DXC Technology cuts full-year revenue forecast on weak IT spending
Nov 1 (Reuters) - IT management firm DXC Technology cut its forecast for the full year on Wednesday, as uncertain economic conditions force clients to make steeper IT budget cuts.
The company faces tough competition from giant IT services provider like Accenture Plc and IBM. DXC is also vulnerable to foreign exchange fluctuations and a strong U.S. dollar can impact its business as it has significant revenue streams outside of the United States.
The company, which counts London-listed Lloyds Banking Group and Germany's Daimler-Benz as its customers, now expects 2024 revenue in the range of $13.58 billion to $13.73 billion from earlier expectations of $13.88 billion to $14.03 billion.
The performance of the company's global IT infrastructure system segment in the quarter was hurt by revenue declines in cloud and IT outsourcing offerings.
DXC posted a 3.6% fall in second quarter revenue to $3.44 billion (Reporting by Akshita Toshniwal; Editing by Anil D'Silva)
