HCL Technologies (HCLTECH) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 revenue reached $3.793 billion (₹33,872 crore), up 4.2% QoQ and 4.8% YoY in constant currency, with robust bookings of $3.006 billion, up 43% YoY and 17% QoQ, and strong momentum in AI-powered solutions and platforms.

• Annualized revenue surpassed $15 billion, reflecting scale and growth durability.

• EBIT margin was 18.6% (excluding one-time New Labour Codes impact), with net income at ₹4,795 crore, up 13.2% QoQ and 4.5% YoY.

• Major partnerships and acquisitions announced, including Telco Solutions from HPE, Jaspersoft, and Wobby, to strengthen telecom and data intelligence offerings.

• Interim dividend of ₹12/share declared, marking 92 consecutive quarters of payout.

Financial highlights

• Total Q3 revenue: $3,793 million (₹33,872 crore), up 4.2% QoQ and 4.8% YoY in constant currency.

• Services revenue: $3,379 million (+1.8% QoQ, +5% YoY); Software revenue: $425 million (+28.1% QoQ, +3.1% YoY).

• EBIT: $704 million (18.6% margin); Net income: $537 million (14.2% margin), both excluding one-time labor costs.

• Free cash flow/net income (LTM) at 120%; cash balance reached ₹34,306 crore; net cash at ₹31,939 crore.

• Dividend payout continued for 92nd consecutive quarter.

Outlook and guidance

• FY26 revenue growth expected at 4.0%-4.5% YoY in constant currency; services revenue growth at 4.75%-5.25% YoY in constant currency.

• EBIT margin guidance set at 17%-18%, excluding one-time New Labour Codes impact.

• Guidance excludes contributions from recent acquisitions.