HCL Technologies Ltd. reported its Q3 FY26 (October–December) financial results with a mixed performance — profit declined while revenue grew for the quarter.
Key Financial Highlights (Q3 FY26)
- Consolidated Profit After Tax (PAT): ₹4,076 crore, down 11% year-on-year from ₹4,591 crore in the same period last year, primarily impacted by one-time restructuring expenses related to new labour code provisions.
- Revenue from Operations: ₹33,872 crore, up 13% YoY, reflecting solid top-line growth despite profit headwinds.
- Sequential Trends: Profit also declined from the previous quarter, while revenue saw moderate quarter-on-quarter growth.
Business and Segment Performance
- The company reported constant currency (CC) revenue growth, showing a 4.8% YoY rise, indicating resilience in international markets.
- Advanced AI services revenue saw double-digit growth, with strong momentum in higher-value digital offerings.
- Operating profit (EBIT) rose about 8% YoY, with margins improving when excluding one-time costs.
Dividend and Shareholder Returns
HCL Technologies declared an interim dividend of ₹12 per equity share for FY26, marking sustained shareholder returns.
Management Commentary & Outlook
The company highlighted robust revenue momentum driven by diversified digital services and strong deal bookings, but noted that profit was dampened by restructuring and labour-related expenditures. HCLTech has also set guidance for FY26 revenue growth in constant currency terms, emphasizing moderate expansion supported by its services portfolio.
Summary
- PAT declined ~11% YoY, mainly due to one-time costs.
- Revenue increased ~13% YoY, demonstrating solid demand.
- Dividend declared: ₹12 per share for the quarter.
Overall, HCLTech’s Q3 performance reflects healthy revenue growth despite pressure on profitability, with continued investments in digital and AI-related services contributing to top-line resilience.
