Xerox Q2 2026: What Xerox and Lexmark Customers Should Check

Xerox reported its second-quarter 2026 results last Thursday, July 30, and the headline number was growth: revenue of $1.92 billion, up 22.0% from a year earlier. The growth came from one place: Xerox now owns Lexmark, and that 22.0% increase included a 31.6-percentage-point benefit from the acquisition, according to Xerox's results filed with the SEC.

If your office leases a Xerox or Lexmark machine, or pays a dealer for service on one, this is no reason to panic. It is a good reason to reread your contract, because the agreement you signed, not a press release, decides what service and supplies you're owed. Here's what Xerox reported and a checklist of the terms worth rereading.

What did Xerox report on July 30?

Xerox reported higher revenue, raised its full-year outlook and raised its savings target for the Lexmark combination. The figures below come from Xerox's Form 8-K exhibit and press release, and were covered by industry trade outlets including The Cannata Report, ENX Magazine and The Dead Pixels Society.

The pro forma line is the one to notice. Pro forma figures compare the combined company with itself a year earlier, which strips out the lift from simply adding Lexmark's sales. On that basis, revenue fell 6.5%. In other words, this quarter's growth came from the acquisition. Investing.com and Seeking Alpha also reported the raised guidance.

What is a "cost-synergy target," and why should a small office care?

A cost-synergy target is the amount a company expects to save by combining two businesses, usually by merging overlapping operations. Xerox raised its target for the Lexmark combination to at least $350 million, according to Seeking Alpha, Xerox's release and The Dead Pixels Society.

Nothing in the figures above tells you how those savings will affect customers' service, supplies or pricing, and we won't guess. In any large combination, the details around a machine can shift over time: support portals, phone numbers, part numbers, even which technician shows up. None of that rewrites your contract, which is why the contract is the place to start. (For background, our February look at the 2026 print security crisis also looked at what the Xerox-Lexmark deal meant for support.)

Which contract terms should Xerox and Lexmark customers check?

Five parts of a lease or service agreement matter most when the companies behind your machine are combining: renewal terms, service coverage, supplies, firmware responsibility and end-of-lease options. If you can't find your copy, ask the leasing company or dealer for it.

Renewal and auto-renew clauses

Find the end date, then find out what happens if you do nothing. Check whether the agreement renews automatically unless you send written notice within a set window before it ends, and how that notice must be sent. Calendar the notice deadline, not just the end date.

Service coverage and response times

Check what the service terms promise: covered parts and labor, coverage hours, and the response time for a service call. Note who is named as the service provider. If a response time is promised, keep a simple log of service calls (date, problem, when a technician arrived) so you have facts if you ever need to push back.

Toner and supplies

Find out whether toner is included, how it's billed, and whether prices are written into the agreement. Look for per-page overage rates and any clause that lets the provider raise prices during the term. Our guide to the hidden costs in printer contracts walks through the usual suspects.

Firmware and security updates

Check who is responsible for installing firmware and security updates, and how quickly. This isn't a formality: Quocirca's Print Security Landscape 2026 found that 67% of surveyed organizations in the UK, France, Germany and the US had at least one print-related data loss in the past year, as Computer Weekly and The Recycler also reported. On leased machines the dealer often controls firmware, so the contract should say who does what.

End-of-lease options

Know what happens when the term ends: whether you return the machine, buy it out or roll into a new agreement, and who pays for pickup and for wiping its stored data. If there's a buyout option, get the figure in writing.

Should you leave a Xerox or Lexmark contract because of the merger?

Not on that basis alone. A change in who owns the manufacturer isn't, by itself, a reason to break an agreement, and leaving early can be expensive. Decide on two things you can measure: whether you're getting the service and supplies the contract promises, and whether the total cost still beats the alternatives.

If renewal is within the next year, start comparing now with our cost calculator and 2026 buy-versus-lease cost analysis. If you already know you want out, see our lease escape guide and seven exit strategies.

What this means for San Fernando Valley offices

For an office in Woodland Hills, Van Nuys, Burbank or any of the communities we serve, the practical questions are local: who services your machine, how fast they show up, and what you pay per page. Your service provider may be a local dealer rather than the manufacturer, so ask whoever is named in the agreement, in writing.

Law, medical, accounting and real estate offices should add one more question: how the machine's stored documents are handled when it leaves your office at the end of the term.

What to do now

1. Find your lease or service agreement, the equipment schedule and any amendments.
2. Write down the end date and the non-renewal notice deadline, and put the deadline on your calendar.
3. Confirm the service terms: covered parts and labor, coverage hours, promised response time and the named service provider.
4. Check the supplies terms: included toner, per-page overage rates and any price-increase clause.
5. Ask your dealer, in writing, who installs firmware and security updates and when the machine was last updated.
6. Note your end-of-lease options, including data wiping, and get any buyout figure in writing.
7. If renewal is within a year, price the alternatives before you sign anything new.

Want a second set of eyes on the fine print? Book a free virtual consultation and we'll go through the renewal, service and supplies terms with you. We don't sell printers, so we have no stake in what you decide.