Declining Revenue?

DXC is forecasting first-quarter revenue between $4.08 billion and $4.13 billion, with the Zacks consensus estimate of $4.11 billion, which would be an 8.7 percent year-over-year decline.

Zacks attributes the estimated decline to the COVID-19 pandemic and business disruptions. Quarterly results may also be affected by soft IT spending due to the global economic downturn induced by the pandemic.

DXC says its adjusted diluted earnings per share of between 72 cents and 76 cents.

DXC Technology CEO Mike Salvino said during the 2021 fourth quarter financial earnings call that fiscal year 2022, “will be the year we build the foundation for growth.”

“What that means is we will retain and continue to attract talent,” Salvino said during the call. “We will build off our customer intimacy to deliver revenue stability and continue to win in the market all while we expand margins and deliver increased free cash flow. Finally, we expect to deliver positive organic revenue growth longer term.”