HCLTech Q2 Profit Surges 21% to Rs 5,132 Crore
HCLTech reports a 21.2% YoY rise in net profit to Rs 5,132 crore and 11% revenue growth for the September quarter. Read the full breakdown here.
SLUG: hcltech-q2-results-profit-revenue-growth FOCUS: HCLTech Q2 results SEO_TITLE: HCLTech Q2 Results: Net Profit Jumps 21% to Rs 5,132 Crore SEO_DESC: HCLTech reports a 21.2% YoY rise in net profit to Rs 5,232 crore and 11% revenue growth for the September quarter. Read the full breakdown here. TAGS: Business News, India News, India Economy
IT services powerhouse HCLTech has announced a stellar performance for the September quarter of FY27, reporting a significant surge in both its top and bottom lines. The company's consolidated net profit climbed by 21.2% year-on-year to reach Rs 5,132 crore, while its consolidated revenue grew by 11.5% to Rs 35,620 crore.
Strong Sequential Growth and Revenue Breakdown
Beyond the yearly growth, the tech giant also showed steady momentum compared to the previous quarter. On a sequential basis, revenue increased by 3% from Rs 34,579 crore in the June quarter, while net income rose by 11% from Rs 4,624 crore in the same period.
When measured in constant currency terms, the revenue grew by 2.6% year-on-year and 2.3% quarter-on-quarter. The growth was largely driven by the services segment, which saw a 4% year-on-year increase in constant currency terms. Key highlights from the segment performance include:
- IT and Business Services: Revenue grew 4.4% year-on-year in constant currency terms.
- Engineering and R&D Services: Revenue increased by 2.1% year-on-year.
- HCLSoftware: Revenue witnessed a decline of 11.2% year-on-year in constant currency terms.
AI Momentum and Record Deal Bookings
A standout performer in the quarterly report was HCLTech's Advanced AI business. The segment recorded massive growth, with revenue hitting USD 219 million—a staggering 78% increase year-on-year and 28.4% quarter-on-quarter in constant currency terms.
Chairperson Roshni Nadar Malhotra noted that the accelerating growth in the AI space validates the company's current business strategy. She emphasized that strategic investments across the AI stack are positioning HCLTech to serve global enterprises and governments effectively.
Furthermore, CEO and Managing Director C Vijayakumar announced that the company secured new deal bookings worth USD 3.3 billion during the quarter, marking a 27% increase year-on-year. This brings the total bookings for the first half of the year to a record high.
Margins and Shareholder Returns
The company's operating profitability also showed signs of improvement. The Earnings before interest and tax (EBIT) margin stood at 18.2% for the September quarter, expanding by 71 basis points year-on-year and 131 basis points sequentially. The company noted that this reported margin included an 84-basis-point impact from restructuring costs.
For shareholders, HCLTech announced a dividend of Rs 12 per share. The company also reported diluted earnings per share of Rs 70.22 for the quarter, representing a 12.2% increase year-on-year.
Looking ahead, HCLTech has maintained its FY27 revenue growth guidance at 2.5-4% in constant currency terms. For its services business, the company anticipates revenue growth of 3-4% in constant currency terms, with EBIT margin guidance held at 17.5-18.5%.
Following the announcement, HCLTech shares saw a positive movement, ending 0.5% higher at Rs 1,223 on the National Stock Exchange.