**ODP Corporation Reports Second Quarter 2024 Financial Results**

**ODP Corporation Reports Second Quarter 2024 Financial Results** The ODP Corporation (NASDAQ:ODP) has announced its financial results for the second quarter ended June 29, 2024. ### Key Financial Metrics | Metric | Q2 2024 | Q2 2023 | YoY Change (%) | Consensus Estimates | % Difference from Consensus | |------------------------------------|-----------------|-----------------|-----------------|---------------------|-----------------------------| | Total Revenue | $1.7 billion | $1.89 billion | -10% | $1.76 billion | -3.4% | | GAAP EPS | $(0.12) | $1.09 | -111% | $1.2 | -110% | | Adjusted EPS | $0.56 | $1.22 | -54% | | | | GAAP Operating Income | $0.4 million | $60 million | -99% | | | | Adjusted Operating Income | $33 million | $67 million | -51% | | | | Adjusted EBITDA | $57 million | $95 million | -40% | | | | Operating Cash Flow | $(1) million | $(8) million | +87.5% | | | | Adjusted Free Cash Flow | $5 million | $(24) million | -121% | | | *Interpretation*: The ODP Corporation reported a significant year-over-year decline in both revenue and earnings. The performance trailed behind the consensus estimates, particularly with an unexpected negative GAAP EPS result. Although operating cash flow showed marked improvement, overall financial performance remains a concern. ### Revenue Performance by Segment | Segment | Q2 2024 | Q2 2023 | YoY Change (%) | |--------------------------|---------------|---------------|----------------| | ODP Business Solutions | $917 million | $996 million | -8% | | Office Depot Division | $799 million | $908 million | -12% | | Veyer Division | $1.2 billion | Not Provided | N/A | *Interpretation*: Both ODP Business Solutions and the Office Depot Division saw declines primarily due to macroeconomic factors, fewer retail outlets, and slower customer onboarding. Veyer showed strong support and performance but specific year-over-year data is unavailable. ### Comments from Company's Officers CEO Gerry Smith acknowledged the below-expectations performance, attributing it to cautious business spending, weaker consumer activity, and customer onboarding challenges. He emphasized ongoing efforts to improve top-line growth and operational efficiencies through Project Core, expected to yield significant cost savings. CFO Anthony Scaglione highlighted the company's continued focus on balancing capital investment with share repurchase strategies. ### Share Repurchases ODP repurchased nearly 2.4 million shares at a cost of $104 million in Q2 2024 and a total of approximately $191 million year to date. ### Forward Guidance The company updated its full-year guidance, citing a challenging macroeconomic environment and a slower-than-expected sales pipeline conversion in ODP Business Solutions. ### Stock Price Movement Following the earnings release, ODP's stock price declined by approximately 5.15%. *Summary*: The ODP Corporation's Q2 2024 financial performance was marked by a notable decline in revenue and earnings compared to last year, falling short of market expectations. Despite persistent challenges, the company remains focused on long-term growth initiatives and operational improvements under Project Core. The update in annual guidance reflects a cautious outlook amid macroeconomic uncertainties. --- The report has been organized into a clear and concise format suitable for investors.