Xerox recorded $2.53 billion revenue in the fourth quarter, a decrease of 7.8% year-over-year or 6.1% in constant currency, and $9.83 billion full year, a decrease of 4.2% year-over-year or 4.9% in constant currency.
The company reported operating cash flow of $415 million in the fourth quarter, increasing $564 million year-over-year or $83
million year-over-year on an adjusted basis. Operating cash flow of $1.14 billion for the full year exceeds guidance and increases $1.32 billion year-over-year, or $168 million year-over-year on an adjusted basis.
Xerox had GAAP EPS from continuing operations of $0.56 in the quarter, an increase of $1.34 year-over-year; the prior year included a $400 million charge associated with the enactment of US tax reform. Adjusted EPS was $1.14 in the quarter, an increase of $0.11 year-over-year. Adjusted operating margin of 16.1% in the quarter expanded 180 basis points year-over-year.
The company returned $969 million to shareholders in the form of share repurchases and dividends for the full year and announced 2019 full year guidance that includes delivering operating cash flow of $1.15 to $1.25 billion and free cash flow of $1.0 to $1.1 billion.
“Our Q4 results reflect continued progress on our strategic initiatives to optimize our operations, re-energize our innovation engine and increase shareholder returns,” said John Visentin, Xerox vice chairman and CEO. “We remain focused on removing complexity in the way we work, organizing more effectively, and creating a better customer experience, and we are seeing those efforts reflected in this quarter’s results. We are well positioned as we enter 2019 to continue to build on all our initiatives to deliver greater shareholder value.”