So a quarter where BtB was sub 1. Not the end of the world. While most metrics still negative they are less negative than they were. Sure the share price is propped up by the buy back but so what - most of us dont have equity. Maybe the tide is slowly turning?
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Couple of things:
The middle managers know they are doing stupid stuff but they have no choice as they are following detailed instruction from the top...been like this since the merge. And they get fired if they don't.
Sell offs obviously drops revenue but the biggest reason for the revenue decline is that DXC cannot be trusted by any customers to deliver and it's no surprise given the continual bashing of the workforce and regular redundancy.
Ask yourself whether you would give DXC a contract if you were a potential customer...it's shocking to realise that...
Was on a call today and the "muddle" management as usual were trying to cut $5 from staff on travel due to virtual first.
What a bunch of numpties these mudlle managers, all they can do is sc--w the staff every way they can. Giving a option you can look for another job. I thought these id--ts don't realise there rate of attrition and retaining staff.
They sure now how not to motivate staff. Until they are extracted this company is in trouble as they are still managing in legacy style.
Listen to the calls - Deutsche Bank have been in DXCs pocket for a long time. Favorable analysis (cut and paste of the DXC narrative) with no real analysis. The were pumping DXC when it was $90. They are hanging out for investment banking revenue when the turkey is sold in parts. The SEC should be asking some questions. The others are "value" numpties who believe DXC is undervalued. DXC undervalues its core assets, employees, that is for sure and if they were such greedy egotists at the top and underendowed sociopaths in the middle, the company could generate real value. Until that changes its a long downward spiral. The rational approach is to do as little as possible for as much as possible before the implosion. This is what the executive are doing. Do as they do not as they say and your time at DXC will be profitable.
If the numbers are so good why is the stock down this month 33.49 USD -0.24 (-0.71%)past month (six months 33.49 USD -1.03 (-2.98%)past 6 months).
yes we got two of the classics this quarter, a couple of mega deals - now signed - that came through too late to count in the quarter, plus the usual currency headwinds. You can be sure these deals will be forgotten in 3 months time when discussing the next decline in revenue results, and when there will no doubt be currency tailwinds (never acknowledged of course).
Also, if these deals were so good and temporarily negatively distorted the book-to-bill, why the reduction of forecast revenue for the rest of the year by a further $200M?
The interesting part is Mike S explained away the lower book to bill as being a timing issue. Of course this does happen but its an excuse that can't be re-used. Q3 and Q4 results will be telling.
When you talk about previous revenue figures though, you do need to factor in all of the sell offs.
Thats cash redeemed and gone. That's the biggest chunk of why its no longer a 27bn company.
Book to bs is a good metric though, which is why they obcess about it.
You need to look at key metrics turnover shrinking every quarter, and book to bill also down.
Until these are on the up (book to bill needs to be around 2 if we are to get back to where we were under lawrie) means company is going down.
DXC just lies on every report.
They wouldn't know the truth if it bit them where the sun don't shine
That GRI report is interesting. Last year's rolling average for voluntary attrition was 19%. I'd be shocked if that didn't rise closer to 23%. The average is 15% so a reasonably large miss there. I also noted the hours of training per employee. Last year they increased the amount to 11.9 hours per employee. Large companies average around 40 hours per employee. I honestly have no idea what these analysts look at, but everywhere you look DXC underperforms.
In this month (November) you should find on the investors website a thing called the GRI report. Currently it's last year's report. When the 2021 one is issued, read that.
Anyone want a sweepstake on the voluntary attrition figures?