DXC Technology publishes transcript of fourth-quarter 2026 earnings call
DXC Technology
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- DXC Technology fourth-quarter fiscal 2026 earnings call drew President and CEO Raul Fernandez, CFO Robert Del Bene, Head of Investor Relations Roger Sachs, analysts from TD Cowen, Guggenheim, BMO Capital Markets, JPMorgan, DeepDive Equity Research.
- Quarter revenue totaled $3.1 billion, down 6.6% year over year, missing organic guidance by about $75 million; management cited weaker discretionary, short-term project spending, with pressure most acute in GIS across US, Europe.
- Adjusted EBIT margin was 7.6% on spending controls, while free cash flow was $110 million; full-year revenue was $12.6 billion, down 4.8%, with $713 million free cash flow.
- Fiscal 2027 outlook called for organic revenue decline of 3%-5%, adjusted EBIT margin of 6%-7%, non-GAAP EPS of $2.40-$2.90, free cash flow about $600 million; first-quarter view penciled in organic revenue down 6.5%-7.5%, adjusted EBIT margin about 5%, non-GAAP EPS about $0.40.
- Management pointed to AI-led strategy, including April 28 launch of OASIS agentic orchestration platform with 10 customers, citing early traction that helped secure a large European insurer win; CEO flagged below-expected win rate in large pursuits, blaming capability fit rather than pricing, while reiterating plan to retire about $400 million of U.S. dollar bonds maturing in September and repurchase $250 million of shares in fiscal 2027.
Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. DXC Technology Co. published the original content used to generate this news brief on May 12, 2026, and is solely responsible for the information contained therein.
