Zebra Technologies Slips To Loss In Q3; Sees Q4 Results In-line - Quick Facts

(RTTNews) - Zebra Technologies Corp. (ZBRA) reported a loss for the third quarter as strong revenue growth was more than offset by higher costs and expenses.

Revenues for the quarter missed analysts' estimates. However, the company forecast financial results for the fourth quarter in line with analysts' expectations.

Looking ahead to the fourth quarter, Zebra Technologies expects net sales within a range of $945 million to $975 million, excluding purchase accounting adjustments. This forecast incorporates an expectation of year-over-year growth of 3.6% to 6.9% in constant currency, on an estimated historical basis for the Enterprise business.

The company projects adjusted earnings for the fourth quarter in a range of $1.38 to $1.63 per share.

The Street expects the company to report earnings of $1.54 per share and revenues of $968.71 million for the quarter.

The company's net loss for the third quarter was $29.0 million or $0.57 per share, compared to net income of $14.9 million or $0.29 per share in the prior year.

Adjusted earnings for the quarter were $1.39 per share, compared with $0.81 per share for the year-ago period.

Quarterly net sales more than tripled to $916.3 million from $303.3 million in the year-ago period and include a reduction of $2.8 million for a purchase accounting adjustment related to service contracts acquired with the Enterprise business.

Analysts polled by Thomson Reuters expected the company to report earnings of $1.23 per share for the quarter on revenues of $918.49 million. Analysts' estimates typically exclude special items.