DXC Technology Company sustainability score: 53/100

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DXC reports Scope 1 and Scope 2 emissions annually, verified by a third party in accordance with ISO 14064-3:2006. DXC's FY2025 CDP report (7.6.1, 7.7.1) gives Scope 1 of 17,273 tCO₂e and Scope 2 of 182,762 tCO₂e location-based, a combined operational footprint of 200,035 tCO₂e; the market-based Scope 2 figure is 73,134 tCO₂e. SINK uses the location-based basis for the scale calculation because market-based accounting reflects contractual instruments rather than emissions physically released. Scope 1 was 18,018 tCO₂e in FY2024 on the same basis. DXC's own sustainability page states an 84% reduction in direct GHG emissions against its FY19 baseline by FY26. Reporting is GHG Protocol aligned with multi-year tracking and granular breakdown by facility type including data centres. Third-party external assurance is confirmed. The score stops short of 10 because a full declining-trend picture with granular facility-level breakdown and verified methodology documentation was not independently accessible in full detail.

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DXC quantifies Scope 3 emissions across multiple categories. DXC's FY2025 CDP report accounts for Scope 3 across nine reporting-year categories totalling 919,077 tCO₂e — 82% of a 1,119,112 tCO₂e total footprint — the largest being purchased goods and services (557,569 tCO₂e) and capital goods (173,917 tCO₂e). DXC's FY2025 CDP report confirms Scope 3 coverage was expanded from FY23 onwards as data improved. DXC has set a supplier engagement target requiring 75% of suppliers to hold science-based targets by FY2027. The UK carbon reduction plans for legal entities (EntServ UK, CSC Computer Sciences) confirm Scope 3 (all categories) at 61,045 and 75,406 tCO₂e respectively for FY25. Supplier engagement exists but independently verified results against the 75% supplier SBTi target were not confirmed in available sources. Score reflects majority of material Scope 3 categories quantified with methodology and a supplier engagement programme in place, but without confirmed delivery data on supplier SBTi adoption.

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Absolute Scope 1 and 2 emissions have declined significantly and consistently: DXC reports an 84% reduction in direct GHG emissions against its FY19 baseline by FY26, having already achieved a 68% reduction by FY24 against that baseline — exceeding its SBTi near-term target ahead of schedule. DXC's FY2025 CDP report gives total emissions of 1,119,112 tCO₂e, with Scope 1 falling from 18,018 tCO₂e in FY2024 to 17,273 tCO₂e in FY2025 and from 41,423 tCO₂e in FY2020. Scope 1 and 2 location-based emissions decreased by 28% in FY25 vs FY24 per DXC's UK Carbon Reduction Plan. These are genuine absolute reductions, not intensity-only improvements, driven by data centre consolidation and office rationalisation. Scope 3 also fell in FY25. The score stops short of 8–10 because the net-zero target excludes Scope 3, and the FY2030 SBTi target covers Scope 1 and 2 only, leaving the largest emissions category (82% of total) without a validated reduction pathway.

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In FY25, DXC procured 56% of its electricity from renewable sources, rising to 64% in FY26 per its corporate sustainability page. Renewable energy is backed by Guarantees of Origin (GO) and REGOs rather than on-site generation or power purchase agreements, which are unbundled certificates and cap the score at 6 under the rubric. DXC's UK entities plan 100% renewable electricity by FY30 with supplier agreements in place for wind and solar. Data centres maintain ISO 50001 energy management certification. DXC purchased 366,836 MWh of renewable energy in FY25. The gap between 64% renewable and 100% and the reliance on certificate-based rather than additionality-verified procurement prevents a score above 6.

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DXC is an IT services company with negligible direct land use, no significant deforestation exposure, and a predominantly office- and data-centre-based physical footprint. No TNFD disclosure was identified. DXC's FY2025 CDP report confirms site-level biodiversity risk assessment using the WWF Biodiversity Risk Filter and WRI Water Risk Atlas, and energy and water requirements are reviewed across major sites against local biodiversity impacts. An environmental policy is in place. However, DXC does not publish a quantified nature footprint, deforestation-free commitments (not relevant to its business), or any nature restoration programmes. The score of 4 reflects assessed nature dependencies at site level and a basic environmental policy, consistent with a service company with minimal direct nature exposure and awareness of that fact but no quantified or verified nature programme.

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DXC recycled or reused 99% of e-waste processed by its recycling and refurbishment partners in both FY25 and FY26, with a target of zero e-waste to landfill. E-waste reporting is externally audited. DXC applies a circular economy approach to IT asset disposal — refurbishing and reselling hardware via auctions and brokers before any recovery or incineration. A waste hierarchy is formally documented. The company reports on multiple waste streams (non-hazardous paper, packaging, hazardous fluorescent tubes, batteries, spent oil). The score falls short of 8 because comprehensive circularity metrics with verified absolute waste figures were not found in third-party sources, and the programme is primarily focused on e-waste rather than a broader circular procurement or supply chain material stewardship programme.

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DXC reduced water consumption by 84% against its FY19 baseline by FY26, and by 89% by FY25 per its corporate sustainability page. Site-level water risk assessments are conducted using the WWF Water Risk Filter and WRI Water Risk Atlas. DXC's CDP report confirms water stress, wildfire and severe weather are reviewed across largest sites. As an IT services company, DXC has no chemical discharge risk. Water consumption is monitored and reduction targets are in place with multi-year tracking. The score reaches 6 (quantified water footprint with reduction targets) rather than higher because independently verified watershed engagement or water stewardship certification (e.g., AWS Alliance for Water Stewardship) was not identified, and the reduction is primarily a function of office and data centre consolidation rather than active water stewardship.

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DXC achieved SBTi validation in November 2023 for its near-term target: 65% reduction in Scope 1 and 2 emissions by FY2030 against a FY2019 baseline, aligned to a 1.5°C pathway. By FY24 DXC had already exceeded this target (68% reduction). A supplier engagement target requires 75% of suppliers to hold science-based targets by FY2027. DXC committed to net-zero Scope 1 and 2 emissions by 2050 (June 2024). The reduction-first approach is evidenced by the consistent absolute declines. However, the net-zero commitment explicitly covers only Scope 1 and 2, not Scope 3 (which is 82% of total emissions); no SBTi net-zero validation has been obtained; and no verified carbon removal strategy has been disclosed. This gap in Scope 3 ambition prevents a score of 8 or above.

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DXC received a CDP A-List rating in 2025, confirmed by its ESG Disclosures page, placing it among the global leaders in climate transparency. Sustainability reporting covers GRI, SASB, TCFD, and CDP frameworks. An ESG Executive Steering Committee and Board-level ESG oversight are formally documented. Emissions are externally assured to ISO 14064-3. DXC received an MSCI ESG rating of AA (2025) and was named a 2024 ESG Industry Top Rated company by Sustainalytics. The company is a UN Global Compact signatory since inception and has been a CDP respondent since 2018. The FY2025 sustainability report is published. The score is 8 rather than higher because independent evidence of executive compensation explicitly linked to sustainability targets was not confirmed, and the company's structure is a conventional NYSE-listed corporation without mission-lock governance.

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Starting at 8. DXC paid an $8 million SEC penalty in 2023 for making misleading disclosures about its non-GAAP financial performance across multiple reporting periods from 2018 to early 2020. The SEC found DXC materially increased reported non-GAAP net income by misclassifying tens of millions in expenses. This is an upheld regulatory action: −2 deduction applied. No environmental fines, greenwashing rulings, or anti-climate lobbying were identified. A securities class action concerning restructuring disclosures is pending against the company, but Q10 under v2.5 scores environmental controversies only, so non-environmental securities litigation carries no deduction. DXC does serve oil and gas clients (documented on its own website and via AWS collaboration), however it competes in a market with many substitutes (Accenture, IBM, Infosys, TCS, Capgemini) and does not meet the near-duopoly/no-realistic-substitute criterion required for the structural infrastructure deduction. No additional structural deduction is applied. Final score: 8 − 2 = 6.