Unisys to Report Q2 Earnings: What's in Store for the Stock?

For the second quarter of 2026, Unisys expects revenues of approximately $450 million. The Zacks Consensus Estimate for second-quarter 2026 revenues is pegged at $446.20 million, indicating a 7.68% year-over-year decline.

Unisys’ earnings surpassed the consensus estimate in each of the trailing four quarters, delivering an average surprise of 83.42%. 

Let us see how things have shaped up prior to the announcement.

Factors Likely to Have Influenced UIS’ Q2 2026 Performance

UIS' second-quarter 2026 performance is likely to have been driven by stronger business signings and improving revenue conversion in the to-be-reported quarter. In the first quarter, new business total contract value (TCV) increased 45% year over year, while total TCV rose 33%. Stronger book-to-bill ratios, higher backlog and a greater portion of contracted revenues are expected to have supported in-year revenue recognition. Improving client budgets, particularly in the commercial sector and Europe, along with project volumes beginning to materialize following last year’s renewals, are likely to support results in the to-be-reported quarter. 

Growing demand for Artificial Intelligence (AI)-enabled solutions is likely to have benefited UIS in the to-be-reported quarter. The company continued to secure multiyear contracts for its Agentic Service Desk, including an expanded deployment with a leading U.S. quick-service restaurant chain and a new engagement with Australia’s Department of Health. Rising demand for rapid value assessments and AI-powered application modernization services is expected to have accelerated project wins, while follow-on implementation opportunities are likely to have expanded cross-selling and improved revenue visibility. Continued enhancements to the ClearPath Forward platform, including AI-enabled modernization capabilities, are expected to have supported customer adoption. 

The company is expected to have benefited from continued momentum in higher-value infrastructure and field services. Demand for enterprise storage, AI infrastructure, IoT device management and hybrid infrastructure services remained healthy, while UIS secured its first engagement supporting AI data center deployment with a major global OEM. The Device Subscription Service business continued to gain traction, supported by AI-enabled endpoint management capabilities, while a growing pipeline of AI infrastructure opportunities and better-than-expected PC refresh activity are expected to have remained supportive in the to-be-reported quarter.

Profitability is expected to have improved, driven by continued adoption of intelligent automation, AI-enabled delivery capabilities and workforce optimization initiatives. In the first quarter of 2026, Ex-License & Support gross margin expanded 170 basis points year over year, driven by productivity gains and greater use of AI across service delivery. For the second quarter of 2026, UIS expects revenues of approximately $450 million, including nearly $70 million in License & Support revenues, with a non-GAAP operating margin of approximately 5%. 

However, Unisys is expected to have been hurt by client attrition, modest price pressures from sharing AI cost savings with clients and anticipated volume declines in certain solutions, particularly due to renewal timing and lower volumes at some U.S. public sector clients.

What Our Model Says

Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here.

Unisys has an Earnings ESP of 0.00% and a Zacks Rank of 1 at present. You can uncover the best stocks before they are reported with our Earnings ESP Filter.

Stocks to Consider

Here are some companies worth considering, as our model shows that these have the right combination of elements to beat earnings in their upcoming releases.

Amphenol APH has an Earnings ESP of +1.12% and a Zacks Rank of 1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here. 

Amphenol shares have gained 13% year to date. Amphenol is scheduled to report its second-quarter 2026 results on July 29.

ASE Technology ASX currently has an Earnings ESP of +21.21% and a Zacks Rank of 2.

ASE Technology shares have surged 128.8% year to date. ASE Technology is set to report its second-quarter 2026 results on July 30.

Fortive FTV has an Earnings ESP of +2.82% and a Zacks Rank of 2 at present. 

Fortive shares have gained 12.8% in the year-to-date period. Fortive is set to report its second-quarter 2026 results on July 29.

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