Form 8-K

8-K — DXC Technology Co

Accession: 0001688568-26-000020

Filed: 2026-05-07

Period: 2026-05-07

CIK: 0001688568

SIC: 7374 (SERVICES-COMPUTER PROCESSING & DATA PREPARATION)

Item: Results of Operations and Financial Condition

Item: Financial Statements and Exhibits

Documents

8-K — dxc-20260507.htm (Primary)

EX-99.1 (dxcfy26q4pressrelease.htm)

GRAPHIC — GRAPGIC (image.jpg)

XML — IDEA: XBRL DOCUMENT (R1.htm)

8-K

8-K (Primary)

Filename: dxc-20260507.htm · Sequence: 1

dxc-20260507

False0001688568AshburnVirginia2014700016885682026-05-072026-05-070001688568us-gaap:CommonStockMember2026-05-072026-05-07

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_____________________________________________________________________________

FORM 8-K

_____________________________________________________________________________

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): May 7, 2026

______________________________________________________________________________

DXC TECHNOLOGY COMPANY

(Exact name of registrant as specified in its charter)

______________________________________________________________________________

Nevada 001-38033 61-1800317

(State or Other Jurisdiction

of Incorporation) (Commission

File Number) (I.R.S. Employer

Identification No.)

20408 Bashan Drive, Suite 231

Ashburn, Virginia 20147

(Address of Principal Executive Offices and Zip Code)

Registrant’s telephone number, including area code: (703) 972-7000

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

_____________________________________________________________________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of each exchange on which registered

Common Stock, $0.01 par value per share DXC The New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition.

On May 7, 2026, DXC Technology Company (the “Company”) issued a press release reporting its financial results for the fourth quarter and full year of fiscal 2026 ended March 31, 2026. The press release is attached hereto as Exhibit 99.1. The Company will also hold a conference call at 5:00 PM ET, on May 7, 2026, to discuss this matter.

The information contained in this Current Report on Form 8-K shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

Exhibit No. Description

99.1

Earnings Press Release issued on May 7, 2026.

104

Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

DXC TECHNOLOGY COMPANY

Dated: May 7, 2026 By: /s/ Rob Del Bene

Name: Rob Del Bene

Title: Executive Vice President and Chief Financial Officer

EX-99.1

Filename: dxcfy26q4pressrelease.htm · Sequence: 2

Document

Exhibit 99.1

DXC Technology Reports Fourth Quarter and Full Fiscal Year 2026 Results

•Total revenue for Q4 FY26 of $3.13 billion, down 1.2% YoY, down 6.6% on an organic basis(1)

•Q4 FY26 Bookings of $3.3 billion, book to bill ratio of 1.07x

•Q4 FY26 EBIT margin of (1.2)%, and adjusted EBIT(2) margin of 7.6%

•Q4 FY26 Diluted earnings per share of $(0.84) down 158.7% YoY; Non-GAAP diluted earnings per share(3) of $0.77, down 8.3% YoY

•Q4 FY26 Free cash flow(4) was $110 million and full fiscal year 2026 was $713 million, up 3.8% YoY

•Repurchased $60 million of shares in Q4, and $250 million of shares in full fiscal year 2026

ASHBURN, VA, May 7, 2026 – DXC Technology (NYSE: DXC) today reported results for the fourth quarter and full fiscal year 2026.

"We delivered another quarter of strong free cash flow with adjusted EBIT margin ahead of our expectations, while our top line performance fell short,” said DXC Technology President and CEO Raul Fernandez. "Over the past year, we leaned into innovation to reposition DXC for the next phase of enterprise IT and AI driven transformation, including the recent launch of our AI based orchestration platform, OASIS and continued progress across our Core Track and Fast Track initiatives. With our deep client relationships and a clear strategy in place, we remain confident in our direction and are focused on improved revenue performance and long-term value creation."

Financial Highlights - Fourth Quarter Fiscal Year 2026

•Total revenue was $3.13 billion, down 1.2% year-over-year, down 6.6% on an organic basis.(1)

•EBIT was $(39) million, down 111.1% year-over-year with a corresponding margin of (1.2)%. Adjusted EBIT(2) was $237 million, up 3.0% year-over-year, with a corresponding margin(2) of 7.6%.

•Diluted earnings per share was $(0.84), down 158.7% year-over-year. Non-GAAP diluted earnings per share(3) was $0.77, down 8.3% year-over-year.

•Cash generated from operations was $239 million, down $76 million year-over-year. Free cash flow(4) was $110 million, down $1 million year-over-year.

•Bookings of $3.3 billion declined 13.5% year-over-year, with a book to bill ratio of 1.07x.

•Returned $60 million of capital to shareholders by repurchasing approximately 4.6 million shares.

(1) Revenue growth on an organic basis is a non-GAAP measure and is calculated by restating current-period activity using the prior fiscal period's foreign currency exchange rates, adjusted for the impact of acquisitions and divestitures. A reconciliation of GAAP to non-GAAP measure are attached to this release.

(2) Adjusted EBIT and Adjusted EBIT margin are non-GAAP measures. Reconciliations of GAAP Net Income to such measures are attached to this release.

(3) Non-GAAP diluted earnings per share is a non-GAAP measure. A reconciliation of GAAP diluted earnings per share to non-GAAP diluted per share is attached to this release.

(4) Free cash flow is a non-GAAP measure, calculated by subtracting capital expenditures (Purchase of Property, Plant & Equipment, Transition and Transformation Contract Costs and Software Purchased or Developed) from cash flow from operations.

Segment Highlights - Fourth Quarter Fiscal Year 2026

Consulting and Engineering Services ("CES")

•Revenue was $1,256 million, up 1.7% year-over-year, down 3.9% on an organic basis.(1)

•Segment profit was $124 million, up 5.1% year-over-year, with a corresponding margin of 9.9%.

•Bookings declined 11.1% year-over-year, with a book to bill ratio of 1.07x.

Global Infrastructure Services ("GIS")

•Revenue was $1,549 million, down 5.0% year-over-year, down 10.6% on an organic basis.(1)

•Segment profit was $100 million, up 2.0% year-over-year, with a corresponding margin of 6.5%.

•Bookings declined 18.9% year-over-year, with a book to bill ratio of 1.11x.

Insurance Software & Services ("Insurance")

•Revenue was $325 million, up 7.3% year-over-year, up 4.0% on an organic basis.(1)

•Segment profit was $33 million, up 6.5% year-over-year, with a corresponding margin of 10.2%.

•Bookings increased 20.3% year-over-year, with a book to bill ratio of 0.88x.

Financial Highlights - Full Fiscal Year 2026

•Total revenue was $12.64 billion, down 1.8% year-over-year, down 4.8% on an organic basis.(1)

•EBIT was $353 million, down 49.3% year-over-year with a corresponding margin of 2.8%. Adjusted EBIT(2) was $970 million, down 4.8% year-over-year, with a corresponding margin(2) of 7.7%.

•Diluted earnings per share was $0.10, down 95.2% year-over-year. Non-GAAP diluted earnings per share(3) was $3.23, down 5.8% year-over-year.

•Cash generated from operations was $1,248 million, down $150 million year-over-year. Free cash flow(4) was $713 million, up $26 million year-over-year.

•Bookings of $12.4 billion declined 6.2% year-over-year, with a book to bill ratio of 0.98x.

Segment Highlights - Full Fiscal Year 2026

Consulting and Engineering Services ("CES")

•Revenue was $5,023 million, down 0.8% year-over-year, down 3.8% on an organic basis.(1)

•Segment profit was $518 million, down 10.7% year-over-year, with a corresponding margin of 10.3%.

•Bookings increased 1.1% year-over-year, with a book to bill ratio of 1.10x.

Global Infrastructure Services ("GIS")

•Revenue was $6,342 million, down 3.9% year-over-year, down 7.2% on an organic basis.(1)

•Segment profit was $432 million, up 0.2% year-over-year, with a corresponding margin of 6.8%.

•Bookings declined 13.3% year-over-year, with a book to bill ratio of 0.94x.

Insurance Software & Services ("Insurance")

•Revenue was $1,279 million, up 5.4% year-over-year, up 3.6% on an organic basis.(1)

•Segment profit was $129 million, down 20.4% year-over-year, with a corresponding margin of 10.1%.

•Bookings increased 3.6% year-over-year, with a book to bill ratio of 0.76x.

First Quarter Fiscal Year 2027 and Full Fiscal Year 2027 Guidance

First Quarter Fiscal Year 2027

•Total revenue in the range of $2.97 billion to $3.00 billion, a decline of 7.5% to 6.5% year-over-year on an organic basis.(1)

•Adjusted EBIT margin(2) of ~5.0%.

•Non-GAAP Diluted EPS(3) in the range of ~$0.40.

Full Fiscal Year 2027

•Total revenue in the range of $12.11 billion to $12.35 billion, a decline of 5.0% to 3.0% year-over-year on an organic basis.(1)

•Adjusted EBIT margin(2) in the range of 6.0% to 7.0%.

•Non-GAAP diluted EPS(3) in the range of $2.40 to $2.90.

•Free Cash Flow(4) of ~$600 million.

Additional metrics for the fourth quarter and full fiscal year 2027 guidance are presented in the table below.

Revenue Q1 FY27 Guidance FY27 Guidance

Low High Low High

YoY Organic Revenue % (7.5)% (6.5)% (5.0)% (3.0)%

Acquisition & Divestitures Revenues % —% —%

Foreign Exchange Impact on Revenues % 1.3% 2.2%

Others

Non-GAAP Net Interest Expense ($M) $15 $56

Non-GAAP Tax Rate 48.0% 40.0%

Foreign Exchange Assumptions Current Estimate Current Estimate

$/Euro Exchange Rate $1.17 $1.17

$/GBP Exchange Rate $1.35 $1.35

$/AUD Exchange Rate $0.70 $0.70

DXC does not provide reconciliations of non-GAAP measures included in its guidance because certain key information necessary for such reconciliations—most notably the impact of significant non-recurring items—is unavailable without unreasonable effort or may not be available at all. As a result, DXC believes any such reconciliation would not be meaningful.

Earnings Conference Call and Webcast

DXC Technology senior management will host a conference call and webcast to discuss fourth quarter and full fiscal 2026 results at 5:00 p.m. ET on May 7, 2026. The dial-in number for domestic callers is 888-596-4144. Callers who reside outside of the United States should dial +1-646-968-2525. The passcode for all participants is 9664077#. The webcast audio and any presentation slides will be available through a link posted on DXC Technology’s Investor Relations website.

A replay of the conference call will be available until 11:59 PM ET on May 14, 2026, at 800-770-2030 for domestic callers and at +1-609-800-9909 for international callers. The replay passcode is 9664077#. A transcript of the conference call will be posted on DXC Technology’s Investor Relations website.

About DXC Technology

DXC Technology (NYSE: DXC) is a leading enterprise technology and innovation partner delivering software, services, and solutions to global enterprises and public sector organizations — helping them harness AI to drive outcomes at a time of exponential change with speed. With deep expertise in Managed Infrastructure Services, Application Modernization, and Industry-Specific Software Solutions, DXC modernizes, secures, and operates some of the world's most complex technology estates. Learn more on DXC.com.

Forward-Looking Statements

Except for historical information, statements in this document may constitute "forward-looking statements" based on our current assumptions regarding future performance. These statements involve numerous risks, uncertainties, and other factors outside our control that could cause actual results to differ materially, including: inability to effectively manage our sales organization, including execution, pipeline, and talent management; our inability to expand service offerings to address emerging technological trends and competitive pressures; failure to attract and retain key personnel, including artificial intelligence (AI) and technical experts, or maintain partner relationships; risks associated with AI, including adoption, deployment, and governance, reliance on third-party platforms, cybersecurity, privacy, evolving regulations, and competitive displacement; inability to accurately estimate contract costs and timelines, or failure by us or third parties to deliver on commitments; systems failures, catastrophic events, and resulting service interruptions; liability or reputational damage from security breaches, cyber-attacks, or disclosure of confidential or personal data; failure to comply with new or existing laws, regulations, and customer contracts, including those relating to data privacy, economic sanctions, export controls, AI, and environmental, social, and governance (ESG) expectations; failure to maintain our credit rating, manage indebtedness, or raise capital, adversely affecting our liquidity and borrowing costs; risks associated with international operations, including exchange rate fluctuations and geopolitical conflicts (such as in Russia/Ukraine and the Middle East); macroeconomic challenges, including inflation, reduced customer spending, and economic slowdowns affecting deal closures and cost-takeout efforts; inability to compete effectively, maintain customer relationships, collect receivables, or comply with government contracting regulations; failure to succeed in strategic transactions, acquisitions, or partnerships; securities price volatility; supply chain disruptions, supplier non-performance, or increased procurement costs due to trade tensions, tariffs, or hostilities; climate change, natural disasters, and increased scrutiny of ESG initiatives; infringement of intellectual property rights, or inability to procure necessary third-party licenses; failure to achieve expected benefits of restructuring plans, workforce reductions, and automation/AI reliance; failure to maintain effective disclosure controls and internal control over financial reporting; asset impairment charges, including but not limited to intangibles and deferred tax assets; inability to pay dividends or repurchase shares; pending investigations, claims, and disputes; changes in tax rates, tax laws, and the timing and outcome of tax examinations; and risks related to completed strategic transactions. For a written description of these factors, see our most recently filed Annual Report on Form 10-K, our upcoming Annual Report on Form 10-K for the fiscal year ended March 31, 2026, and any updating information in subsequent SEC filings. Forward-looking statements speak only as of the date made. Except as required by law, we assume no obligation to update or revise any forward-looking statements.

About Non-GAAP Measures

In an effort to provide investors with supplemental financial information, in addition to the preliminary and unaudited financial information presented on a GAAP basis, we also disclose in this press release preliminary non-GAAP information including: earnings before interest and taxes ("EBIT"), EBIT margin, adjusted EBIT, adjusted EBIT margin, non-GAAP diluted EPS, organic revenues, organic revenue growth, free cash flow, and non-GAAP tax rate.

We believe EBIT, adjusted EBIT, non-GAAP income before income taxes, non-GAAP net income, non-GAAP net income attributable to DXC common stockholders, and non-GAAP EPS provide investors with useful supplemental information about our operating performance after excluding certain categories of expenses as well as gains and losses on certain dispositions and certain tax adjustments.

We believe constant currency revenues provides investors with useful supplemental information about our revenues after excluding the effect of currency exchange rate fluctuations for currencies other than U.S. dollars in the periods presented. See below for a description of the methodology we use to present constant currency revenues.

One category of expenses excluded from adjusted EBIT, non-GAAP income before income tax, non-GAAP net income, non-GAAP net income attributable to DXC common stockholders, and non-GAAP EPS, incremental amortization of intangible assets acquired through business combinations, if included, may result in a significant difference in period over period amortization expense on a GAAP basis. We exclude amortization of certain acquired intangible assets as these non-cash amounts are inconsistent in amount and frequency and are significantly impacted by the timing and/or size of acquisitions. Although DXC management excludes amortization of acquired intangible assets, primarily customer-related intangible assets, from its non-GAAP expenses, we believe it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and support revenue generation. Any future transactions may result in a change to the acquired intangible asset balances and associated amortization expense.

Another category of expenses excluded from adjusted EBIT, non-GAAP income before income tax, non-GAAP net income, non-GAAP net income attributable to DXC common stockholders, and non-GAAP EPS is impairment losses, which, if included, may result in a significant difference in period-over-period expense on a GAAP basis. We exclude impairment losses as these non-cash amounts reflect generally an acceleration of what would be multiple periods of expense and are not expected to occur frequently. Further, assets such as goodwill may be significantly impacted by market conditions outside of management’s control.

Selected references are made to revenue growth on an “organic basis” in order that certain financial results can be viewed without the impact of fluctuations in foreign currency rates and without the impacts of acquisitions and divestitures, thereby providing comparisons of operating performance from period to period of the business that we have owned during both periods presented. Organic revenue growth is calculated by dividing the year-over-year change in GAAP revenues attributed to organic growth by the GAAP revenues reported in the prior comparable period. Organic revenue is calculated as constant currency revenue excluding the impact of mergers, acquisitions or similar transactions until the one-year anniversary of the transaction and excluding revenues of divestitures during the reporting period. This approach is used for all results where the functional currency is not the U.S. dollar. We believe organic revenue growth provides investors with useful supplemental information about our revenues after excluding the effect of currency exchange rate fluctuations for currencies other than U.S. dollars and the effects of acquisitions and divestitures in both periods presented.

Free cash flow represents cash flow from operations, less capital expenditures. Free cash flow is utilized by our management, investors, and analysts to evaluate cash available for normal business operations, to pay debt, repurchase shares, and provide further investment in the business.

There are limitations to the use of the non-GAAP financial measures presented in this report. One of the limitations is that they do not reflect complete financial results. We compensate for this limitation by providing a reconciliation between our non-GAAP financial measures and the respective most directly comparable financial measure calculated and presented in accordance with GAAP. Additionally, other companies, including companies in our industry, may calculate non-GAAP financial measures differently than we do, limiting the usefulness of those measures for comparative purposes between companies. Selected references are made on a “constant currency basis” so that certain financial results can be viewed without the impact of fluctuations in foreign currency rates, thereby providing comparisons of operating performance from period to period. Financial results on a “constant currency basis” are non-GAAP measures calculated by translating current period activity into U.S. Dollars using the comparable prior period’s currency conversion rates. This approach is used for all results where the functional currency is not the U.S. Dollar.

# # #

Contact:

Roger Sachs, CFA, Investor Relations, +1-201-259-0801, roger.sachs@dxc.com

Christina Trejo, Corporate Communications, +1-848-702-4607, christina.trejo@dxc.com

Condensed Consolidated Statements of Operations

(preliminary and unaudited)

Three Months Ended Fiscal Years Ended

(in millions, except per-share amounts) March 31, 2026 March 31, 2025 March 31, 2026 March 31, 2025

Revenues $ 3,130 $ 3,169 $ 12,644 $ 12,871

Costs of services 2,407 2,401 9,613 9,770

Selling, general and administrative 333 359 1,402 1,348

Depreciation and amortization 278 312 1,160 1,287

Restructuring costs 23 29 115 153

Interest expense 55 58 216 265

Interest income (43) (46) (181) (199)

Gain on disposition of businesses — — — (7)

Other expense (income), net 128 (282) 1 (376)

Total costs and expenses 3,181 2,831 12,326 12,241

(Loss) income before income taxes (51) 338 318 630

Income tax expense 89 75 290 234

Net (loss) income (140) 263 28 396

Less: net income (loss) attributable to non-controlling interest, net of tax 1 (1) 10 7

Net (loss) income attributable to DXC common stockholders $ (141) $ 264 $ 18 $ 389

(Loss) income per common share:

Basic $ (0.84) $ 1.46 $ 0.10 $ 2.15

Diluted $ (0.84) $ 1.43 $ 0.10 $ 2.10

Weighted average common shares outstanding for:

Basic EPS 168.33 181.09 175.02 180.68

Diluted EPS 168.33 184.84 178.65 184.92

Selected Condensed Consolidated Balance Sheet Data

(preliminary and unaudited)

As of

(in millions) March 31, 2026 March 31, 2025

Assets

Cash and cash equivalents $ 1,737 $ 1,796

Receivables, net 2,973 2,972

Prepaid expenses 526 477

Other current assets 126 118

Total current assets 5,362 5,363

Intangible assets, net 1,612 1,642

Operating right-of-use assets, net 663 635

Goodwill 527 526

Deferred income taxes, net 802 819

Property and equipment, net 1,122 1,253

Other assets 2,802 2,967

Total Assets $ 12,890 $ 13,205

Liabilities

Short-term debt and current maturities of long-term debt $ 520 $ 880

Accounts payable 561 549

Accrued payroll and related costs 564 571

Operating lease liabilities 232 227

Accrued expenses and other current liabilities 1,261 1,358

Deferred revenue and advance contract payments 748 762

Income taxes payable 53 64

Total current liabilities 3,939 4,411

Long-term debt, net of current maturities 3,032 2,996

Non-current deferred revenue 559 635

Non-current operating lease liabilities 463 444

Non-current income tax liabilities and deferred tax liabilities 502 495

Non-current pension obligations 385 387

Other long-term liabilities 801 347

Total Liabilities 9,681 9,715

Total Equity 3,209 3,490

Total Liabilities and Equity $ 12,890 $ 13,205

Condensed Consolidated Statements of Cash Flows

(preliminary and unaudited)

Fiscal Years Ended

(in millions) March 31, 2026 March 31, 2025

Cash flows from operating activities:

Net income $ 28 $ 396

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization 1,182 1,313

Goodwill impairment losses 14 —

Operating right-of-use expense 305 309

Pension & other post-employment benefits, actuarial & settlement losses (gains) 169 (232)

Share-based compensation 86 79

Deferred taxes 26 (35)

Loss (gain) on dispositions 3 24

Provision for losses on accounts receivable 9 12

Unrealized foreign currency exchange (gains) losses (14) 40

Impairment losses and contract write-offs 7 32

Amortization of debt issuance costs and discount 5 5

Cash surrender value in excess of premiums paid (16) (12)

Other non-cash charges, net 2 7

Changes in assets and liabilities, net of effects of acquisitions and dispositions:

Decrease in receivables 294 320

(Increase) decrease in prepaid expenses and other current assets (164) (81)

Decrease in accounts payable and accruals (275) (335)

(Decrease) increase in income taxes payable and income tax liability (19) (57)

Decrease in operating lease liability (305) (309)

Decrease in advance contract payments and deferred revenue (95) (78)

Other operating activities, net 6 —

Net cash provided by operating activities 1,248 1,398

Cash flows from investing activities:

Purchases of property and equipment (212) (248)

Payments for transition and transformation contract costs (106) (135)

Software purchased and developed (217) (328)

Business dispositions — 26

Proceeds from sale of assets 35 161

Other investing activities, net 16 12

Net cash used in investing activities (484) (512)

Cash flows from financing activities:

Borrowings of commercial paper — 367

Repayments of commercial paper — (369)

Principal payments on long-term debt (1,062) —

Payments on finance leases and borrowings for asset financing (188) (298)

Proceeds from bond issuance 742 —

Taxes paid related to net share settlements of share-based compensation awards (14) (20)

Repurchase of common stock (249) (14)

Other financing activities, net (5) 17

Net cash used in financing activities (776) (317)

Effect of exchange rate changes on cash and cash equivalents (47) 3

Net (decrease) increase in cash and cash equivalents (59) 572

Cash and cash equivalents at beginning of year 1,796 1,224

Cash and cash equivalents at end of year $ 1,737 $ 1,796

Reconciliation of Non-GAAP Financial Measures

Our non-GAAP adjustments include:

•Restructuring costs – includes costs, net of reversals, related to workforce and real estate optimization and other similar charges.

•Transaction, separation and integration-related (“TSI”) costs – includes third party costs related to integration, separation, planning, financing and advisory fees and other similar charges associated with mergers, acquisitions, strategic investments, joint ventures, and dispositions and other similar transactions incurred within one year of such transactions closing, except for costs associated with related disputes, which may arise more than one year after closing.

•Amortization of acquired intangible assets – includes amortization of intangible assets acquired through business combinations.

•Pension and OPEB actuarial and settlement gains and losses – pension and OPEB actuarial mark to market adjustments and settlement gains and losses.

•Merger related indemnification – represents the Company’s estimate of potential net liability for tax related indemnifications.

•Gains and losses on dispositions – gains and losses related to dispositions of businesses, strategic assets and interests in less than wholly-owned entities.

•Gains and losses on real estate and facility sales – gains and losses related to dispositions of real property.

•Impairment losses – non-cash charges associated with the permanent reduction in the value of the Company’s assets (e.g., impairment of goodwill and other long-term assets including fixed assets and impairments to deferred tax assets for discrete changes in valuation allowances). Future discrete reversals of valuation allowances are likewise excluded.

•Debt extinguishment costs – costs associated with early retirement, redemption, repayment or repurchase of debt and debt-like items including any breakage, make-whole premium, prepayment penalty or similar costs as well as solicitation and other legal and advisory expenses.

•Tax adjustments – discrete tax adjustments to impair or recognize certain deferred tax assets, adjustments for changes in tax legislation, tax litigation matters, and adjustments to transition tax. Income tax expense (benefit) from the impact of mergers and divestitures is separately computed based on the underlying transaction. Income tax expense of all other (non-discrete) non-GAAP adjustments is computed by applying the jurisdictional tax rate to the pre-tax adjustments on a jurisdictional basis. In fiscal 2026, includes the unfavorable summary judgment in a tax matter relating to a foreign exchange tax case.

Non-GAAP Results

A reconciliation of reported results to non-GAAP results is as follows:

Three Months Ended March 31, 2026

(in millions, except per-share amounts) As

Reported Restructuring

Costs Transaction,

Separation and

Integration-Related Costs Amortization

of Acquired

Intangible

Assets Merger related Indemnification (Gains) and Losses on

Real Estate, Facility Sales

and Dispositions Impairment

Losses Pension and OPEB actuarial

and Settlement (Gains) and Losses Tax Adjustment Non-GAAP

Results

(Loss) income from continuing operations, before taxes $ (51) $ 23 $ 1 $ 87 $ (3) $ 7 $ 3 $ 158 $ — $ 225

Income tax expense 89 5 — 19 1 2 1 35 (63) 89

Net (loss) income (140) 18 1 68 (4) 5 2 123 63 136

Less: net income attributable to non-controlling interest, net of tax 1 — — — — — — 2 — 3

Net (loss) income attributable to DXC common stockholders $ (141) $ 18 $ 1 $ 68 $ (4) $ 5 $ 2 $ 121 $ 63 $ 133

Effective Tax Rate (174.5) % 39.6 %

Basic EPS $ (0.84) $ 0.11 $ 0.01 $ 0.40 $ (0.02) $ 0.03 $ 0.01 $ 0.72 $ 0.37 $ 0.79

Diluted EPS $ (0.84) $ 0.10 $ 0.01 $ 0.39 $ (0.02) $ 0.03 $ 0.01 $ 0.70 $ 0.37 $ 0.77

Weighted average common shares outstanding for:

Basic EPS 168.33 168.33 168.33 168.33 168.33 168.33 168.33 168.33 168.33 168.33

Diluted EPS 168.33 172.38 172.38 172.38 172.38 172.38 172.38 172.38 172.38 172.38

Fiscal Year Ended March 31, 2026

(in millions, except per-share amounts) As

Reported Restructuring

Costs Transaction,

Separation and

Integration-

Related Costs Amortization

of Acquired

Intangible

Assets Merger Related Indemnification (Gains) and Losses on

Real Estate, Facility Sales

and Dispositions Debt Extinguishment

Costs Impairment

Losses Pension and

OPEB Actuarial

and Settlement

(Gains) and

Losses Tax Adjustment Non-GAAP Results

Income before income taxes 318 115 3 349 (35) (1) 1 17 169 — 936

Income tax expense 290 24 — 71 (1) 1 — 5 37 (80) 347

Net income 28 91 3 278 (34) (2) 1 12 132 80 589

Less: net income attributable to non-controlling interest, net of tax 10 — — — — — — — 2 — 12

Net income attributable to DXC common stockholders

$ 18 $ 91 $ 3 $ 278 $ (34) $ (2) $ 1 $ 12 $ 130 $ 80 $ 577

Effective Tax Rate 91.2 % 37.1 %

Basic EPS $ 0.10 $ 0.52 $ 0.02 $ 1.59 $ (0.19) $ (0.01) $ 0.01 $ 0.07 $ 0.74 $ 0.46 $ 3.30

Diluted EPS $ 0.10 $ 0.51 $ 0.02 $ 1.56 $ (0.19) $ (0.01) $ 0.01 $ 0.07 $ 0.73 $ 0.45 $ 3.23

Weighted average common shares outstanding for:

Basic EPS 175.02 175.02 175.02 175.02 175.02 175.02 175.02 175.02 175.02 175.02 175.02

Diluted EPS 178.65 178.65 178.65 178.65 178.65 178.65 178.65 178.65 178.65 178.65 178.65

Three Months Ended March 31, 2025

(in millions, except per-share amounts) As

Reported Restructuring

Costs Amortization

of Acquired

Intangible

Assets Merger related Indemnification (Gains) and Losses on

Real Estate, Facility Sales

and Dispositions Impairment

Losses Pension and OPEB actuarial

and Settlement (Gains) and Losses Tax Adjustment Non-GAAP Results

Income from continuing operations, before taxes 338 29 85 2 (9) 5 (232) — 218

Income tax expense 75 8 24 1 3 (1) (66) 20 64

Net income 263 21 61 1 (12) 6 (166) (20) 154

Less: net loss attributable to non-controlling interest, net of tax (1) — — — — — (1) — (2)

Net income attributable to DXC common stockholders $ 264 $ 21 $ 61 $ 1 $ (12) $ 6 $ (165) $ (20) $ 156

Effective Tax Rate 22.2 % 29.4 %

Basic EPS $ 1.46 $ 0.12 $ 0.34 $ 0.01 $ (0.07) $ 0.03 $ (0.91) $ (0.11) $ 0.86

Diluted EPS $ 1.43 $ 0.11 $ 0.33 $ 0.01 $ (0.06) $ 0.03 $ (0.89) $ (0.11) $ 0.84

Weighted average common shares outstanding for:

Basic EPS 181.09 181.09 181.09 181.09 181.09 181.09 181.09 181.09 181.09

Diluted EPS 184.84 184.84 184.84 184.84 184.84 184.84 184.84 184.84 184.84

Fiscal Year Ended March 31, 2025

(in millions, except per-share amounts) As

Reported Restructuring

Costs Transaction,

Separation and

Integration-

Related Costs Amortization

of Acquired

Intangible

Assets Merger Related Indemnification (Gains) and Losses on

Real Estate, Facility Sales

and Dispositions Impairment

Losses Pension and

OPEB Actuarial

and Settlement

(Gains) and

Losses Tax Adjustment Non-GAAP

Results

Income before income taxes 630 153 25 348 2 10 17 (232) — 953

Income tax expense

234 33 5 77 6 6 1 (66) 17 313

Net income

396 120 20 271 (4) 4 16 (166) (17) 640

Less: net income attributable to non-controlling interest, net of tax

7 — — — — — — (1) — 6

Net income attributable to DXC common stockholders

$ 389 $ 120 $ 20 $ 271 $ (4) $ 4 $ 16 $ (165) $ (17) $ 634

Effective Tax Rate 37.1 % 32.8 %

Basic EPS $ 2.15 $ 0.66 $ 0.11 $ 1.50 $ (0.02) $ 0.02 $ 0.09 $ (0.91) $ (0.09) $ 3.51

Diluted EPS $ 2.10 $ 0.65 $ 0.11 $ 1.47 $ (0.02) $ 0.02 $ 0.09 $ (0.89) $ (0.09) $ 3.43

Weighted average common shares outstanding for:

Basic EPS 180.68 180.68 180.68 180.68 180.68 180.68 180.68 180.68 180.68 180.68

Diluted EPS 184.92 184.92 184.92 184.92 184.92 184.92 184.92 184.92 184.92 184.92

The above tables serve to reconcile the non-GAAP financial measures to the most directly comparable GAAP measures. Please refer to the “About Non-GAAP Measures” section of the press release for further information on the use of these non-GAAP measures.

Year-over-Year Organic Revenue Growth

Fiscal Year 2026

Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 FY26

Total revenue growth

(2.4) % (2.5) % (1.0) % (1.2) % (1.8) %

Foreign currency

(2.0) % (1.9) % (3.3) % (5.4) % (3.1) %

Acquisition and divestitures

0.1 % 0.2 % — % — % 0.1 %

Organic revenue growth

(4.3) % (4.2) % (4.3) % (6.6) % (4.8) %

CES revenue growth

(2.7) % (1.9) % (0.1) % 1.7 % (0.8) %

Foreign currency

(2.0) % (1.9) % (3.5) % (5.6) % (3.2) %

Acquisition and divestitures

0.3 % 0.4 % — % — % 0.2 %

CES organic revenue growth

(4.4) % (3.4) % (3.6) % (3.9) % (3.8) %

GIS revenue growth

(3.5) % (4.2) % (2.7) % (5.0) % (3.9) %

Foreign currency

(2.2) % (2.1) % (3.5) % (5.6) % (3.3) %

Acquisition and divestitures

— % — % — % — % — %

GIS organic revenue growth

(5.7) % (6.3) % (6.2) % (10.6) % (7.2) %

Insurance revenue growth

5.4 % 4.6 % 4.6 % 7.3 % 5.4 %

Foreign currency

(1.8) % (1.0) % (1.4) % (3.3) % (1.8) %

Acquisition and divestitures

— % — % — % — % — %

Insurance organic revenue growth

3.6 % 3.6 % 3.2 % 4.0 % 3.6 %

Fiscal Year 2025

Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 FY25

Total revenue growth

(6.1) % (5.7) % (5.1) % (6.4) % (5.8) %

Foreign currency

1.4 % — % 0.7 % 2.1 % 1.0 %

Acquisition and divestitures

0.3 % 0.1 % 0.2 % 0.1 % 0.2 %

Organic revenue growth

(4.4) % (5.6) % (4.2) % (4.2) % (4.6) %

CES revenue growth

(3.0) % (3.3) % (3.5) % (6.4) % (4.0) %

Foreign currency

1.7 % (0.1) % 0.9 % 2.1 % 1.1 %

Acquisition and divestitures

0.4 % — % 0.4 % 0.3 % 0.3 %

CES organic revenue growth

(0.9) % (3.4) % (2.2) % (4.0) % (2.6) %

GIS revenue growth

(10.1) % (9.2) % (8.2) % (7.5) % (8.8) %

Foreign currency

1.3 % 0.1 % 0.8 % 2.2 % 1.1 %

Acquisition and divestitures

0.2 % 0.1 % 0.2 % 0.1 % 0.2 %

GIS organic revenue growth

(8.6) % (9.0) % (7.2) % (5.2) % (7.5) %

Insurance revenue growth

5.3 % 5.5 % 6.6 % — % 4.3 %

Foreign currency

0.9 % (0.2) % (0.2) % 1.1 % 0.4 %

Acquisition and divestitures

— % — % — % — % — %

Insurance organic revenue growth

6.2 % 5.3 % 6.4 % 1.1 % 4.7 %

Segment Profit

Segment profit is defined as segment revenues less costs of services, selling, general and administrative, depreciation and amortization, and other segment items. The Company does not allocate to its segments certain operating expenses managed at the corporate level. These unallocated expenses generally include certain corporate function costs, pension and OPEB actuarial and settlement gains and losses, restructuring costs, transaction, separation, and integration-related costs, amortization of acquired intangible assets, impairment losses, gains/(losses) on dispositions of businesses, gains/(losses) on real estate and facility sales, and other costs that do not reflect ongoing segment operating performance. As part of the transition to the new segment structure, the Company updated the assumptions that define which expenses remain in corporate post allocation. The tables below reflect those revised assumptions.

Fiscal Year 2026

(in millions) Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 FY26

CES profit $ 105 $ 145 $ 144 $ 124 $ 518

GIS profit 97 122 113 100 432

Insurance profit 33 28 35 33 129

Corporate expenses (19) (41) (29) (20) (109)

Adjusted EBIT 216 254 263 237 970

Restructuring costs (37) (35) (20) (23) (115)

Transaction, separation and integration-related costs (1) (1) — (1) (3)

Amortization of acquired intangible assets (87) (88) (87) (87) (349)

Merger related indemnification (2) — 34 3 35

Gains on dispositions — 1 — — 1

Gains (losses) on real estate and facility sales — 7 — (7) —

Impairment losses (14) — — (3) (17)

Pension and OPEB actuarial and settlement losses — — (11) (158) (169)

EBIT 75 138 179 (39) 353

Interest Income 46 46 46 43 181

Interest expense (54) (53) (54) (55) (216)

Income (loss) before income tax 67 131 171 (51) 318

Income tax expense (49) (91) (61) (89) (290)

Net Income (loss) $ 18 $ 40 $ 110 $ (140) $ 28

Segment profit margins

CES 8.4 % 11.6 % 11.4 % 9.9 % 10.3 %

GIS 6.1 % 7.7 % 7.0 % 6.5 % 6.8 %

Insurance 10.5 % 8.8 % 10.9 % 10.2 % 10.1 %

Total Company margins

Adjusted EBIT margin 6.8 % 8.0 % 8.2 % 7.6 % 7.7 %

EBIT margin 2.4 % 4.4 % 5.6 % (1.2) % 2.8 %

Fiscal Year 2025

(in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 FY25

CES profit $ 123 $ 175 $ 164 $ 118 $ 580

GIS profit 101 120 112 98 431

Insurance profit 44 37 50 31 162

Corporate expenses (44) (53) (40) (17) (154)

Adjusted EBIT 224 279 286 230 1,019

Restructuring costs (39) (42) (43) (29) (153)

Transaction, separation and integration-related costs (7) (15) (3) — (25)

Amortization of acquired intangible assets (87) (89) (87) (85) (348)

Merger related indemnification — — — (2) (2)

Gains on dispositions — 5 8 — 13

(Losses) gains on real estate and facility sales (2) (27) (3) 9 (23)

Impairment losses — — (12) (5) (17)

Pension and OPEB actuarial and settlement gains — — — 232 232

EBIT 89 111 146 350 696

Interest Income 51 51 51 46 199

Interest expense (72) (69) (66) (58) (265)

Income before income tax 68 93 131 338 630

Income tax expense (43) (48) (68) (75) (234)

Net Income $ 25 $ 45 $ 63 $ 263 $ 396

Segment profit margins

CES 9.6 % 13.7 % 12.9 % 9.6 % 11.5 %

GIS 6.1 % 7.2 % 6.8 % 6.0 % 6.5 %

Insurance 14.8 % 12.1 % 16.3 % 10.2 % 13.4 %

Total Company margins

Adjusted EBIT margin 6.9 % 8.6 % 8.9 % 7.3 % 7.9 %

EBIT margin 2.8 % 3.4 % 4.5 % 11.0 % 5.4 %

Source: DXC Technology

Category: Investor Relations

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