DXC (DXC) Q4 2026 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Fri, May 8, 2026 astatine 11:56 AM CDT 33 min read

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DATE

Thursday, May 7, 2026 astatine 5 p.m. ET

CALL PARTICIPANTS

• President and Chief Executive Officer — Raul Fernandez

• Chief Financial Officer — Robert Del Bene

• Head of Investor Relations — Roger Sachs

Full Conference Call Transcript

Raul Fernandez, our President and CEO; and Rob Del Bene, our Chief Financial Officer. Here's today's agenda. First, Raul volition update you connected our strategical initiatives. Rob volition past screen our quarterly fiscal show arsenic good arsenic supply thoughts connected our archetypal 4th and fiscal afloat twelvemonth 2027 guidance. Raul and Rob volition past instrumentality your questions. Please enactment Certain comments connected today's telephone are forward-looking and taxable to the risks and uncertainties that could origin existent results to disagree materially from those expressed connected this call. Details of these risks and uncertainties are successful our yearly study connected Form 10-K and different SEC filings. We bash not perpetrate to updating immoderate forward-looking statements during today's call.

In addition, erstwhile we notation to year-over-year oregon quarter-over-quarter gross maturation rates, we volition beryllium discussing integrated gross changes connected a non-GAAP basis, which excludes the interaction of overseas speech and immoderate inorganic activity. We volition besides beryllium discussing definite different non-GAAP fiscal measures that we judge supply utile accusation to our investors. Reconciliations to the astir comparable GAAP measures are included successful the tables included successful today's net release. And with that, fto maine crook the telephone implicit to Raul.

Raul Fernandez: Thank you, Roger. In Q4, we delivered a beardown 4th connected profitability with adjusted EBIT borderline and escaped currency travel up of guidance. That equilibrium of expanding borderline and escaped currency flow, portion transforming DXC into an AI-led institution is cardinal to however we're operating the business. On revenue, we delivered conscionable implicit $3.1 cardinal missing our integrated usher by astir $75 cardinal oregon 2 points. When you interruption that down, closing the spread required little than $1 cardinal per day. That's not conscionable the pipeline and request issue, it's execution, and we proceed to enactment connected both.

And the absorption going guardant is besides tightening successful 4th conversion, smaller, faster commencement opportunities that tin onshore and present wrong the period. As we adjacent FY '26, 1 of the wide positives is our quality to scope the last stages of ample competitory pursuits. As an example, crossed the globe, we pursued 13 ample opportunities successful this 4th that we expected to adjacent earlier fiscal year-end. This represented much than $2 cardinal of imaginable full declaration worth that could person been booked successful Q4. On a dollar weighted basis, DXC won 32% of that $2 billion, we mislaid 40% and astir 28% remains outstanding. With that level of advancement successful the competitory process, I personally expected higher triumph rate.