(RTTNews) - Zebra Technologies Corp. (ZBRA), on Tuesday reported a decline in the net income despite higher sales in the first quarter compared with the previous year.
For the first quarter, net income decreased to $135 million from $136 million in the prior year.
Earnings per share were $2.72 versus $2.62 last year.
Adjusted net income jumped to $235 million from $208 million in the prior year.
Adjusted earnings per share were $4.75 versus $4.02 last year.
Adjusted EBITDA increased to $347 million from $292 million in the same period a year ago.
Net sales increased to $1.50 billion from $1.31 billion in the previous year.
Looking ahead, the company expects second-quarter sales growth between 14% and 17% year over year, including an approximately 10.5 percentage-point favorable impact from business acquisitions and foreign currency.
Adjusted EBITDA margin for the second quarter is expected to be slightly above 21%.
Adjusted earnings per share are expected to range between $4.20 and $4.50, based on an adjusted effective tax rate of approximately 19%.
For the full year 2026, the company expects sales growth between 10% and 14% year over year, including an approximately 7 percentage-point favorable impact from business acquisitions and foreign currency.
Adjusted EBITDA margin for the full year is expected to be approximately 22%.
Adjusted earnings per share are expected to range between $18.30 and $18.70, based on an adjusted effective tax rate of approximately 19%.
In the pre-market trading, Zebra Technologies is 14.01% higher at $247.36 on the Nasdaq.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
