Slide 1: Second Quarter 2025 Results
Click to enter Presentation Title Subhead Copy here Zebra Technologies Second Quarter 2025 Results August 5, 2025
Slide 2: Safe Harbor Statement
Safe Harbor Statement Statements made in this presentation which are not statements of historical fact are forward-looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results may differ from those expressed or impli
Slide 3: Agenda
Agenda Q2 Summary 01 Bill Burns, CEO Q2 Financials and Outlook 02 Nathan Winters, CFO Advancing Enterprise Asset Intelligence 03 Bill Burns, CEO Q&A 04 Bill Burns, CEO Nathan Winters, CFO ZEBRA TECHNOLOGIES
Slide 4: Second Quarter 2025 Summary
Q2 Summary Second Quarter 2025 Summary (1) • Delivered results above expectations • Sales of $1,293M, reflecting 6.3% organic net sales growth o Strong growth in North America, Asia Pacific and Latin America o Relative outperformance in mobile computing, scanning, and RFID o Transportation & Logisti
Slide 5: Agenda
Agenda Q2 Summary 01 Bill Burns, CEO Q2 Financials and Outlook 02 Nathan Winters, CFO Advancing Enterprise Asset Intelligence 03 Bill Burns, CEO Q&A 04 Bill Burns, CEO Nathan Winters, CFO ZEBRA TECHNOLOGIES
Slide 6: Second Quarter P&L Summary
Q2 Financials Second Quarter P&L Summary(1) In millions, except per share data 2Q25 2Q24 Change SEGMENT ORGANIC NET SALES GROWTH Net Sales $1,293 $1,217 +6.2% • Asset Intelligence & Tracking +5.8% • Enterprise Visibility & Mobility +6.5% Organic Net Sales Growth +6.3% REGIONAL ORGANIC NET SALES Adju
Slide 7: Cash Flow & Balance Sheet
Q2 Financials Cash Flow & Balance Sheet(1) Cash Flow: YTD 2Q25 Strong Liquidity Position: 2Q25 • Free cash flow of $288M, $101M lower YoY • $872M cash & cash equivalents o Higher incentive compensation payments o Timing of inventory purchases • $2.2B balance sheet debt o Prior year interest rate swa
Slide 8: Working to Mitigate U.S. Import Tariffs
Q2 Financials Working to Mitigate U.S. Import Tariffs • We have made good progress diversifying our global sourcing footprint, improving resiliency • Over the last decade, shifted U.S. imports from China to approximately 30% from 85%; now expecting to further reduce exposure to 20% by year end 2025
Slide 9: Outlook & Assumptions
2025 Outlook Outlook & Assumptions(1) 3Q25 FY25 • Sales growth between 2% and 6% • Sales growth between 5% and 7% o Includes approximately 30bps favorable impact from o 50bps favorable combined impact from Photoneo Acquisition(2) and FX Photoneo acquisition(2) and net neutral impact from FX • Adjust
Slide 10: Agenda
Agenda Q2 Summary 01 Bill Burns, CEO Q2 Financials and Outlook 02 Nathan Winters, CFO Advancing Enterprise Asset Intelligence 03 Bill Burns, CEO Q&A 04 Bill Burns, CEO Nathan Winters, CFO ZEBRA TECHNOLOGIES
Slide 11: Enabling Improved Outcomes Across Our End Markets
Advancing Our Vision Enabling Improved Outcomes Across Our End Markets Retail & Transportation Manufacturing Healthcare Other Markets E-Commerce & Logistics Elevated Customer Enhanced Worker Actionable Visibility Patient Safety Supply Chain Experience Productivity Optimized Quality Unified Staff Mod
Slide 12: Elo Acquisition To Significantly Expand Connected Frontline Solutions
Advancing Our Vision Elo Acquisition To Significantly Expand Connected Frontline Solutions Advances Vision of Digitizing and Automating Frontline Operations ~$8B addressable market, Leading provider of Point-of- Annual sales ~$400M, serving Elo has a similar EBITDA Expect to achieve an enabling Zebr
Slide 13: Opportunity Across Our End Markets
Advancing Our Vision Opportunity Across Our End Markets Market Served Longer-Term Opportunity • Technology equipped frontline workers to drive productivity and satisfaction Retail & E-commerce • Reimagining point-of-sale and solutions to address shrink • E-commerce growth with shorter lead time expe
Slide 14: Agenda
Agenda Q2 Summary 01 Bill Burns, CEO Q2 Financials and Outlook 02 Nathan Winters, CFO Advancing Enterprise Asset Intelligence 03 Bill Burns, CEO Q&A 04 Bill Burns, CEO Nathan Winters, CFO ZEBRA TECHNOLOGIES
Slide 15: Q&A
Q&A ZEBRA TECHNOLOGIES
Slide 16: Appendix
Appendix ZEBRA TECHNOLOGIES 16
Slide 17: Use of Non-GAAP Financial Information
Use of Non-GAAP Financial Information This presentation contains certain Non-GAAP financial measures, consisting of “Adjusted EBITDA,” “Adjusted EBITDA margin,” “adjusted gross margin,” “adjusted gross profit,” “adjusted net sales,” “adjusted operating expenses,” “EBITDA,” “free cash flow,” “net deb
Slide 18: GAAP to Non-GAAP Organic Net Sales Growth Reconciliation
GAAP to Non-GAAP Organic Net Sales Growth Reconciliation (Unaudited) ZEBRA TECHNOLOGIES 18 18
Slide 19: GAAP to Non-GAAP Regional Organic Net Sales Growth Reconciliation
GAAP to Non-GAAP Regional Organic Net Sales Growth Reconciliation (Unaudited) ZEBRA TECHNOLOGIES 19 19
Slide 20: GAAP to Non-GAAP Gross Margin Reconciliation
GAAP to Non-GAAP Gross Margin Reconciliation ($ in millions) (Unaudited) ZEBRA TECHNOLOGIES 20 20
Slide 21: GAAP to Non-GAAP Net Income Reconciliation
GAAP to Non-GAAP Net Income Reconciliation ($ in millions, except share data) (Unaudited) ZEBRA TECHNOLOGIES 21 21
Slide 22: GAAP to Non-GAAP EBITDA Reconciliation
GAAP to Non-GAAP EBITDA Reconciliation ($ in millions) (Unaudited) ZEBRA TECHNOLOGIES 22 22
Slide 23: GAAP to Non-GAAP Free Cash Flow Reconciliation
GAAP to Non-GAAP Free Cash Flow Reconciliation ($ in millions) (Unaudited) ZEBRA TECHNOLOGIES 23 23
Slide 24: GAAP to Non-GAAP Net Debt to Adjusted EBITDA Reconciliation
GAAP to Non-GAAP Net Debt to Adjusted EBITDA Reconciliation ($ in millions) (Unaudited) ZEBRA TECHNOLOGIES 24 24
Slide 25: About Zebra
About Zebra Zebra (NASDAQ: ZBRA) provides the tools to help businesses grow with asset visibility, connected frontline workers and intelligent automation. The company operates in more than 100 countries, and our customers include over 80% of the Fortune 500. Designed for the frontline, Zebra’s award