#India #financial results #AI Growth #Noida #HCLTech

HCLTech's Impressive Growth in Fiscal Year 2026

HCLTech, a global leader in technology services, recently announced its financial performance for the fiscal year ending March 31, 2026. The company experienced a robust 3.9% growth in revenue on a constant currency basis, signaling its successful adaptation to the evolving market dynamics, particularly the increasing demand for advanced AI solutions.

In dollar terms, HCLTech's revenues reached $14.7 billion, reflecting a 6% increase compared to the previous year. This growth was largely driven by a 4.8% rise in service revenues. Notably, IT and business services showed a steady performance, growing by 3.7%, while engineering and R&D services surged by 9.8% on a constant currency basis.

During the fiscal year, HCLTech secured impressive new contracts valued at $9.3 billion, demonstrating the strong market confidence in its capabilities. The annualized revenue from its advanced AI offerings exceeded $620 million in the fourth quarter alone, showcasing a substantial shift towards AI-driven solutions.

C. Vijayakumar, CEO and Managing Director of HCLTech, commented on these results, stating, "We have navigated a challenging demand environment and achieved revenue growth of 3.9%. Our new AI-based service offerings are resonating well in the market, and our focus for the upcoming fiscal year is to position HCLTech to capitalize on the vast opportunities that AI presents."

Key Growth Drivers

The sector-specific growth showcased HCLTech's strong capabilities, especially in Technology and Services, which reported an extraordinary 15% growth year-over-year on a constant currency basis. Financial services followed with a 7.5% increase, with telecommunications, media, publishing, and entertainment sectors contributing a 5.2% growth rate.

Geographically, India led with a 5.7% increase, while Europe reported a growth rate of 4.5%. Although the United States showed a lower increase of 2.3%, it is worth noting that other regions experienced the most significant growth, reaching 17.8%.

Future Projections

Looking ahead, HCLTech anticipates revenue growth between 1.0% and 4.0% for the fiscal year 2027. The company expects service revenue growth to range between 1.5% and 4.5%. The expected EBIT margin is projected to fall between 17.5% and 18.5%.

In recognition of its financial results and ethical business practices, HCLTech announced a dividend of 24 rupees per share for the fourth quarter, bringing the total annual dividend for fiscal year 2026 to 60 rupees per share.

Workforce Expansion

In addition to financial growth, HCLTech has made significant strides in expanding its workforce, hiring 1,712 fresh graduates during the quarter, resulting in a total intake of 11,744 recruits for the fiscal year. The company's attrition rate stands at 12.5%, a minor improvement from the previous year.

Highlighted Partnerships and Achievements

Key highlights of HCLTech's advanced AI agreements include:

• - A leading global tech company selected HCLTech for an AI Factory program valued at over $100 million, aimed at establishing state-of-the-art AI data centers.
• - A major U.S.-based semiconductor company entrusted HCLTech for enhancing its next-generation physical design.
• - An international aerospace firm engaged HCLTech to develop an AI-enabled digital simulation environment for cargo operations.

Other essential partnerships include supporting a luxury fashion company with its AI-driven digital transformation and establishing a cybersecurity center of excellence for a medical technology firm.

Throughout the fiscal year, HCLTech has been recognized as one of the World's Most Admired Companies and noted as one of the World's Most Ethical Companies by Ethisphere for the third consecutive year, upholding its commitment to ethical business practices.

Conclusion

HCLTech continues to solidify its position as a leader in the technology sector with its consistent growth and innovative AI solutions. As the demand for AI technologies escalates, HCLTech is well-positioned to explore new markets and opportunities that lie ahead. For more insights and updates about the company, visit hcltech.com.