of $3.80 to $4 per share versus estimates of $3.54 per share, according to Benzinga Pro.

“We have increased our full year outlook for profitable growth to reflect our recent performance and continued momentum in demand,” Burns added.

ZBRA Price Action: Zebra shares were up 4.31% at 378.95 at the time of writing, according to Benzinga Pro.

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