10-Q · January 30, 2026
DXC Technology reported Q3 FY2026 earnings with revenue of $3.19 billion, a modest decline of 1.0% compared to the previous year and a notable beat on EPS at $0.96, exceeding estimates by 14.3%. The results highlighted…
Earnings analysis · 10-K
DXC earnings analysis
Filed May 8, 2026 · Our reading of the company's report
The latest report
DXC Technology's 2026 10-K reflects a challenging year with total revenues declining 1.8% to $12.64 billion and a significant drop in diluted EPS to $0.10 from $2.10 in 2025. Key segments showed varied performance, with…
Read full summary
DXC Technology's 2026 10-K reflects a challenging year with total revenues declining 1.8% to $12.64 billion and a significant drop in diluted EPS to $0.10 from $2.10 in 2025. Key segments showed varied performance, with Consulting & Engineering Services and Global Infrastructure Services experiencing revenue declines, while Insurance Software & Services reported growth. The company faces increasing operational and financial challenges, alongside a deteriorating competitive position and ongoing restructuring costs.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.1
- Segment
- Consulting & Engineering Services
- Segment
- Global Infrastructure Services
- Segment
- Insurance Software & Services
What stood out
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Strategic Focus on End-to-End IT Services
DXC has adapted its reporting structure to three segments: Consulting & Engineering Services, Global Infrastructure Services, and Insurance Software & Services, reflecting its commitment to operational efficiency and innovation.
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Stable Free Cash Flow
Free Cash Flow for FY26 was reported at $713 million, a slight increase from $687 million in FY25, indicating some operational resilience.
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Continued Share Buybacks
The company repurchased 4.6 million shares in fiscal 2026, returning capital to shareholders amidst financial uncertainty.
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Strong Tax Credit Carryforwards
The company has retained significant tax loss and credit carryforwards of $11.09 billion, providing potential future tax benefits.
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Revamped Cybersecurity Governance
The company has implemented a robust cybersecurity risk management strategy, reflecting a proactive stance in an increasingly risk-laden environment.
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Increasing Cash Reserves
As of March 31, 2026, DXC had $1.7 billion in cash and equivalents, providing a buffer for operational and strategic initiatives.
What to watch
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Declining Revenue Trends
Total revenues decreased by 1.8% year-over-year, largely attributed to a 4.8% decline in organic revenue, indicating fluctuating demand.
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Significant Loss in EPS
Diluted EPS dropped to $0.10 from $2.10, a substantial decrease raising concerns over profitability and operational execution.
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High Tax Liabilities Risks
The company faces potential total tax liability of $655 million due to outstanding examinations and pending litigation, posing a risk to financial stability.
Management's outlook
Annual outlook deferred to earnings press release/call; FY27 revenue guidance reflects a decline of 5.0% to 3.0% year-over-year on an organic basis.
Earlier filings 4
10-Q · October 31, 2025
DXC Technology reported Q2 fiscal 2026 results with revenues of $3.16 billion, down 2.5% compared to a year ago. Despite a decrease in diluted EPS to $0.20 from $0.23, adjusted EPS rose to $0.84, exceeding estimates.…
10-Q · August 1, 2025
DXC Technology reported disappointing first-quarter results for fiscal 2026, with a revenue drop to $3.16 billion, reflecting a 2.4% decrease year-over-year. Although EPS of $0.09 showed a significant drop from the…
10-K · May 15, 2025
DXC Technology Company reported a decrease in total revenues for the fiscal year ended March 31, 2025, with revenues of $12.87 billion, down 5.8% from the previous year. The company's operating cash flow increased to…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.