DXC Technology Lifts FY21 EPS Outlook, But Cuts Revenue Guidance

DXC Technology Company (DXC) Wednesday revised its full-year outlook. The company increased its adjusted earnings guidance, but lowered its revenue guidance range due to foreign exchange fluctuations.

The company now expects adjusted earnings of $3.52 to $3.72 per share and revenues of $16.4 billion to $16.6 billion

Previously, the company expected adjusted earnings of $3.45 to $3.65 per share and revenues of $16.6 billion to $16.8 billion.

Analysts polled by Thomson Reuters currently estimate earnings of $3.59 per share on revenues of $16.76 billion.

CFO Ken Sharp said, "The second quarter of fiscal year 2022 saw continued progress toward building our strong financial foundation for DXC. Our recent refinancing extends debt maturities, lowers maturity towers, and reduces ongoing interest expense by approximately $50 million annually. We continue to significantly reduce restructuring and TSI expense, lower capital lease payments, reduce our facility footprint and drive our ongoing cost optimization program. Taken together, these initiatives are driving an improvement in DXC's free cash flow generation capability."

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