DXC
DXC Technology Company15.09
-0.33-2.14%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q4 '25)
No earnings call transcript available yet
Last Quarter (Q3 '25)
FY Q2 '26
Fast-track details, CES fixes affirmed
Q&A fleshed out fast-track execution, stressing CoreIgnite's accretive overlay on Hogan legacy without cannibalizing existing revenue. New CES leadership eyes SAP scaling and GTM tweaks to restart bookings momentum, while GIS pipeline builds around AI orchestration despite project delays. Management affirmed stable pricing, low-cost AI investments via cross-subsidies, and a shift to AI-agent diamond workforce model. New talent emerged as the key pivot. Free cash flow benefits proved sustainable. No walk-backs; tone stayed confident on H2 book-to-bill rebound. Investors track fast-track pilots and CES traction.
Key Stats
Market Cap
2.70BP/E (TTM)
7.47Basic EPS (TTM)
2.02Dividend Yield
0%Recent Filings
8-K
DXC redeems 2026 notes
DXC Technology issued notices on December 9, 2025, to fully redeem €650 million of 1.750% Senior Notes due 2026 by December 24 and partially redeem $300 million of 1.800% Senior Notes due 2026 by December 19, at par plus interest (make-whole for USD). Proceeds from a completed €650 million 4.250% Notes due 2030 offering, netting €632.4 million, fund the paydown. Debt refinanced at higher rates. Risks in forward-looking statements.
8-K
DXC subsidiary prices €650M notes
DXC Capital Funding DAC, DXC Technology's subsidiary, priced €650 million 4.250% Senior Notes due 2030 at 99.784% on December 2, 2025, with closing set for December 9. Guaranteed by DXC and its Luxembourg parent, proceeds target repaying 1.750% Senior Notes due 2026 plus general corporate uses. Notes target Luxembourg Stock Exchange listing. Risks shadow forward-looking plans.
10-Q
Q2 FY2026 results
DXC revenues dipped 2.5% y/y to $3.2B in Q2 FY2026 ended September 30, 2025, yet pre-tax income jumped 41% y/y to $131M on lower costs and restructuring. GIS (50% of revenue) fell 4.2% y/y while Insurance grew 4.6% y/y; operating cash flow through H1 hit $595M, yielding $337M free cash flow (derived). Cash climbed to $1.9B, total debt $4.0B including $1.8B due 2026-2027; $125M share repurchases trimmed shares. Diluted EPS of $0.20 reconciles to 179M shares. GIS took a $14M goodwill hit from segment shift. IRS tax disputes linger.
8-K
Q2 revenue down, cash up
DXC Technology posted Q2 FY26 revenue of $3.16B, down 2.5% YoY but with adjusted EBIT margin at 8.0% and free cash flow surging to $240M, up $192M. Bookings hit $2.7B; GIS revenue dropped 4.2% while Insurance grew 4.6%. Cash flow soared. FY26 guidance holds adjusted EBIT margin at 7.0-8.0%, free cash flow ~$650M.
10-Q
Q1 FY2026 results
DXC Technology's Q1 FY2026 revenues dipped 2.4% y/y to $3.159B, with GIS down 3.5% and CES off 2.7%, yet Insurance grew 5.4%—a bright spot in a tough quarter. Gross margin expanded to 24.4% from 21.9%, lifting operating income to $67M, flat y/y, while diluted EPS held at $0.09. Cash from operations fell to $186M from $238M, but free cash flow surged to $97M after $89M capex, versus $45M last year. Total debt climbed to $4.029B from $3.876B, with $1.792B cash on hand. A $14M goodwill impairment hit GIS amid segment realignment. Regulatory risks loom from ongoing IRS disputes.
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