DXC Named Among Fortune's America's Most Innovative Companies 2026 Accessibility StatementSkip Navigation ASHBURN, Va., March 25, 2026 /PRNewswire/ - DXC Technology (NYSE: DXC), a leading enterprise technology and innovation partner, today announced it has been recognized for the first time on Fortune's America's Most Innovative Companies list. In its fourth edition, the America's Most Innovative Companies list recognizes 300 leading companies at the forefront of innovation, evaluating achievements across t ...

Financial Data and Key Metrics Changes - The company reported a strong third quarter with core industrial business growing 10% organically, exceeding previous guidance of high single digits [5][6] - The overall guidance for 2026 indicates low- to mid-single-digit growth for both core industrial and product inspection segments, with organic growth potentially closer to low single digits [15][17] - Gross margins are expected to decline by about 200 basis points in Q4 due to tariffs, with operating margins down approximately 130 basis points [56][57] Business Line Data and Key Metrics Changes - The core industrial segment comprises 25% of global business, with 60% of that sold into core end markets like pharma and food manufacturing [4][5] - Product inspection, which accounts for about 15% of global business, has shown strong performance, particularly in food manufacturing, which constitutes 70% of that segment [7][9] - The lab segment experienced 4% growth in Q3, with bioproduction and bioprocessing performing well, while liquid handling faced challenges [26][29] Market Data and Key Metrics Changes - Strong double-digit growth was observed in the Americas and Europe, with China showing its first growth in the industrial business in two years [6][12] - The company noted that emerging markets now account for 17% of sales, slightly larger than China, indicating a shift in market dynamics [72] Company Strategy and Development Direction - The company is focusing on enhancing solutions through automation and digitalization, which aligns with customer needs for improved processes [5][12] - Recent acquisitions are aimed at strengthening the franchise and expanding service offerings, particularly in product inspection [19][20] - The company is cautiously optimistic about onshoring trends benefiting its pharma and biopharma segments, with a significant portion of exposure in QA/QC labs [45][49] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the operating environment, acknowledging ongoing uncertainties but expecting gradual improvement throughout the year [17][41] - The company is preparing for potential benefits from reshoring trends, although actual purchasing may take time to materialize [53][70] - Management highlighted the importance of agility and adaptability in navigating challenges, particularly in response to tariffs and currency fluctuations [60][62] Other Important Information - The service business is seen as a growth opportunity, with a significant installed base that could yield higher service revenues [37][39] - The company is investing in R&D and growth initiatives while maintaining a balanced approach to cost management [75] Q&A Session Summary Question: What is the outlook for the industrial piece going into 2026? - Management expects low- to mid-single-digit growth for both core industrial and product inspection segments, with cautious positioning due to market uncertainties [15][17] Question: Can you elaborate on the recent acquisitions? - The acquisitions are strategic bolt-ons aimed at enhancing market access and service offerings, particularly in product inspection [19][20] Question: How is the company addressing the impact of tariffs? - The company has implemented measures to mitigate tariff impacts, with expectations of a modest benefit from potential tariff reductions in Switzerland [62][64] Question: What is the outlook for the biopharma market? - Management is cautiously optimistic, noting that while some customers are ready to invest, others remain in a wait-and-see mode due to ongoing uncertainties [41][43] Question: How does the company view the academic and government markets? - The company expects soft conditions in the academic and government sectors but anticipates easier comparisons in the coming year [55]

Financial Data and Key Metrics Changes - The company reported a strong third quarter with core industrial business growing 10% organically, exceeding expectations of high single-digit growth [3][4] - The overall guidance for next year anticipates low- to mid-single-digit growth for both core industrial and product inspection segments, with organic growth potentially closer to low single digits [13][14] Business Line Data and Key Metrics Changes - Core industrial business constitutes 25% of global business, with 60% of that sold into core end markets like pharma and food manufacturing [2][3] - Product inspection accounts for about 15% of global business, with 70% of that sold to food manufacturing companies [5][6] - The lab segment experienced 4% growth in Q3, with strengths in bioproduction and bioprocessing, while liquid handling faced challenges [23][27] Market Data and Key Metrics Changes - Strong double-digit growth was observed in the Americas and Europe, with a slight growth in China, marking the first growth in the industrial business in China in two years [4][5] - The company noted that emerging markets now account for 17% of sales, slightly larger than China [68] Company Strategy and Development Direction - The company is focusing on enhancing solutions through automation and digitalization, which aligns with customer needs for process optimization [3][10] - Recent acquisitions are aimed at strengthening the franchise and increasing direct market access, particularly in the service business [18][19] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the operating environment, acknowledging ongoing uncertainties but expecting gradual improvement throughout the year [14][40] - The company is well-positioned to benefit from onshoring trends, particularly in the pharma and biopharma sectors, which constitute a significant portion of their business [41][43] Other Important Information - The company is experiencing headwinds from tariffs, with a projected gross margin decline of about 200 basis points due to these tariffs [52][56] - The Swiss tariffs are expected to decrease, which may provide a modest benefit to next year's guidance [58][59] Q&A Session Summary Question: What is the outlook for the industrial piece going into 2026? - Management indicated low- to mid-single-digit growth expectations for both core industrial and product inspection segments, with cautious positioning due to market uncertainties [13][14] Question: How are recent acquisitions expected to impact the business? - Acquisitions are seen as strategic moves to strengthen the franchise and enhance service offerings, with expected benefits in the service business [18][19] Question: What is the company's view on the biopharma market? - Management noted improved headlines but maintained a cautious outlook, expecting some customers to remain in a wait-and-see mode regarding investment commitments [39][40] Question: How does the company plan to address tariff impacts? - The company has implemented measures to mitigate tariff impacts and expects a modest benefit from the reduction of Swiss tariffs in the upcoming year [56][58]