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DXC Technology

DXC Technology (DXC) Q2 2026 Earnings

Reported Oct 30, 2025 at 4:18 PM ET · SEC Source

Q2 26 EPS

$0.84

BEAT +20.53%

Est. $0.70

Q2 26 Revenue

$3.16B

MISS 0.18%

Est. $3.17B

vs S&P Since Q2 26

-41.6%

TRAILING MARKET

DXC -31.4% vs S&P +10.2%

Market Reaction

Did DXC Beat Earnings? Q2 2026 Results

DXC Technology delivered a profitability-driven beat in its fiscal second quarter of 2026, posting non-GAAP diluted EPS of $0.84 against a consensus estimate of $0.70, a 20.53% beat, even as revenue came in fractionally light at $3.16 billion versus … Read more DXC Technology delivered a profitability-driven beat in its fiscal second quarter of 2026, posting non-GAAP diluted EPS of $0.84 against a consensus estimate of $0.70, a 20.53% beat, even as revenue came in fractionally light at $3.16 billion versus the $3.17 billion estimate and fell 2.5% year-over-year. The standout driver behind the quarter was a surge in free cash flow to $240 million, up $192 million from the prior-year period, fueled by operating cash flow of $409 million, which gave management room to repurchase $75 million in shares during the quarter. Revenue headwinds persisted across the company's two largest segments, with Global Infrastructure Services and Consulting and Engineering Services both posting organic declines, while Insurance Services offered a rare bright spot with 4.6% reported revenue growth. Looking ahead, DXC guided Q3 revenue of $3.18 billion to $3.22 billion with continued organic declines of 4% to 5%, and raised its full-year free cash flow target to approximately $650 million, signaling confidence in its cash generation even as top-line pressure remains a central concern for investors.

Key Takeaways

  • • Insurance Services delivered 4.6% YoY revenue growth and 24.9% bookings growth
  • • Strong free cash flow generation of $240M, up $192M YoY
  • • Adjusted EBIT margin and non-GAAP diluted EPS exceeded guidance
  • • GIS segment profit margin improved to 7.7% from 7.2% despite revenue decline
  • • Total bookings of $2.7B grew 2.4% YoY with trailing twelve-month book-to-bill of 1.08x
24/7 Wall St

DXC YoY Financials

Q2 2026 vs Q2 2025, source: SEC Filings

24/7 Wall St

DXC Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 26 Q4 26

“For the second quarter, we delivered Adjusted EBIT margin and Non-GAAP diluted EPS above our guidance and generated very strong free cash flow. Our revenue performance has remained consistent throughout the year, and we continue to be laser focused on better execution and driving pipeline conversion in the quarters ahead.”

— Raul Fernandez, Q2 2026 Earnings Press Release

Back to DXC Stock Page