Zebra Technologies Corp
NASDAQ:ZBRA
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Zebra Technologies Corp
Zebra Technologies Corp. has carved a niche for itself in the realm of enterprise solutions, standing as a beacon for companies aiming to bridge the digital and physical worlds. Founded in 1969, Zebra initially ventured into the printing world with barcode technology. As the winds of technological change swept through industries, Zebra adeptly expanded its portfolio, embedding itself deeper into the operational arteries of its clientele. The essence of Zebra’s operations lies in its capacity to create visibility and connectivity for businesses that are otherwise fragmented in their processes. By deploying its array of products including printers, scanners, RFID tags, and software, Zebra enables businesses to track assets, manage inventory, and monitor operations in real-time. This ability to transform data into intelligent insights is a cornerstone of Zebra’s business model.
Zebra generates revenue primarily by supplying hardware and software that are integral to the supply chain, retail, healthcare, and transportation industries. Its vast ecosystem of products and solutions enhances workflows, elevating business efficiency and productivity. The sale of devices like rugged mobile computers, barcode scanners, and printing machines represent a significant portion of its revenue. However, Zebra’s offerings extend beyond just hardware. The company also provides strategic software and analytics solutions that facilitate the extraction and implementation of actionable data insights, fostering smarter decision-making for its customers. Through its comprehensive service offerings, Zebra has not only positioned itself as a critical partner in operational excellence but also as an architect of the high-tech ecosystem that underpins modern business operations.
Zebra Technologies Corp. has carved a niche for itself in the realm of enterprise solutions, standing as a beacon for companies aiming to bridge the digital and physical worlds. Founded in 1969, Zebra initially ventured into the printing world with barcode technology. As the winds of technological change swept through industries, Zebra adeptly expanded its portfolio, embedding itself deeper into the operational arteries of its clientele. The essence of Zebra’s operations lies in its capacity to create visibility and connectivity for businesses that are otherwise fragmented in their processes. By deploying its array of products including printers, scanners, RFID tags, and software, Zebra enables businesses to track assets, manage inventory, and monitor operations in real-time. This ability to transform data into intelligent insights is a cornerstone of Zebra’s business model.
Zebra generates revenue primarily by supplying hardware and software that are integral to the supply chain, retail, healthcare, and transportation industries. Its vast ecosystem of products and solutions enhances workflows, elevating business efficiency and productivity. The sale of devices like rugged mobile computers, barcode scanners, and printing machines represent a significant portion of its revenue. However, Zebra’s offerings extend beyond just hardware. The company also provides strategic software and analytics solutions that facilitate the extraction and implementation of actionable data insights, fostering smarter decision-making for its customers. Through its comprehensive service offerings, Zebra has not only positioned itself as a critical partner in operational excellence but also as an architect of the high-tech ecosystem that underpins modern business operations.
Sales and EPS Beat: Zebra delivered Q3 sales of $1.3 billion, up 5% year-over-year, and non-GAAP diluted EPS of $3.88, beating the high end of its outlook.
Strong Regional Growth: Sales grew in North America (+6%), Asia Pacific (+23%), and Latin America (+8%), while EMEA remained soft with a 3% decline.
RFID and Printing Outperform: RFID and printing were highlighted as strong growth drivers, with RFID seeing continued double-digit growth.
Tariff Impact Mitigation: Zebra expects a $24 million full-year 2025 gross profit impact from tariffs—better than prior guidance—and projects to largely mitigate tariffs by 2026.
Q4 and Full-Year Guidance: Q4 sales growth is expected between 8–11%, with adjusted EBITDA margin around 22% and non-GAAP EPS of $4.20 to $4.40. Full-year non-GAAP EPS is guided to about $15.80, up 17% YoY.
Share Repurchase Commitment: The company committed to $500 million in share repurchases over the next 12 months, citing a strong balance sheet and cash flow.
Elo Acquisition: The Elo Touch Solutions acquisition is expected to contribute $100 million revenue in Q4 and strengthens Zebra’s position in self-service and POS markets.
AI Strategy: Early AI pilot projects are underway, with first meaningful AI software revenues expected in 2026 and ramping in 2027 and beyond.