DXC Technology Q4 revenue dips 1.2%, slightly misses estimates

DXC Technology

07/05/2026 21:31

Overview

Enterprise IT services firm's Q4 revenue down 1.2% yr/yr, slightly missing analyst expectations

Adjusted EPS for Q4 beat analyst expectations

Company posted a net loss for the quarter and continued share repurchases

Outlook

DXC sees Q1 FY27 revenue between $2.97 bln and $3.00 bln

Company expects full-year FY27 revenue of $12.11 bln to $12.35 bln

DXC forecasts FY27 non-GAAP diluted EPS of $2.40 to $2.90

Result Drivers

SEGMENT PERFORMANCE - Modest growth in Consulting and Engineering Services and Insurance Software & Services partly offset by a decline in Global Infrastructure Services revenue

SOFT BOOKINGS - Company bookings declined 13.5% year-over-year, signaling softer demand

INNOVATION INITIATIVES - Management highlighted ongoing investments in AI and new platform launches, but said top-line performance fell short

Company press release: ID:nPn9JNzd4a

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Slight Miss*
$3.13 bln
$3.15 bln (7 Analysts)
Q4 Adjusted EPS
Beat
$0.77
$0.70 (8 Analysts)
Q4 Net Income
-$140 mln
Q4 EBIT
-$39 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 7 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the it services & consulting peer group is "buy."

Wall Street's median 12-month price target for DXC Technology Co is $15.00, about 30.8% above its May 6 closing price of $11.47

The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 4 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)