# Xerox shares slide as annual revenue, cash flow forecasts take a hit Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-10-26 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Xerox Shares Plummet 25% to 13-Year Lows on Revenue Cut Meta Description: Xerox's stock drops to 13-year lows after cutting annual revenue guidance due to strong dollar, slow supply chain recovery & pressure from digital URL: https://financedigest.com/xerox-shares-slide-as-annual-revenue-cash-flow-forecasts-take-a-hithtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-10-25t160937z1lynxmpei9o0p2rtroptp4usa-stocks-1736814975809-compressed.jpg) (Reuters) – Xerox Holdings Inc’s shares plunged about 25% to 13-year lows on Tuesday after the photocopy maker slashed its annual revenue and cash flow forecasts, blaming a stronger dollar and a slower-than-expected recovery in global supply chains. The hybrid work environment has amplified the pressures on the company already struggling with firms and consumers switching to digital documents to save money and help the environment. Xerox on Tuesday lowered its 2022 revenue forecast to between $7 billion and $7.1 billion, compared to its previous forecast of at least $7.1 billion, reflecting a weaker euro and British pound. The company, whose largest shareholder is activist investor Carl Icahn, [cut its annual](https://www.financedigest.com/lights-maker-signify-cuts-annual-outlook-on-lower-consumer-demand-china-woes.html "Lights maker Signify cuts annual outlook on lower consumer demand, China woes") free cash flow (FCF) forecast to at least $125 million from about $400 million. The reduction is partly due to [persistently high inflation and slower-than-expected supply](https://www.financedigest.com/britains-car-output-drops-6-as-supply-woes-persist.html "Britain’s car output drops 6% as supply woes persist") chain improvements, Xerox said. The [global macroeconomic outlook has become increasingly somber over the past 3 months,” Chief](https://www.financedigest.com/global-economic-crisis-strangling-progress-for-poor-warns-u-n-development-chief.html "Global economic crisis strangling progress for poor, warns U.N. development chief") Executive Steven Bandrowczak said in a call with analysts. [Finance chief](https://www.financedigest.com/bootmaker-dr-martens-warns-on-profit-as-finance-chief-walks.html "Bootmaker Dr Martens warns on profit as finance chief walks") Xavier Heiss, however, said he expects quarter-on-quarter improvement in margin on FCF due to price increases to counter higher costs and better supply. [Shares clawed back](https://www.financedigest.com/uks-bellway-to-buy-back-shares-hike-social-housing-output.html "UK’s Bellway to buy back shares, hike social housing output") some lost ground and were down 18% at $13.08 in afternoon trading. Third-quarter revenue of $1.75 billion fell short of analysts’ [estimate](https://www.financedigest.com/electric-kick-scooter-market-is-projected-to-reach-6-5-billion-by-2031-and-estimated-to-grow-at-11-5-cagr-between-2021-and-2031.html "Electric Kick Scooter Market is Projected to Reach .5 billion by 2031, And estimated to grow at 11.5% CAGR between 2021 and 2031") of $1.77 billion, according to Refinitiv data. Adjusted [profit fell to 19 cents per share](https://www.financedigest.com/ford-posts-lower-profit-issues-downbeat-outlook-shares-drop.html "Ford posts lower profit, issues downbeat outlook; shares drop") from 48 cents per share, a year earlier. (Reporting by Akash Sriram and Nivedita Balu in Bengaluru; Editing by Sriraj Kalluvila) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---