Zebra Technologies Corporation (NASDAQ:ZBRA) surged almost 9% in premarket trading Thursday after posting fourth-quarter results that featured stronger-than-expected revenue growth and a confident forecast for 2026.
The workflow automation and digitization specialist reported adjusted earnings per share of $4.33 for the quarter, in line with analyst projections.
Revenue rose 10.6% year over year to $1.48 billion, edging past the $1.47 billion consensus estimate. Organic net sales increased 2.5% from a year earlier, with the Connected Frontline segment delivering 3.6% organic growth.
Adjusted EBITDA advanced 10.5% to $326 million, holding margins steady at 22.1%. Shares climbed 7.92% following the release as investors reacted positively to the revenue outperformance and forward guidance.
“We delivered a strong finish to the year as our team continued to advance the strategic priorities that strengthen Zebra’s leadership in digitizing and automating workflows,” said Bill Burns, Chief Executive Officer of Zebra Technologies.
“We entered 2026 with a healthy backlog and pipeline, momentum from the Elo Touch acquisition, and a sharper focus on our highest-growth opportunities.”
Looking ahead, Zebra expects first-quarter 2026 sales to increase between 11% and 15% compared with the prior year, with adjusted EPS forecast in the range of $4.05 to $4.35. For the full year, the company projects revenue growth of 9% to 13% and an adjusted EBITDA margin of around 22%.
The board also approved an additional $1 billion share repurchase authorization, adding to the existing program. In the fourth quarter alone, Zebra bought back $303 million in stock as part of its previously announced $500 million, 12-month plan.
Although the company recorded $76 million in exit and restructuring charges — including costs tied to plans to wind down its robotics business — markets focused on the solid top-line performance and constructive outlook for the year ahead.