Unisys Corporation UIS reported second-quarter 2017 GAAP loss of $42 million or loss of 83 cents per share against net income of $21.6 million or 36 cents per share in the year-earlier quarter. The deterioration was primarily due to a decline in revenues.Non-GAAP earnings in the reported quarter were $1.4 million or 3 cents per share compared with $58.2 million or 81 cents per share in the year-ago quarter. Adjusted earnings widely missed the Zacks Consensus Estimate of 37 cents.Inside the HeadlinesRevenues in the second quarter declined 11% year over year to $666.2 million primarily due to a decline in revenues from both the Services and Technology segments. Reported revenues also missed the Zacks Consensus Estimate of $701.2 million.New business TCV increased 74% year over year in the reported quarter. The company’s services backlog remained almost flat sequentially at $3.7 billion. The company closed a $440 million Senior Secured Notes offering during the reported quarter.Unisys Corporation Price, Consensus and EPS Surprise Unisys Corporation Price, Consensus and EPS Surprise | Unisys Corporation QuoteSegmental PerformanceRevenues from the Services segment came in at $574.8 million, down 6.4% year over year. Services gross margin was 14% compared with 17% in the year-ago quarter owing to high investments in the quarter. The Technology segment’s revenues declined significantly to $91.4 million from $135.1 million in the year-earlier quarter. Technology gross margin came in at 59% compared with 67% in the year-ago period.MarginsThe company’s quarterly cost of sales was $563.7 million, down 1.2% year over year. Selling general and administrative expenses were $114.2 million compared with $115.7 million in the year-ago quarter. Operating margin for the reported quarter came in at 4%.Balance Sheet/Cash FlowAs of Jun 30, 2017, Unisys had $571.1 million in cash and cash equivalents with long-term debt of $629.8 million.For the first half of 2017, capital expenditures were $15.9 million, higher than $11 million in the prior-year quarter. During the quarter, the company utilized $49.2 million cash compared with cash flow of $31.0 million in the year-ago period, resulting in adjusted free cash utilization of $45.7 million compared with adjusted free cash flow of $50.7 million for the respective periods.OutlookUnisys reaffirmed its guidance for full year 2017. The company expects revenues in the range of $2.65–$2.75 billion and adjusted free cash flow of $130-$170 million. Non-GAAP operating profit margin is expected in the range of 7.25–8.25%.Unisys has been restructuring its business to improve profitability. This restructuring strategy includes selling non-core businesses and revamping its sales strategy, while investing in a few higher-growth areas such as outsourcing. We expect the company to continue with its cost-control initiatives and put greater effort towards sales growth, as it strives to overcome operational weaknesses. Notably, during the reported quarter, the company inked several contracts. All these deals are likely to propel top-line growth in the coming quarters.Unisys currently has a Zacks Rank #3 (Hold). Some better-ranked stocks from the same industry are CoStar Group, Inc. CSGP, EPAM Systems, Inc. EPAM and Luxoft Holding, Inc. LXFT. CoStar Group delivered an average positive earnings surprise of 27.59% in the last four quarters. It sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. EPAM Systems, with a Zacks Rank #2, delivered an average positive earnings surprise of 3.24% in the last four quarters.Luxoft Holding, with a Zacks Rank #1, came up with an average positive earnings surprise of 1.88% for the last four quarters.More Stock News: Tech Opportunity Worth $386 Billion in 2017 From driverless cars to artificial intelligence, we've seen an unsurpassed growth of high-tech products in recent months. Yesterday's science-fiction is becoming today's reality. Despite all the innovation, there is a single component no tech company can survive without. Demand for this critical device will reach $387 billion this year alone, and it's likely to grow even faster in the future. Zacks has released a brand-new Special Report to help you take advantage of this exciting investment opportunity. Most importantly, it reveals 4 stocks with massive profit potential. See these stocks now>>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Unisys Corporation (UIS): Free Stock Analysis Report CoStar Group, Inc. (CSGP): Free Stock Analysis Report EPAM Systems, Inc. (EPAM): Free Stock Analysis Report Luxoft Holding, Inc. (LXFT): Free Stock Analysis Report To read this article on Zacks.com click here.