Xerox Reports Increases in First-Quarter Results

First-quarter gross margin was 33 percent, and selling, administrative and general expenses were 20.5 percent of revenue. On a pro-forma basis, operating margin of 9.1 percent was up nearly one point from first-quarter 2010.

The company used $30 million in operating cash during the first quarter primarily due to the seasonality of working capital. Xerox reiterated its expectations to deliver $2.5 billion in full-year operating cash and $1.9 billion of free cash flow. The company expects $1 billion to $1.2 billion in available cash for 2011.