Zebra Technologies Corp - Class A
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −1.54%.
Did ZBRA Beat Earnings? Q4 2025 Results
Zebra Technologies delivered a mixed fourth quarter, edging past revenue expectations while falling just short on the bottom line as restructuring costs tied to a major strategic retreat weighed on results. The enterprise technology company posted Q4 2025 revenue of $1.48 billion, a 10.6% year-over-year gain that cleared the $1.47 billion consensus by 0.60%, though reported growth was flattered by acquisitions; organic net sales rose a more modest 2.5%. Non-GAAP diluted EPS of $4.33 narrowly missed the $4.33 consensus by 0.11%, while GAAP earnings cratered 57.1% to $1.39 per diluted share after the company absorbed $76 million in charges related to its decision to exit the robotics business. Analysts have been watching Zebra's acquisition-led expansion closely, with the $1.36 billion combined purchase of Elo Touch and Photoneo reshaping its segment mix. Looking ahead, Zebra guided full-year 2026 non-GAAP EPS of $17.70 to $18.30 on sales growth of 9% to 13%, and authorized an additional $1 billion in share repurchases, signaling management confidence in the path forward.
- 10.6% year-over-year net sales growth driven by acquisitions (Elo Touch, Photoneo) and organic growth of 2.5%
- Connected Frontline segment organic net sales growth of 3.6%
- Non-GAAP diluted EPS growth of 8.3% year over year
- Adjusted EBITDA margin maintained at 22.1%
- Improved operating expense leverage on adjusted basis
“We delivered a strong finish to the year as our team continued to advance the strategic priorities that strengthen Zebra's leadership in digitizing and automating workflows. We entered 2026 with a healthy backlog and pipeline, momentum from the Elo Touch acquisition, and a sharper focus on our highest-growth opportunities. We have also made strong progress on our commitment to return capital to shareholders, and our Board of Directors approved an additional $1 billion share repurchase authorization. Zebra is well positioned to deliver innovative solutions for our customers and long-term shareholder value.”
Zebra Technologies CEO, on the earnings call
Forward Guidance & Outlook
For Q1 2026, Zebra expects sales growth of 11%–15% year over year (including ~10 points from acquisitions and FX), adjusted EBITDA margin of 21%–22%, and non-GAAP diluted EPS of $4.05–$4.35. For full-year 2026, the company expects sales growth of 9%–13% (including ~7 points from acquisitions and FX), adjusted EBITDA margin of approximately 22%, non-GAAP diluted EPS of $17.70–$18.30 (assuming ~19% adjusted effective tax rate), and free cash flow of at least $900 million.
ZBRA YoY Financials
ZBRA Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.