The chart below shows how ZBRA performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ZBRA sees a +2.16% change in stock price 10 days leading up to the earnings, and a +2.59% change 10 days following the report. On the earnings day itself, the stock moves by -2.56%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Sales and EBITDA Growth: For the quarter, we realized sales of almost $1.3 billion, a 31% increase compared to the prior year, and adjusted EBITDA margin of 21.4%, a 980 basis point increase.
Earnings Per Share Surge: Non-GAAP diluted earnings per share of $3.49, which was 4x the prior year and delivered strong free cash flow.
Sales Growth Recovery: In Q3, total company sales grew 30.6% reflecting continued recovery in demand across our major product categories.
Asset Intelligence Growth: Our Asset Intelligence & Tracking segment grew 25.8%, primarily driven by printing and RFID.
Segment Sales Growth: Enterprise Visibility & Mobility segment sales increased 33% with strong growth in mobile computing and data capture solutions.
Negative
Earnings Per Share Surge: Non-GAAP diluted earnings per share of $3.49, which was 4x the prior year and delivered strong free cash flow.
EBITDA Margin Improvement: Adjusted EBITDA margin of 21.4%, a 980 basis point increase versus the prior year and a 90 basis point sequential improvement from Q2.
Debt to EBITDA Ratio: We ended the quarter at a 1.6x net debt to adjusted EBITDA leverage ratio, which is within our target range.
Broad-Based Market Growth: We realized double-digit growth across all our primary end markets and broad-based growth to customers of all sizes as began to cycle significant destocking activity in the second half of last year.
Customer Spending Improvement: We are seeing indications of customer spend generally improving in the second half, including expectations for higher year-end spending in North America and EMEA across most end markets.
Zebra Technologies Corporation (ZBRA) Q3 2024 Earnings Call Transcript
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