Xerox Corp., the printer and copier pioneer, fell the most in more than four years after its forecast trailed analysts’ estimates, raising concerns about the company’s attempt to shift into business services.
Excluding some items, earnings will be 28 cents to 30 cents in the fourth quarter, the Norwalk, Connecticut-based company said today in a statement. Analysts had predicted 33 cents on average, according to data compiled by Bloomberg.
Chief Executive Officer Ursula Burns, who took the helm in 2009, is moving the company toward consulting and services in a bid to boost profit. The shares had climbed 57 percent this year through yesterday amid optimism that the turnaround is taking root. Now after two strong quarters, bookings looked weak in the most recent period, said Keith Bachman, a New York-based analyst at BMO Capital Markets Corp.
“We are disappointed with the services revenues, margins and bookings,” he said in a report.
The shares fell 10 percent to $9.61, the biggest one-day decline since September 2009.