Key Takeaways
DXC reported earnings of 97 cents per share, exceeding analyst expectations of 83 cents by 16.87%.
Quarterly sales reached $3.386 billion, surpassing analyst estimates of $3.366 billion. However, this represents a 5.71% decrease compared to the same period last year. The company attributed the decline primarily to reduced activity in the Modern Workplace and Cloud and ITO segments.
Cash flow from operations for the fourth quarter of fiscal year 2024 amounted to $280 million, compared to $415 million in the same quarter of the previous fiscal year.
Raul Fernandez, CEO of DXC Technology, commented on the results, highlighting the company's talented workforce and its value proposition for clients. He emphasized DXC's role in providing mission-critical services, modernizing business processes, and delivering value through process knowledge, engineering talent, and AI capabilities across various industries.
DXC's projected adjusted earnings for fiscal year 2025 range from $2.50 to $3.00 per share, falling below the $3.49 analyst estimate. The company also anticipates full-year revenue between $12.67 billion and $12.95 billion, lower than the $13.19 billion estimate.
Following the earnings release, DXC Technology shares experienced an 18.86% decline in after-hours trading, reaching $16.13 at the time of publication on Thursday.