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Xerox Holdings Corporation (NASDAQ: XRX) |
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Description of Xerox Holdings's Business Segments
Xerox Holdings Corporation: Comprehensive Overview of Segments, Products, and Services
Xerox Holdings Corporation is a global leader in document management technology and services, excelling in production and office printing solutions. The companys offerings cater to diverse customer needs across various industries, including government, education, and commercial sectors. Here is an in-depth analysis of the segments, products, and services Xerox provides:
1. Production
The Production segment of Xerox focuses on offering high-performance monochrome and color printing systems designed for three primary environments: production publishing, transaction printing, and enterprise-wide printing:
- Monochrome Production Systems: Xerox holds a unique position in the market by offering a comprehensive line of monochrome production publishing systems that deliver impressive speeds ranging from 65 to 180 impressions per minute. This commitment extends to maintaining support for analog devices still operational in various customer settings.
- Color Production Systems: Xeroxs mission includes increasing its leadership in the color production sector. The companys innovative offerings provide the technology necessary for high-quality color printing, catering to evolving customer requirements for personalization, customization, and fast turnaround times.
- Document Solutions and Services: Xerox delivers end-to-end document solutions capable of scanning, managing, and producing documents efficiently. This includes a wide array of pre-press and post-press options that empower customers to meet their specific demands.
- Digital Transformation Focus: The New Business of Printingstrategy emphasizes innovation in production systems and solutions, particularly targeting growth areas within digital color opportunities. This paradigm leverages Xerox's history of creating the digital production print-on-demand market, allowing for improvements in workflows while reducing inventory and warehousing costs through just-in-time printing capabilities.
Office
Xeroxs Office segment serves a broad spectrum of customers, including global corporations, national firms, small to medium-sized businesses, and various government and educational institutions:
- Multifunction Devices (MFDs): The Office segment features a versatile range of multifunction digital systems such as the CopyCentre, WorkCentre, and WorkCentre Pro. These devices can handle printing, scanning, copying, and faxing, with monochrome options achieving speeds up to 90 pages per minute and color options up to 40 pages per minute.
- Printing Solutions: The segment includes a variety of printers and copiers, including DocuColor, color laser printers, LED printers, solid ink printers, and monochrome laser desktop printers. Additionally, Xerox offers digital copiers and traditional light-lens copiers.
- Office Document Assessment (ODA): To enhance operational efficiency, Xerox provides the Office Document Assessment service, where they analyze a business's workflow and document needs to determine the most cost-effective mix of office equipment and solutions, ultimately aiming to reduce document-related costs for their customers.
Document Management Operations (DMO)
The DMO segment is pivotal for Xeroxs international operations and includes marketing, direct sales, distribution, and service functions across multiple regions, including Latin America, the Middle East, India, Eurasia, Russia, and Africa:
- Regional Strategy: Given the unique political and economic landscapes of developing economies, DMO manages proprietary operations through various avenues such as subsidiaries, joint ventures, and local distributors.
- Market Adaptability: This segment is adept at catering to the specific needs of diverse markets, managing the complexities of doing business across over 120 countries.
Other Offerings
The Other segment of Xerox encompasses several ancillary products and services, including the sale of substrates, wide-format systems, and consulting services tailored for small office and home office (SOHO) markets:
- Paper and Substrates: Xerox supplies cut-sheet paper for use in its document processing products. The cut-sheet paper market is competitive; therefore, Xerox has adopted a pricing strategy that allows them to charge a premium over mill prices. This strategy aims to cover operational costs while reflecting the added value offered through their distribution capabilities.
- Wide-Format Printing Solutions: Xerox provides innovative solutions designed for wide-format printing, enabling the reproduction of large-scale engineering and architectural drawings, with capabilities of producing prints as large as three feet by four feet.
- Consulting and SOHO Services: Xerox offers consulting services to assist businesses in optimizing their document management processes, ensuring that small offices and home offices have access to effective solutions that facilitate their daily operations.
Overall, Xerox Holdings Corporation continues to innovate and adapt its extensive portfolio of products and services, ensuring they meet and exceed the evolving demands of customers in a competitive marketplace. The company's focus on enhancing workflows and document efficiencies reinforces its position as a leader in the document technology space.
Composition of Xerox Holdings Corporation Revenues by
Segments |
| |
| Equipment |
|
 19.49 % |
of total Revenue |
| Supplies paper and other sales |
|
11.53 % |
of total Revenue |
| IT products |
|
7.21 % |
of total Revenue |
| Maintenance agreements |
|
25.26 % |
of total Revenue |
| Service arrangements |
|
29.44 % |
of total Revenue |
| Rental and other |
|
4.8 % |
of total Revenue |
| Financing |
|
2.26 % |
of total Revenue |
| Sales |
|
38.23 % |
of total Revenue |
| Sales Direct equipment lease |
|
7.69 % |
of total Revenue |
| Sales Distributors resellers |
|
14.34 % |
of total Revenue |
| Sales Customer direct |
|
16.2 % |
of total Revenue |
| United States |
|
58.34 % |
of total Revenue |
| Europe |
|
27.59 % |
of total Revenue |
| Canada |
|
7.07 % |
of total Revenue |
| Other |
|
7 % |
of total Revenue |
| Cost of sales |
|
38.23 % |
of total Revenue |
| Cost of services maintenance rentals and other |
|
61.77 % |
of total Revenue |
| Interrevenue |
|
0.07 % |
of total Revenue |
| Print and Other |
|
88.81 % |
of total Revenue |
| IT Solutions |
|
11.26 % |
of total Revenue |
| IT Solutions Interrevenue |
|
0.07 % |
of total Revenue |
Q1 three months ended (Mar 31 2025)
|
| Revenues by Business Segments |
Revenues
(in millions $) |
%
(of total Revenues) |
| Equipment |
284.00 |
19.49 % |
| Supplies paper and other sales |
168.00 |
11.53 % |
| IT products |
105.00 |
7.21 % |
| Maintenance agreements |
368.00 |
25.26 % |
| Service arrangements |
429.00 |
29.44 % |
| Rental and other |
70.00 |
4.8 % |
| Financing |
33.00 |
2.26 % |
| Sales |
557.00 |
38.23 % |
| Sales Direct equipment lease |
112.00 |
7.69 % |
| Sales Distributors resellers |
209.00 |
14.34 % |
| Sales Customer direct |
236.00 |
16.2 % |
| United States |
850.00 |
58.34 % |
| Europe |
402.00 |
27.59 % |
| Canada |
103.00 |
7.07 % |
| Other |
102.00 |
7 % |
| Cost of sales |
557.00 |
38.23 % |
| Cost of services maintenance rentals and other |
900.00 |
61.77 % |
| Interrevenue |
1.00 |
0.07 % |
| Print and Other |
1,294.00 |
88.81 % |
| IT Solutions |
164.00 |
11.26 % |
| IT Solutions Interrevenue |
1.00 |
0.07 % |
| Total |
1,457.00 |
100 % |
Q1 three months ended (Mar 31 2025)
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| Revenue Growth rates by Segment |
Y/Y Revenue
% |
Q/Q Revenue
% |
| Equipment |
-2.07 % |
- |
| Supplies paper and other sales |
-9.68 % |
- |
| IT products |
123.4 % |
- |
| Maintenance agreements |
-4.91 % |
- |
| Service arrangements |
-9.3 % |
- |
| Rental and other |
-9.09 % |
- |
| Financing |
-21.43 % |
- |
| Sales |
6.5 % |
- |
| Sales Direct equipment lease |
-30.86 % |
- |
| Sales Distributors resellers |
-2.79 % |
- |
| Sales Customer direct |
61.64 % |
- |
| United States |
4.81 % |
- |
| Europe |
-10.86 % |
- |
| Canada |
-14.88 % |
- |
| Other |
-14.29 % |
- |
| Cost of sales |
6.5 % |
- |
| Cost of services maintenance rentals and other |
-8.07 % |
- |
| Interrevenue |
- |
- |
| Print and Other |
-9.38 % |
- |
| IT Solutions |
121.62 % |
- |
| IT Solutions Interrevenue |
- |
- |
| Total |
-3 % |
- |
Q1 three months ended (Mar 31 2025)
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| Income by Business Segments |
Income
(in millions $) |
%
(Profit Margin) |
| Total |
-31.00 |
- |
Q1 three months ended (Mar 31 2025)
|
| Income Growth rates by Segment |
Y/Y Income
% |
Q/Q Income
% |
| Total |
- |
- |
Annual Report on Xerox Holdings Corporation Divisions, Sales by Country |
| |
| Equipment |
|
22.15 % |
of total Revenue |
| Supplies paper and other sales |
|
16.07 % |
of total Revenue |
| Maintenance agreements |
|
24.37 % |
of total Revenue |
| Service arrangements |
|
29.79 % |
of total Revenue |
| Rental and other |
|
5.19 % |
of total Revenue |
| Financing |
|
2.43 % |
of total Revenue |
| Sales |
|
38.23 % |
of total Revenue |
| Sales Direct equipment lease |
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11.35 % |
of total Revenue |
| Sales Distributors resellers |
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15.64 % |
of total Revenue |
| Sales Customer direct |
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11.24 % |
of total Revenue |
| United States |
|
55.25 % |
of total Revenue |
| Europe |
|
29.63 % |
of total Revenue |
| Canada |
|
7.83 % |
of total Revenue |
| Other |
|
7.3 % |
of total Revenue |
| Cost of sales |
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38.23 % |
of total Revenue |
| Interrevenue |
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1.14 % |
of total Revenue |
| Print and Other |
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95.4 % |
of total Revenue |
| Cost of services maintenance and rentals |
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59.35 % |
of total Revenue |
| Print and Other Interrevenue |
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1.14 % |
of total Revenue |
| XFS |
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5.74 % |
of total Revenue |
| Other areas |
|
7.3 % |
of total Revenue |
| 2024 Acquisitions |
|
0.77 % |
of total Revenue |
| 2022 Acquisitions |
|
3.15 % |
of total Revenue |
Twelve months ended 2024
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| XRX s Annual Revenue by Geography and Business Segments |
Sales
(in millions $) |
%
(of total Sales) |
| Equipment |
1,378.00 |
22.15 % |
| Supplies paper and other sales |
1,000.00 |
16.07 % |
| Maintenance agreements |
1,516.00 |
24.37 % |
| Service arrangements |
1,853.00 |
29.79 % |
| Rental and other |
323.00 |
5.19 % |
| Financing |
151.00 |
2.43 % |
| Sales |
2,378.00 |
38.23 % |
| Sales Direct equipment lease |
706.00 |
11.35 % |
| Sales Distributors resellers |
973.00 |
15.64 % |
| Sales Customer direct |
699.00 |
11.24 % |
| United States |
3,437.00 |
55.25 % |
| Europe |
1,843.00 |
29.63 % |
| Canada |
487.00 |
7.83 % |
| Other |
454.00 |
7.3 % |
| Cost of sales |
2,378.00 |
38.23 % |
| Interrevenue |
71.00 |
1.14 % |
| Print and Other |
5,935.00 |
95.4 % |
| Total |
6,221.00 |
100 % |
| Cost of services maintenance and rentals |
3,692.00 |
59.35 % |
| Print and Other Interrevenue |
71.00 |
1.14 % |
| XFS |
357.00 |
5.74 % |
| Other areas |
454.00 |
7.3 % |
| 2024 Acquisitions |
48.00 |
0.77 % |
| 2022 Acquisitions |
196.00 |
3.15 % |
Twelve months ended 2024
|
| XRX s Annual Income by Country and Business Segments |
Income
(in millions $) |
%
(Profit Margin) |
| Total |
-133.00 |
- |
Twelve months ended 2024
|
| Annual Revenue and Income Growth by Country and Business Segments |
% Y/Y Sales Growth |
% Y/Y Income Growth |
| Equipment |
-16.74 % |
- |
| Supplies paper and other sales |
-6.1 % |
- |
| Maintenance agreements |
-7.05 % |
- |
| Service arrangements |
-6.6 % |
- |
| Rental and other |
-10.28 % |
- |
| Financing |
-20.94 % |
- |
| Sales |
-12.57 % |
- |
| Sales Direct equipment lease |
-23.26 % |
- |
| Sales Distributors resellers |
-6.8 % |
- |
| Sales Customer direct |
-7.54 % |
- |
| United States |
-10.17 % |
- |
| Europe |
-5.54 % |
- |
| Canada |
-12.09 % |
- |
| Other |
-18.2 % |
- |
| Cost of sales |
-12.57 % |
- |
| Interrevenue |
-17.44 % |
- |
| Print and Other |
-9.68 % |
- |
| Cost of services maintenance and rentals |
-7.12 % |
- |
| Print and Other Interrevenue |
-17.44 % |
- |
| XFS |
-10.97 % |
- |
| Other areas |
-18.2 % |
- |
| 2022 Acquisitions |
-8.84 % |
- |
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