Stock Incentive Plans

3 Months Ended

Jun. 30, 2025

Share-Based Payment Arrangement [Abstract]

Restricted Stock Units and Performance-Based Restricted Stock Units

Restricted stock units ("RSUs") represent the right to receive one share of DXC common stock upon a future settlement date, subject to vesting and other terms and conditions of the award, plus any dividend equivalents accrued during the award period.

The RSUs vest one-third ratably over a three-year period. In general, if the employees’ status as a full-time employee is terminated prior to the vesting of the RSU grant in full, then the RSU grant is automatically canceled on the termination date and any unvested shares and dividend equivalents are forfeited.

The Company also grants performance-based restricted stock units (“PSUs”), which generally vest at the end of a three-year period. The number of PSUs that ultimately vest is dependent upon the Company’s achievement of certain specified financial performance criteria over a three-year period. If the specified performance criteria are met, awards are settled for shares of DXC common stock and dividend equivalents shortly subsequent to the end of the performance period, subject to continued employment through the last day of the third fiscal year. DXC also issued PSU awards that are considered to have a market condition. Settlement of shares for these PSU awards will be made shortly subsequent to the end of third fiscal year, subject to certain market conditions and continued employment through the last day of the third fiscal year.

The fair value of RSUs and PSUs is based on the Company’s common stock closing price on the grant date. For PSUs with a market-based condition, DXC uses a Monte Carlo simulation model to value the grants.


	Employee Equity Plan			Director Equity Plan
	Number of Shares	Weighted Average Grant Date Fair Value		Number of Shares	Weighted Average Grant Date Fair Value
Outstanding as of March 31, 2025	9,073,741	$	22.23	201,017	$	26.63
Granted	9,791,778	$	16.30	—	$	—

Settled	(2,420,869)	$	25.47	—	$	—
Canceled/Forfeited	(795,153)	$	40.48	—	$	—
Outstanding as of June 30, 2025	15,649,497	$	17.43	201,017	$	26.63

Share-Based Compensation


	Three Months Ended
(in millions)	June 30, 2025		June 30, 2024


Total share-based compensation cost	$	22	$	23
Related income tax benefit	$	3	$	3

DXC Technology Co 10-Q