DXC Technology Co (DXC)
Profitability ratios
Return on sales
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 21.56% | 18.77% | 18.17% | 17.83% | 20.06% | 22.65% | 22.41% | 22.12% | 22.07% | 21.43% | 21.63% | 21.94% | 22.02% | 21.39% | 21.40% | 21.05% | 20.55% | 21.26% | 21.70% | 22.31% |
| Operating profit margin | 5.48% | 4.06% | 5.16% | 7.90% | 8.13% | -1.92% | -2.54% | -4.83% | -4.57% | 9.94% | 9.50% | 8.83% | 8.09% | 1.66% | 0.24% | -0.89% | -2.22% | -1.59% | -0.29% | 1.22% |
| Pretax margin | 4.89% | -0.13% | 0.48% | 0.74% | 0.80% | -5.37% | -6.09% | -6.56% | -6.13% | 7.25% | 7.42% | 5.30% | 7.02% | -2.71% | 8.08% | 7.50% | 3.69% | -11.65% | -20.99% | -29.49% |
| Net profit margin | 3.02% | -0.57% | 0.18% | 0.60% | 0.67% | -3.37% | -4.02% | -4.49% | -3.95% | 4.84% | 4.93% | 3.42% | 4.41% | -3.67% | 2.32% | 1.92% | -0.84% | -15.67% | -20.44% | -29.90% |
Based on the data provided, DXC Technology Co has shown fluctuations in its profitability ratios over the years.
1. Gross Profit Margin: The gross profit margin has varied over time, ranging from a low of 17.83% in June 2024 to a high of 22.65% in December 2023. In general, the company has maintained a gross profit margin above 20%, indicating its ability to generate profit from sales after deducting the cost of goods sold.
2. Operating Profit Margin: The operating profit margin has also seen fluctuations, with negative margins recorded in some quarters. However, there has been an improvement in recent periods, with margins reaching around 8-9% in March 2022 and September 2022.
3. Pretax Margin: The pretax margin reflects the company's ability to generate profit before tax expenses. DXC Technology Co has experienced both negative and positive pretax margins over the years, with improvements seen in the most recent periods, reaching around 7-8% in March 2022 and December 2022.
4. Net Profit Margin: The net profit margin indicates the company's bottom-line profitability after all expenses have been deducted. DXC Technology Co has shown varying net profit margins, with negative margins recorded in some quarters. However, there has been an improvement in recent periods, with margins ranging from -4.49% in June 2023 to 4.84% in December 2022.
Overall, while DXC Technology Co has experienced fluctuations in its profitability ratios, there have been signs of improvement in recent periods, particularly in operating profit margin, pretax margin, and net profit margin. Monitoring these ratios can provide insight into the company's overall financial health and performance.
Return on investment
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.34% | 4.08% | 5.07% | 7.96% | 8.01% | -1.79% | -2.42% | -4.47% | -4.16% | 8.09% | 8.23% | 7.50% | 6.53% | 1.39% | 0.20% | -0.74% | -1.78% | -1.22% | -0.21% | 0.84% |
| Return on assets (ROA) | 2.95% | -0.58% | 0.18% | 0.61% | 0.66% | -3.14% | -3.83% | -4.16% | -3.60% | 3.93% | 4.27% | 2.91% | 3.57% | -3.06% | 1.94% | 1.60% | -0.68% | -12.04% | -15.04% | -20.57% |
| Return on total capital | 25.67% | 8.90% | 12.04% | -65.33% | -66.10% | -87.71% | -82.41% | -19.43% | -17.93% | 25.38% | 26.40% | 20.16% | 25.02% | -4.19% | 32.32% | 30.15% | 19.20% | -28.89% | -75.10% | -114.46% |
| Return on equity (ROE) | 11.15% | -2.51% | 0.81% | 2.84% | 3.24% | -15.03% | -16.27% | -17.65% | -14.92% | 14.50% | 15.34% | 10.73% | 13.36% | -11.99% | 7.67% | 6.20% | -2.81% | -47.47% | -81.29% | -124.91% |
Based on the provided data, DXC Technology Co's profitability ratios show a fluctuating trend over the analyzed periods.
1. Operating Return on Assets (Operating ROA):
- DXC's Operating ROA started at a low 0.84% in June 2020, reaching a peak of 8.23% in September 2022, before declining to 4.08% by December 2024. Notably, there was a significant negative dip in Operating ROA in March 2023 and June 2023, indicating challenges in generating profits from its core operations.
2. Return on Assets (ROA):
- The overall ROA improved gradually from June 2020 to March 2025, shifting from a low of -20.57% to 2.95%. The company started with negative ROA figures, with a notable improvement from September 2020 onwards, except for a slight dip in December 2024. This suggests that DXC became more efficient in generating profits relative to its total assets over the period.
3. Return on Total Capital:
- DXC's Return on Total Capital plunged from negative percentages in mid-2020 to positive figures in March 2022, showcasing a turnaround in capital utilization efficiency. However, there were fluctuations, with the ratio varying between -87.71% in December 2023 and 25.67% in March 2025, indicating inconsistencies in maximizing returns on its total capital employed.
4. Return on Equity (ROE):
- ROE exhibited a similar pattern to ROA, with a gradual improvement from negative percentages in mid-2020 to a positive 11.15% in March 2025. Despite the positive trend, there were fluctuations in ROE, reflecting challenges in generating returns for shareholders consistently.
In conclusion, DXC Technology Co showed improvements in profitability metrics over the analyzed period, with fluctuations suggesting ongoing challenges in maintaining consistent and sustainable profitability.