DXC's share price tanks as CEO departs

Former Accenture boss will take over

DXC's share price has tumbled by more than 13 per cent after the IT giant announced that CEO Mike Lawrie will leave at the end of the year.

The services firm announced quarterly numbers last month, in which sales plummeted by 7.4 per cent to $4.89bn (£3.96bn).

Disappointing numbers over recent months have triggered waves of layoffs, with DXC revealing that 3,900 employees were cut in Q1.

CEO Lawrie will now himself depart, to be replaced by Mike Salvino (pictured) who has previously led Accenture's Operations business.

Manoj Singh, chair of DXC's board nominating committee, said: "We want to thank Mike Lawrie for guiding DXC through its successful integration and initial phase of transformation.

"During his tenure, DXC became the world's leading, independent end-to-end IT services company and built significant digital capabilities to help DXC execute its strategy. We look forward to his continued leadership during this important transition."

Lawrie has led DXC since it was born out of a merger between CSC and Hewlett Packard Enterprise's services businesses.

The firm's share price has fallen by around two thirds over the last 12 months.

Lawrie said: "Mike Salvino is the perfect choice to lead DXC into its next phase of growth.

"He is a proven leader with a strong track record of successfully running businesses, forging trusted client relationships, and creating an environment to grow and develop talent.

"DXC has an enviable client portfolio, deep industry partnerships and a talented global team. I am looking forward to leveraging these strengths and my proven operational playbook to accelerate the execution of our growth strategy."