ZBRAHIGH SIGNALFINANCIAL10-K

Zebra Technologies executed a major debt reduction initiative, substantially reducing total debt from $2.2B to $266M while significantly lowering interest expense.

This represents a fundamental deleveraging of the balance sheet that dramatically improves the company's financial flexibility and reduces financing costs. The substantial reduction in interest expense should meaningfully enhance future profitability, though the company had to deploy most of its cash reserves to execute this debt paydown strategy.

Comparing 2026-02-12 vs 2025-02-13View on EDGAR →
FINANCIAL ANALYSIS

Zebra executed a massive debt reduction strategy, cutting total debt by 87.8% from $2.2B to $266M and correspondingly reducing interest expense from $76M to $5M. This deleveraging required deploying significant cash resources, with cash and equivalents declining 86.1% to $125M, though net income remained healthy at $419M despite the 20.6% decrease. The company expanded operations with higher capital expenditure and grew accounts receivable, while the substantial debt reduction positions Zebra with a much stronger balance sheet foundation despite the reduced cash cushion.

FINANCIAL STATEMENT CHANGES
Interest Expense
P&L
-93.4%
$76.0M→$5.0M

Interest expense declined — debt repayment or refinancing at lower rates improving earnings quality.

Total Deposits
Balance Sheet
-91.7%
$12.0M→$1.0M

Deposits declined 91.7% — significant outflows warrant immediate investigation into funding stability.

Total Debt
Balance Sheet
-87.8%
$2.2B→$266.0M

Debt reduced 87.8% — deleveraging strengthens balance sheet and reduces financial risk.

Cash & Equivalents
Balance Sheet
-86.1%
$901.0M→$125.0M

Cash declined 86.1% — significant cash burn or deployment; verify adequacy of remaining liquidity runway.

Capital Expenditure
Cash Flow
+45.8%
$59.0M→$86.0M

Capital expenditure jumped 45.8% — major investment cycle underway; assess returns on deployment.

Current Assets
Balance Sheet
-26.4%
$2.4B→$1.8B

Current assets declined 26.4% — monitor working capital adequacy and short-term liquidity.

Net Income
P&L
-20.6%
$528.0M→$419.0M

Net income declined 20.6% — review whether driven by operations, interest costs, or non-recurring items.

Accounts Receivable
Balance Sheet
+15.8%
$692.0M→$801.0M

Receivables grew 15.8% — monitor days sales outstanding for collection efficiency.

Total Liabilities
Balance Sheet
+12.1%
$4.4B→$4.9B

Liabilities increased 12.1% — monitor debt-to-equity ratio and interest coverage.

LANGUAGE CHANGES
NEW — 2026-02-12
PRIOR — 2025-02-13
ADDED
As of February 5, 2026, there were 49,191,704 shares of Class A Common Stock, par value $.01 per share, outstanding.
Management s Discussion and Analysis of Financial Condition and Results of Operations 30 Overview 30 Results of Operations 32 Liquidity and Capital Resources 36 Critical Accounting Estimates 38 New Accounting Pronouncements 39 Non-GAAP Measures 39 Item 7A.
Any forward-looking statements represent the Company s views only as of the date of this report and should not be relied upon as representing the Company s views as of any subsequent date.
We operate in 129 facilities with approximately 10,700 employees worldwide.
We continue to evolve and advance our vision: frontline operations everywhere are digitized, automated and intelligent.
Data from enterprise assets, including status, condition, location, utilization, and preferences, is analyzed in the cloud to provide prioritized actionable insights and optimize activities.
The need to transform workflows is being driven by secular trends in technology, which include the creation of digital twins, cloud-based data analytics, automation, mobility, computer vision, artificial intelligence and machine learning.
This transformation is powered by the proliferation of smart, connected devices that exchange an increasingly broad set of information in real time, enabling intelligent and responsive physical environments.
Additionally, artificial intelligence is further streamlining frontline workflows by providing insights and delivering actions using on-device vision, audio, location and RFID to automate parts of traditional workflows.
Leveraging a combination of on-device and cloud-based AI, smart context-aware software companions are beginning to augment worker productivity, providing real-time assistance to get work done more quickly and accurately.
REMOVED
As of February 6, 2025, there were 51,379,208 shares of Class A Common Stock, par value $.01 per share, outstanding.
Management s Discussion and Analysis of Financial Condition and Results of Operations 30 Overview 30 Results of Operations 31 Liquidity and Capital Resources 34 Critical Accounting Estimates 37 New Accounting Pronouncements 38 Non-GAAP Measures 38 Item 7A.
Any forward-looking statements represent the Company s views only as of today and should not be relied upon as representing the Company s views as of any subsequent date.
We operate in 114 facilities with approximately 9,900 employees worldwide.
We continue to advance our Enterprise Asset Intelligence ( EAI ) vision: every asset and front-line worker visible, connected, and fully optimized.
Data from enterprise assets, including status, condition, location, utilization, and preferences, is analyzed in the cloud to provide prioritized actionable insights.
As a result, our offerings enable enterprises to sense, analyze, and act more effectively to optimize their activities.
The need to transform workflows is being driven by secular trends in technology, which include the internet of things ( IoT ), cloud-based data analytics, automation, mobility, computer vision, as well as artificial intelligence and machine learning.
The IoT enables the real-time exchange of an increasingly broad set of information among a proliferation of smart, connected devices.
Leveraging artificial intelligence through machine learning can analyze real-time data for increased visibility into workflows.
MORE FINANCIAL SIGNALS
CRMHIGHSalesforce significantly increased debt by 71% to $14.4B while simultaneously ac...
2026-03-02
UNHHIGHUNH's operating income plummeted 41% despite 12% revenue growth, indicating seve...
2026-03-02
PFEHIGHPfizer achieved a dramatic 87.3% reduction in total debt from $31.4B to $4.0B, r...
2026-02-26
GILDHIGHGILD dramatically increased R&D spending by 81.5% to $9.1B while introducing new...
2026-02-24
ANALYZE ANY FILING FREE

See what changed in your portfolio's filings

500+ US-listed companies analyzed. Language delta, financial analysis, instant signal scoring.

Try Tracenotes free →