In Q1 2025, DXC Technology (DXC) reported a total revenue of $3.236 billion, representing a 4% decline year-over-year (YoY) on an organic basis. Despite this drop, the adjusted EBIT margin improved to 6.9%, up 40 basis points (bps) YoY, reflecting effective cost management amidst a cautious discretionary spending environment among clients. Non-GAAP diluted EPS rose 17% to $0.74, attributed to a reduction in outstanding shares. Management indicated that while new deal volumes remain under pressure, their selective approach is aimed at enhancing revenue quality rather than quantity. The company is reorienting its strategy towards stronger execution and operational excellence, which promises long-term value for shareholders. Improving cash flow from operations, positioned at $238 million, demonstrates liquidity resilience that allows DXC to manage its $4.1 billion debt effectively while investing in growth initiatives.