)
DXC Technology Company (DXC) investor relations material
DXC Technology Company Q2 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q2 FY26 revenue was $3.2 billion, down 2.5% year-over-year (down 4.2% organically), with adjusted EBIT margin at 8.0% and non-GAAP EPS of $0.84, both above guidance.
Free cash flow for Q2 was $240 million, up significantly year-over-year, and $337 million for the first half; $75 million was returned to shareholders via share repurchases.
The business formalized a two-track strategy: Core Track (heritage/SAP optimization) and Fast Track (AI-native, high-margin SaaS), including the launch of the Xponential AI framework.
Bookings grew 2% year-over-year, with a book-to-bill ratio of 0.85 and trailing 12-month ratio of 1.08.
Recognition as a leader in industry analyst reports and the launch of new AI-driven products and internal AI adoption enhanced market confidence.
Financial highlights
Q2 revenue by geography: US $821M (-7.6%), UK $464M (+2.9%), Other Europe $1,040M (+0.5%), Australia $275M (-11%), Other International $561M (+0.7%).
Gross margin for Q2 was 24.6%, down 0.5 percentage points year-over-year; SG&A expenses increased 3.7% to $366M.
Depreciation and amortization decreased 10.3% to $295M in Q2; net interest expense dropped to $7M, a 61.1% decrease year-over-year.
Effective tax rate for Q2 was 69.5%, up from 51.6% last year.
Days sales outstanding improved to 66 from 71 year-over-year.
Outlook and guidance
FY26 revenue expected at $12.67–$12.81 billion, with organic decline of 3.5%–4.5%.
Adjusted EBIT margin forecasted at 7.0%–8.0%; non-GAAP EPS between $2.85–$3.35; free cash flow guidance raised to ~$650 million.
Q3 organic revenue expected to decline 4%–5%, with adjusted EBIT margin of 7%–8% and non-GAAP EPS of $0.75–$0.85.
Management expects existing cash and cash equivalents, plus cash from operations, to be sufficient for normal operating requirements for the next 12 months and beyond.
No quarterly dividends planned for FY2026 to maintain financial flexibility.
Next DXC Technology Company earnings date
Next DXC Technology Company earnings date
The essential earnings season companion
The #1 app for qualitative research. Live earnings calls, AI chat, transcripts, and more. All for free.
Live calls and transcripts
Listen to earnings calls, CMDs, investor conferences, and more – with a podcast-like experience.
Find what you need faster
Search for any keyword across all transcripts simultaneously.
Easily store key findings
Capturing important takeaways is as simple as it gets. Even during your lunch run or commute.
Your watchlist. Your dashboard.
Follow the companies that matter to you. Get a personalized feed with real-time updates.
Be the first to know
Set keyword alerts for any company, product, or competitor. Get notified the moment they're mentioned.
Consensus estimates
Access analyst consensus estimates, valuation multiples, and revenue segments splits.
All IR material in one place
The easiest way to stay updated during earnings season.
Global coverage
All events from public companies. Live and recorded.
Just click and listen
No webcast links. No manual registrations.
excellent app, it gives me free access to company earnings calls and annual reports. I also love the convenience of calls being available offline so I can listen in whilst doing other things and even when internet or WiFi isn't available.
One of the very few apps you could call perfect. If something was to add to it, maybe the share price of the company when you search for it, but it's already excellent.
This is genuinely one of the cleanest and fastest finance apps out there to track the market.
excellent app, it gives me free access to company earnings calls and annual reports. I also love the convenience of calls being available offline so I can listen in whilst doing other things and even when internet or WiFi isn't available.
One of the very few apps you could call perfect. If something was to add to it, maybe the share price of the company when you search for it, but it's already excellent.
This is genuinely one of the cleanest and fastest finance apps out there to track the market.
I can't remember the last time an app had such a positive impact on my investment process.
Love the app! Quartr makes it really easy to keep track of earnings calls. It also includes the reports and slides to make it easier to follow along.
Quartr is amazing, no way around it. It is the best right now for earnings calls, presentations, and the like.
I can't remember the last time an app had such a positive impact on my investment process.
Love the app! Quartr makes it really easy to keep track of earnings calls. It also includes the reports and slides to make it easier to follow along.
Quartr is amazing, no way around it. It is the best right now for earnings calls, presentations, and the like.
Frequently asked questions
IT Services and Solutions
DXC Technology is an American IT services company with multinational operations. It provides a wide range of IT services and solutions, including cloud and platform services, analytics, applications, and security. The company operates across various sectors, delivering IT services that support and modernize the infrastructure, applications, and data architectures of businesses. DXC Technology is headquartered in Ashburn, Virginia, and its shares are listed on the NYSE.
Formation Through a Merger
DXC Technology was formed in 2017 through the merger of Computer Sciences Corporation (CSC) and the Enterprise Services segment of Hewlett Packard Enterprise (HPE). CSC, established in 1959, had a rich history of IT services and consulting, while HPE's services division, originating from Electronic Data Systems founded in 1962, had its robust IT expertise. This merger combined the strengths of both entities, creating a force to be reckoned with within IT services and solutions. DXC Technology's growth trajectory has been marked by strategic acquisitions, expanding its offerings in areas like cloud computing, cybersecurity, and analytics.
Comprehensive Services
The company’s offerings encompass a range of areas including cloud computing, cybersecurity, analytics, and application services. They specialize in digital transformation, assisting businesses in integrating advanced technologies like artificial intelligence, machine learning, and the Internet of Things into their operations. Additionally, DXC provides enterprise and cloud applications, IT outsourcing, as well as workplace and mobility solutions. Its approach combines deep technology expertise with a focus on understanding and addressing the unique challenges of each client, ensuring that its solutions and services also align with its customer's business objectives.
For Businesses of All Sizes
DXC Technology's services are utilized by a broad spectrum of businesses, ranging from small enterprises to large multinational corporations. It caters to several sectors including healthcare, finance, insurance, manufacturing, and public sector entities. Today, DXC technology competes in a highly competitive environment with companies such as Accenture and Capgemini.
Mobile app: Research anytime, anywhere with the #1 app for live earnings calls, transcripts, analyst estimates, and more. All for free.
Desktop (Quartr Pro): The leading platform for qualitative research, used daily by top firms and financial institutions.
Quartr API: Build custom solutions powered by live earnings calls, live transcripts, filings and reports, slide presentations, and more.
Explore our global coverage
)
)