DXC Technology Company (DXC): History, Ownership, Mission, How It Works & Makes Money

How does a Fortune 500 global IT services leader like DXC Technology Company maintain its critical role in a rapidly transforming market, even as it navigates a challenging revenue environment?

In fiscal year 2025, DXC Technology Company reported total revenue of $12.87 billion, a decrease of 5.8% year-over-year, yet simultaneously delivered a massive net income of $389.0 million, marking a 328% surge from the prior year, so what drove that massive profit jump?

This company is the backbone for thousands of global enterprises, running mission-critical systems while actively embedding artificial intelligence (AI) and cloud modernization into its core offerings, which means you need to understand precisely how its business model is adapting to these new digital realities.

DXC Technology Company (DXC) History

You're looking for the foundational story of DXC Technology Company, and honestly, it's less about a garage startup and more about a massive corporate restructuring. DXC didn't start from zero; it was born in 2017 from the merger of two established IT giants, which immediately gave it global scale. This origin story is key to understanding its current transformation efforts, especially as it reported $12.87 billion in total revenue for the full fiscal year 2025.

Given Company's Founding Timeline

Year established

DXC Technology officially launched on April 1, 2017, marking the completion of a major corporate merger.

Original location

The company's global headquarters were initially established in Tysons, Virginia, USA. It's still a US-based multinational, though its headquarters later moved to Ashburn, Virginia.

Founding team members

DXC was created by merging two distinct businesses: Computer Sciences Corporation (CSC) and the Enterprise Services segment of Hewlett Packard Enterprise (HPE). The first Chairman, President, and CEO was Mike Lawrie, who had previously been the CEO of CSC.

Initial capital/funding

Since it was a merger of two large, existing entities, DXC began operations with significant scale, not a traditional seed round. It launched with combined annual revenues of approximately $25 billion and a substantial global client base. Here's the quick math: that initial revenue figure was nearly double its full fiscal year 2025 revenue of $12.87 billion, showing the scale of its subsequent portfolio restructuring and market shifts.

Given Company's Evolution Milestones

Given Company's Transformative Moments

The company's history is defintely defined by a series of bold, transformative decisions, starting with its very creation. The merger itself was a massive undertaking, instantly reshaping the global IT services landscape.

The most crucial moments weren't just about growth, but about strategic simplification and stabilization:

• The Mega-Merger: The 2017 formation was an immediate pivot, forcing two distinct corporate cultures and technology stacks-CSC's focus on next-generation IT and HPE's legacy services-to integrate. That's a huge challenge.
• The Spin-Off Strategy: The 2018 spin-off of the US public sector business to create Perspecta Inc. was a clear move to shed a large, specialized segment. This helped DXC focus its capital and attention on its core enterprise services business.
• The Turnaround and Leadership Change: The appointment of new CEOs in 2019 and again in fiscal year 2025, with Raul Fernandez taking the helm, reflects an ongoing commitment to transformation. Fiscal year 2025 results showed a non-GAAP diluted earnings per share of $3.43, up 10.6% year-over-year, which is a tangible result of this focus.
• Portfolio Refinement: The company has been actively selling off non-core assets to simplify its structure, a necessary, though often painful, step for a company born of a merger. This focus continues into 2025, with the company completing an acquisition on July 7, 2025, of Factoria De Transformacion De Operaciones Y Servicios, showing a targeted approach to growth.

If you want to dig deeper into the current valuation and market sentiment around these changes, you should be Exploring DXC Technology Company (DXC) Investor Profile: Who's Buying and Why?

DXC Technology Company (DXC) Ownership Structure

DXC Technology Company is a publicly traded entity on the New York Stock Exchange (NYSE: DXC), meaning its ownership is distributed among a wide range of institutional, insider, and retail investors, not held privately by a small group. This structure ensures a high degree of transparency and regulatory oversight, but it also subjects the company to the immediate pressures of the public market and shareholder activism.

DXC Technology Company's Current Status

The company maintains its status as a leading global IT services provider, trading publicly under the ticker DXC. This public status is crucial because it dictates the governance model, requiring a fiduciary duty to shareholders and adherence to strict Securities and Exchange Commission (SEC) reporting standards. For the fiscal year 2025, DXC Technology Company reported total revenue of approximately $12.871 billion, underscoring its scale in the competitive IT consulting and outsourcing market.

To be fair, this public structure means major institutional holders, like BlackRock, can wield significant influence over strategic decisions, especially concerning capital allocation and executive pay. Understanding who owns the stock is defintely the first step in assessing the company's long-term stability and strategic direction. You can dive deeper into the market's perspective on the stock here: Exploring DXC Technology Company (DXC) Investor Profile: Who's Buying and Why?

DXC Technology Company's Ownership Breakdown

As of November 2025, the company's ownership is heavily concentrated among institutional investors, a common pattern for large-cap, publicly traded technology firms. This concentration suggests that the company's stock price and long-term strategy are largely influenced by the decisions of major asset managers and mutual funds.

The fact that institutional ownership is over 91% means you should pay close attention to the 13F filings of the top holders, as their buying or selling activity can move the stock price significantly. Here's the quick math: if a top-tier institutional investor like BlackRock, Inc. or Vanguard Group Inc. decides to rebalance their portfolio, it creates a massive supply-demand shock for a stock with such a high institutional float.

DXC Technology Company's Leadership

The company is steered by a relatively new executive team, which has been focused on a turnaround strategy to stabilize revenue and improve operational efficiency. The Board of Directors provides crucial oversight, with the Chairman acting as a key independent check on management.

• David Herzog: Chairman of the Board. Appointed in December 2023, he provides independent oversight, having previously served as CFO and Executive Vice President of American International Group (AIG).
• Raul Fernandez: President and Chief Executive Officer (CEO). Appointed CEO in February 2024, he is tasked with driving the company's long-term strategy and growth. His total compensation for the fiscal year 2025 was approximately $16.74 million.
• Robert Del Bene: Chief Financial Officer (CFO). He manages the company's financial operations, including capital structure and investor relations.
• Matthew Fawcett: Chief Legal Officer. He oversees all legal and compliance matters, a critical role for a global IT services firm dealing with complex contracts and data regulations.
• Christopher Drumgoole: Executive Vice President of Global Infrastructure Services. He leads one of the company's core operating segments, focusing on cloud and IT outsourcing services.

The board's average tenure is around 5.3 years, which suggests an experienced group, but the management team's average tenure is shorter at about 1.6 years, indicating a recent, significant shift in executive leadership.

DXC Technology Company (DXC) Mission and Values

DXC Technology's core purpose is to be a leading IT services company that uses technology to build better futures for all stakeholders, moving far beyond mere profit-seeking.

This commitment is grounded in a set of clear values-like accountability, collaboration, and integrity-that shape their culture and drive their strategy to help clients Thrive on Change, which is their core tagline.

DXC Technology Company's Core Purpose

You're looking for what truly motivates a company like DXC Technology, and the answer is a broad commitment to business impact, people, and community. This isn't just corporate speak; it's the cultural DNA that guides their transformation efforts, which in fiscal year 2025 included a significant cultural reset focused on speed and accountability.

Official mission statement

The mission statement is comprehensive, positioning DXC Technology as a force for positive change across multiple dimensions. It's a clear mandate to use their IT expertise for a greater good, not just for client contracts.

• Be an IT services company using the power of technology to build better futures for our customers, colleagues, environment and communities.
• Help our customers deliver business impact.
• Be the employer of choice.

This focus on being an 'employer of choice' is defintely showing results; DXC Technology was named one of America's Greatest Workplaces for the second consecutive year in June 2025. Plus, their Chief People Officer was recognized with the 2025 N2Growth Leaders40 Top CHRO Award.

Vision statement

DXC Technology's vision is simple: to be the best in their field by enabling clients to navigate the digital world. They aim to be the indispensable partner for mission-critical systems, which is why twenty-one of the top 25 insurers and 80% of Fortune Global 500 insurers rely on their solutions.

• Become the world's leading IT services company.
• Help clients transform their businesses through technology.
• Achieve market leadership, client transformation, and global impact.

This vision is backed by concrete action, like their recent win with Carnival Cruise Line to manage the critical infrastructure powering their entire fleet, which serves over 6 million guests annually. That's a huge endorsement of their capabilities.

DXC Technology slogan/tagline

The company's most consistent and active tagline, which captures the essence of their value proposition in a single phrase, is about helping businesses proactively manage the relentless pace of digital change.

• Thrive on Change.

This isn't just a marketing line; it's what they do. They are embedding AI and generative AI into client solutions, like launching DXC Assure BPM, powered by ServiceNow, and helping companies like Ferrovial use DXC AI Workbench with over 30 active AI agents to boost productivity. They are also a recognized leader in the 2025 ServiceNow Ecosystem Partners study. That's how you help clients thrive. Mission Statement, Vision, & Core Values of DXC Technology Company (DXC).

DXC Technology Company (DXC) How It Works

DXC Technology Company operates as a global IT services powerhouse, helping large enterprises manage their complex, mission-critical systems while simultaneously driving digital modernization and cloud adoption. The company essentially acts as a deep-domain partner, using its massive global scale and technical expertise to run, transform, and secure the IT estates of its customers, which generated a total revenue of $12.87 billion in fiscal year 2025.

DXC Technology Company's Product/Service Portfolio

DXC structures its value delivery across two primary segments: Global Business Services (GBS), which focuses on high-growth digital offerings like cloud, analytics, and security, and Global Infrastructure Services (GIS), which manages traditional IT outsourcing and modern workplace solutions. The GBS segment contributed $6.6 billion to fiscal 2025 revenue, while GIS brought in $6.2 billion.

DXC Technology Company's Operational Framework

The company's operational model is currently undergoing a significant shift, moving from a pure-play IT outsourcing model to a dual-track strategy to address the rapidly evolving AI global economy. This is a defintely necessary pivot.

• Two-Track Approach: The core track focuses on disciplined execution and efficiency gains in the traditional Global Infrastructure Services business, which is key to maintaining stable cash flow. The fast track is dedicated to scaling high-growth areas, particularly AI-native offerings and core business expansion in areas like SAP and insurance SaaS (Software as a Service).
• Xponential AI Framework: This framework is the engine for the fast track, integrating AI-powered intelligence into both internal operations for cost savings and customer-facing solutions for innovation. The goal is for AI-driven initiatives to contribute 10% of total revenue within the next three years.
• Service Delivery Excellence: DXC uses an Intelligent Operations approach, blending human expertise with AI-powered automation to drive better outcomes and scalability in its Global Infrastructure Services segment. This has led to an industry-leading Net Promoter Score (NPS) in that segment.

To understand the strategic intent behind these operational changes, you should review the Mission Statement, Vision, & Core Values of DXC Technology Company (DXC).

DXC Technology Company's Strategic Advantages

DXC's market success is rooted in its unique position as one of the few IT services companies with truly end-to-end capabilities, plus its deep entrenchment in critical client systems.

• Legacy Modernization Scale: The company manages mission-critical workloads for some of the world's largest brands, including processing 275 million card transactions daily for over 450 banks. This deep integration makes it an indispensable partner for complex modernization efforts.
• Financial Discipline and Cash Flow: Despite revenue declines, fiscal year 2025 saw a strong focus on financial health, with Non-GAAP diluted EPS rising to $3.43 and the company generating $687 million in free cash flow. This cash generation provides the capital needed for strategic AI investments.
• Book-to-Bill Improvement: A key indicator of future revenue, the full fiscal year 2025 book-to-bill ratio climbed to 1.03x, up from 0.91x in the prior year, showing that new business bookings are now slightly outpacing revenue recognized.
• Ecosystem Partnerships: DXC maintains strong, active partnerships with major technology players like ServiceNow, SAP, Microsoft, and Amazon Web Services (AWS), with its teams holding over 49,000 certifications across this ecosystem.

DXC Technology Company (DXC) How It Makes Money

DXC Technology Company makes money by providing a comprehensive range of information technology (IT) services and solutions to large enterprises and public sector clients globally, essentially helping them run their mission-critical systems while modernizing for the future. The company operates on a service-based model, generating revenue through long-term contracts for managing IT infrastructure, providing business process outsourcing, and delivering digital transformation consulting.

DXC Technology Company's Revenue Breakdown

For the full fiscal year 2025, DXC Technology Company reported total revenue of approximately $12.87 billion, a decline of 5.8% year-over-year. This revenue is segmented into two primary reporting divisions, with the Global Business Services segment showing a less severe decline, suggesting a strategic shift toward consulting and digital work is underway.

The Global Business Services (GBS) segment, which contributed $6.65 billion, focuses on high-value services like cloud migration, analytics and engineering, and applications modernization. The Global Infrastructure Services (GIS) segment, at roughly $6.22 billion, handles the older, more traditional IT outsourcing, cloud and security, and modern workplace services.

Business Economics

DXC Technology Company's economic model is built on securing large, multi-year contracts with a direct sales force, which creates a sticky, annuity-like revenue base. Their pricing strategy is a mix of competitive market pricing, custom pricing for complex enterprise projects, and value-based pricing for digital transformation initiatives.

• Pricing Models: They use a combination of Fixed Price for predictable projects and Time and Material (T&M) for projects where the scope is less defintely clear or requires flexibility.
• Cost Structure: The largest expense is the cost of services (COS), which amounted to approximately $9.8 billion for fiscal 2025, representing about 76% of total revenue. This high percentage underscores the labor-intensive nature of the IT services business.
• Book-to-Bill Ratio: A key indicator of future revenue health, the full-year fiscal 2025 book-to-bill ratio was 1.03x. This means the company signed $1.03 in new contracts for every $1.00 of revenue recognized, which is a positive sign for stabilizing the top line.
• Strategic Focus: The company is actively shifting away from legacy, lower-margin GIS work toward the higher-margin GBS offerings, focusing on areas like AI integration through their new Xponential AI framework.

The business is capital-light, meaning it doesn't need huge upfront investments in physical assets, but it is people-intensive, so managing labor costs and utilization is crucial for margin expansion. You can see their strategic direction in their Mission Statement, Vision, & Core Values of DXC Technology Company (DXC).

DXC Technology Company's Financial Performance

While the top-line revenue has been declining, the company's focus on cost control has led to an improvement in profitability metrics for fiscal year 2025. This is the classic turnaround story: stabilize the margins first, then focus on revenue growth.

• Adjusted EBIT and Margin: Full-year fiscal 2025 Adjusted EBIT (Earnings Before Interest and Taxes, adjusted for one-time items) was $1,019 million, corresponding to an Adjusted EBIT margin of 7.9%. This margin is a slight improvement year-over-year, showing that cost-cutting is working.
• Earnings Per Share (EPS): Non-GAAP diluted EPS for FY2025 was $3.43, a solid increase of 10.6% year-over-year. This shows that even with falling revenue, the profit distributed per share is growing due to operational efficiencies.
• Free Cash Flow (FCF): The company generated $687 million in Free Cash Flow for fiscal 2025. This cash is vital for debt reduction and share repurchases, which are key to their current strategy.
• Near-Term Update: For the most recent quarter (Q2 Fiscal Year 2026, reported in October 2025), Non-GAAP diluted EPS was $0.84, and Free Cash Flow was very strong at $240 million, a significant jump from the prior year. This recent cash generation is a clear signal of improved operational discipline.

The key risk here is that organic revenue is still shrinking, but the improving profitability and the book-to-bill ratio above 1.0x suggest a potential stabilization point is near. The market is pricing DXC Technology Company as undervalued, with a P/E ratio around 6.03 as of November 2025, suggesting investors are skeptical of the turnaround, which could be an opportunity if management executes.

DXC Technology Company (DXC) Market Position & Future Outlook

DXC Technology Company (DXC) is in a critical turnaround phase as of late 2025, shifting from legacy infrastructure management toward higher-margin digital transformation and AI-powered services. While the company closed fiscal year 2025 with total revenue of $12.87 billion, a decline of 5.8% year-over-year, its improved adjusted EBIT margin of 7.9% and a book-to-bill ratio of 1.03x signal a stabilizing business and a healthy pipeline of future work.

The core strategy is a two-track approach: better operational execution in its traditional Global Infrastructure Services (GIS) and aggressive investment in its Global Business Services (GBS) segment, particularly in AI-native offerings. They are defintely focused on profitability first, aiming for flat revenue in the near-term quarters before pursuing positive growth.

Competitive Landscape

DXC operates in the highly fragmented, multi-trillion-dollar global IT services market, which is projected to be valued at $1,171.78 billion in 2025.

Here's the quick math: DXC's full-year 2025 revenue of $12.87 billion means its global IT services market share is roughly 1.1%, placing it in the second tier of global providers, competing against giants with significantly larger scale and market presence.

Opportunities & Challenges

The market is expanding rapidly due to enterprise demand for AI and cloud migration, but DXC must execute its turnaround plan flawlessly to capture this growth.

Industry Position

DXC's industry standing is defined by its expertise in managing complex, mission-critical systems for large corporations and public sector organizations.

• Legacy IT Modernization: The company is a proven leader in modernizing legacy IT, a necessity for a large segment of the Fortune 500.
• Sector Focus: It serves 21 of the top 25 global insurers and processes over 1 billion policies, demonstrating deep vertical expertise that competitors struggle to match.
• Consulting Recognition: DXC was named to the Forbes World's Best Management Consulting Firms 2025 list, specifically recognized for its Consulting & Engineering Services (CES) in areas like Digital Transformation and IT Strategy & Implementation.
• Financial Turnaround: Despite the revenue contraction, the turnaround efforts yielded a free cash flow of $687 million in FY 2025, providing capital for debt reduction and strategic investments.

To understand the foundation of their strategy, you should review their Mission Statement, Vision, & Core Values of DXC Technology Company (DXC).