DXC Is Pressure Testing AI As ‘Client Zero’: CEO Raul Fernandez

‘We’re not just applying AI to improve our operations. We’re pressure testing and documenting our journey as client zero. This hands-on experience helps us move faster, learn in real time, and bring smarter, more scalable solutions to our clients,’ says DXC President and CEO Raul Fernandez.

While AI is redefining every business process and customer interaction, for DXC it has already become an integrated part of the global technology services provider’s entire internal operations, DXC President and CEO Raul Fernandez told investment analysts.

Fernandez, in his prepared remarks during DXC’s first fiscal quarter 2026 quarterly financial conference call, said that AI is redefining every business process and redefining every customer interaction.

“Our approach to AI solutions is centered around integrating AI seamlessly into the fabric of our client’s operations, ensuring that AI is not just an add on, but a core component of their business strategy and go-to-market,” he said. “Combining our deep domain expertise with advanced AI capabilities, we help clients across our segments move faster, operate smarter, and unlock outcomes that were previously out of reach, recognizing that technology is only as good as the people behind it.”

For Ashburn, Va.-based DXC, ranked No. 14 on CRN’s 2025 Solution Provider 500, that means a big investment in employees, Fernandez said.

“We’re investing with urgency in talent, training over 50,000 GenAI-enabled engineers and achieving AI readiness across 92 percent of our technical teams,” he said. “Combined with our deep industry expertise, these capabilities are positioning DXC to lead with AI and deliver real enterprise-grade impact.”

Internally, DXC is embedding AI across all corporate functions in IT, Fernandez said.

“We’re enhancing developer productivity and automating service desk support,” he said. “Our security teams are leveraging agentic AI to deliver real-time threat intelligence, providing an almost 70 percent reduction in investigation time with 95 percent investigation accuracy. In marketing, we’ve cut content creation and video production time down by 30 percent. In HR, predictive analytics are helping us identify attrition risks, accelerate talent matching, and improve general workforce utilization. Our legal team is automating contract reviews and risk assessments. And lastly, in finance, we’re improving forecasting speed and accuracy through AI-driven insights.”

DXC’s internal application of AI is more than improving operations, Fernandez said.

“We’re pressure testing and documenting our journey as ‘client zero,’” he said. “This hands-on experience helps us move faster, learn in real time, and bring smarter, more scalable solutions to our clients.

As part of building DXC’s talent, Fernandez used his prepared remarks to introduce Accenture veteran Ramnath Venkataraman as the company’s new president of the company’s Consulting and Engineering Services.

Venkataraman, who officially started early this month, is expected to lead DXC’s CES business into its next phase of growth, Fernandez said.

“Ramnath brings nearly 30 years of global experience from Accenture, where he built and grew high-performing businesses across industries and regions,” he said. “He has a strong track record of helping clients embrace next-generation technologies, especially AI, and delivering operational excellence through innovation and disciplined execution. … We’re confident his leadership will help sharpen our go-to-market focus, drive growth, and unlock the segment’s full potential.”

During the conference call, Venkataraman previewed what he hopes to do in his new role.

“As I focus on driving profitable growth, the effort will be on delivering excellence through greater consistency, accountability, and operational rhythm,” he said. “I look forward to scaling our innovation agenda to keep pace with the rapidly changing technology landscape and deliver greater value for our clients and our shareholders.”

In addition to investing in talent, DXC also continues to expand its partner ecosystem, Fernandez said. The company most recently entered into a strategic partnership with AI-driven integration automation technology developer Boomi, he said.

“Boomi connects applications, automates workflows, manages APIs, and ensures data integrity across cloud and on-premises environments,” he said. “By combining Boomi’s AI tools with DXC’s full-stack engineering talent, our customers can link their different systems, like orders, inventory, and shipping, so everything works together seamlessly end-to-end.”

While DXC’s first quarter organic revenue growth came in at the high end of its guidance, Fernandez said the company needs to do more.

“Our pipeline continues to expand, and we’re building toward more consistent bookings growth,” he said. “Our focus is clear: driving sustainable, profitable growth. We’re sharpening execution across the company, with our leaders instilling a winning culture and tackling the structural and operational issues that matter the most.”

DXC has over the past 18 months rebuilt its foundation, streamlined operations, strengthened leadership, and reoriented around innovation, Fernandez said.

“Management execution and talent turnarounds to this magnitude take time, but we’re clear on the road ahead,” he said. “We’re moving in the right direction, and we have confidence in achieving our full-year guidance.”

DXC By The Numbers

For its first fiscal quarter 2026, which ended June 30, DXC reported revenue of $3.16 billion, down 2.5 percent from the $3.24 billion the company reported for its first fiscal quarter 2025.

That beat analysts’ revenue expectations by $70 million, according to Seeking Alpha.

This included CES or Consulting and Engineering Services revenue of $1.25 billion, down 2.7 percent over last year; GIS or Global Infrastructure Services revenue of $1.60 billion, down 3.5 percent; and Insurance services revenue of $313 million, up 5.4 percent.

DXC also reported GAAP net income of $18 million or 9 cents per share, down from last year’s $25 million or 14 cents per share. On a non-GAAP basis, DXC reported net income of $128 million or 68 cents per share.

Non-GAAP earnings beat analyst expectations by 6 cents per share, according to Seeking Alpha.

Looking ahead, DXC expects second fiscal quarter 2026 revenue in the range of $3.15 billion and $3.18 billion, a decline of 4.5 percent to 3.5 percent year-over-year. The company also expects non-GAAP earnings of 65 cents to 75 cents per share.

For its full year fiscal 2026, DXC expects total revenue in the range of $12.61 billion and $12.87 billion, a decline of 5.0 percent to 3.0 percent year-over-year. The company also raised its earnings guidance and now expects non-GAAP earnings of $2.85 to $3.35 per share compared to the prior guidance of $2.75 to $3.25 per share.