Oct 28 (Reuters) - Zebra Technologies ( ZBRA ) on Tuesday
forecast fourth-quarter profit and revenue growth above
analysts' estimates, signaling steady demand for its barcode
scanners and mobile computers as businesses accelerate efforts
to digitize operations.
Shares of the Lincolnshire, Illinois-based company were up
more than 2% in premarket trading
The upbeat outlook comes as Zebra shakes off the impact of
U.S.-China trade tensions, with demand recovering after it
diversified manufacturing across China, Vietnam, Malaysia and
Mexico.
The third-quarter results further benefited from
lower-than-expected tariffs this quarter, the company said.
As warehouses, retailers and logistics firms ramp up
automation, Zebra's devices - used for scanning barcodes,
tracking shipments and managing inventory - remain central to
companies streamlining supply chains and improving operational
visibility.
The company expects fourth-quarter net sales growth between
8% and 11%, compared to analysts' estimate of 6% growth,
according to data compiled by LSEG.
For the fourth quarter, the company expects adjusted
earnings per share between $4.20 and $4.40, the mid-point of
which is above analysts' estimate of $4.24.
Zebra has also expanded its product lineup through recent
acquisitions, including U.S.-based touchscreen maker Elo Touch
Solutions and Slovakian 3D imaging company Photoneo, moves aimed
at broadening its technology portfolio and customer base.
The company posted net sales of $1.32 billion for the
quarter ended September 27, compared to analysts' estimate of
$1.31 billion. Adjusted profit came in at $3.88 a share, ahead
of estimates of $3.75.