AI-First Strategic Shift and Fast Track Initiative
Launched Fast Track AI-infused offerings focused on repeatable IP and productized solutions with a target to reach 10% of run-rate revenue by end of Q2 FY2029; architecture enables moving from idea to production in weeks and preserves legacy systems by layering AI rather than ripping and replacing.
Customer Zero AI Deployment and Operational Scale
DXC deployed AI across the company (115,000 employees), integrating every major AI provider and routing work to the best model; this internal scale is being used as proof-points for productization and GTM.
Demonstrated Security Capability
Agentic security operations center protects DXC from ~4.5 million threats daily with over 90% of alerts resolved automatically, and the capability is being commercialized for banking, healthcare and government customers.
Hogan / Core Ignite Banking Platform Reach and Partnerships
Hogan processes ~$2.5 trillion in transactions per day across ~300 million accounts; introduced Core Ignite to modernize bank experiences without core replacement and announced partnerships (Ripple, Euronet, Aptys, Splitit) to enable real-time payments and new product flows.
Notable New Logo and GTM Improvements
Won a major master-vendor deal with the London Metropolitan Police to lead enterprise transformation (ERP and resource management modernization); launched refreshed brand and first centralized sales enablement function with early positive third-party adviser feedback about differentiation.
Bookings and Order-Book Momentum
Q3 book-to-bill improved to 1.12 with trailing 12-month book-to-bill at 1.02 (fourth consecutive quarter >1); CES book-to-bill 1.20 (trailing 12-month 1.13) and GIS quarterly book-to-bill 1.09, indicating improved booking activity and pipeline strength.
Solid Cash Generation and Strengthened Balance Sheet
Generated $266 million in free cash flow in Q3 and $603 million YTD (up from $576M prior year), on pace for FY guide of ~$650M; cash balance increased to ~$1.7 billion, total debt declined ~$465 million to ~$3.6 billion, and net debt reduced by ~ $970 million.
Shareholder Returns and Liability Reduction
Year-to-date share repurchases totaled $190 million (including $65M in Q3) with planned FY repurchases of ~$250M; prepaid $300M of a $700M bond due in September and paid down $47M of capital lease in the quarter (>$450M capital lease reduction since FY2025).
Profitability Metrics Came In Slightly Ahead
Adjusted EBIT margin in Q3 was 8.2%, slightly above the high end of guidance; non-GAAP EPS $0.96, up from $0.92 year-over-year, helped by lower share count, net interest and tax dynamics.