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HCL Technologies Q2 FY27 results: net profit up 21.2% to ₹5,132 crore, revenue up 11.5%
HCL Technologies Ltd reported Q2 FY27 consolidated revenue of ₹35,620 crore, up 11.5% from Q2 FY26 and 3.0% from Q1 FY27. Net profit rose 21.2% year on year to ₹5,132 crore, while EBITDA increased 14.2% to ₹7,477 crore and margin widened 0.5 percentage points to 21.0%.
Key points
- Q2 FY27 consolidated revenue was ₹35,620 crore, up 11.5% from ₹31,942 crore in Q2 FY26.
- EBITDA was ₹7,477 crore, up 14.2% year on year, with margin increasing 0.5 percentage points to 21.0%.
- Net profit rose 21.2% year on year to ₹5,132 crore, while basic EPS increased 21.3% to ₹18.96.
- H1 FY27 revenue was ₹70,199 crore, up 12.7%, and net profit was ₹9,758 crore, up 20.8%.
- The board declared an interim dividend of ₹12 per equity share for FY27.
How did HCL Technologies perform in Q2 FY27?
HCL Technologies reported consolidated Q2 FY27 revenue of ₹35,620 crore, an increase of ₹3,678 crore, or 11.5%, from Q2 FY26. Revenue was also up ₹1,041 crore, or 3.0%, from Q1 FY27. Total income for the quarter was ₹35,854 crore, compared with ₹32,357 crore a year earlier and ₹34,940 crore in the previous quarter.
EBITDA was ₹7,477 crore, up ₹932 crore, or 14.2%, from Q2 FY26 and ₹607 crore, or 8.8%, from Q1 FY27. EBITDA margin increased 0.5 percentage points year on year to 21.0% and 1.1 percentage points sequentially from 19.9%. Profit before tax rose 14.1% year on year to ₹6,505 crore, while net profit increased 21.2% to ₹5,132 crore.
Basic EPS was ₹18.96, up 21.3% from ₹15.63 in Q2 FY26 and 10.9% from ₹17.09 in Q1 FY27. On the standalone basis, revenue was ₹15,445 crore, up 11.7%, and profit before tax was ₹2,657 crore, against net profit of ₹4,302 crore. The results were approved by the board on a consolidated and standalone basis and limited-reviewed by B S R & Co. LLP.
| ₹ crore | Q2 FY27 | Q1 FY27 | Q2 FY26 | YoY | QoQ |
|---|---|---|---|---|---|
| Revenue from operations | 35,620 | 34,579 | 31,942 | +11.5% | +3.0% |
| Other income | 234 | 361 | 415 | −43.6% | −35.2% |
| Total expenses | 29,349 | 28,832 | 26,655 | +10.1% | +1.8% |
| EBITDA | 7,477 | 6,870 | 6,545 | +14.2% | +8.8% |
| EBITDA margin | 21.0% | 19.9% | 20.5% | +0.5 pp | +1.1 pp |
| Profit before tax | 6,505 | 6,108 | 5,702 | +14.1% | +6.5% |
| Tax | 1,335 | 1,482 | 1,466 | −8.9% | −9.9% |
| Net profit | 5,132 | 4,626 | 4,236 | +21.2% | +10.9% |
| EPS (₹) | 18.96 | 17.09 | 15.63 | +21.3% | +10.9% |
EBITDA here is revenue from operations less operating costs (total expenses excluding finance costs and depreciation): before other income and exceptional items. Growth is shown only when both figures are positive. Source: Company's results filing (XBRL).
What changed in HCL Technologies' costs and profit?
Total expenses increased ₹2,694 crore, or 10.1%, to ₹29,349 crore from Q2 FY26. Employee cost rose ₹1,527 crore, or 8.3%, to ₹19,828 crore, while other expenses increased ₹891 crore, or 13.8%, to ₹7,367 crore. There was no exceptional item. Finance costs fell ₹21 crore, or 9.8%, to ₹194 crore, and depreciation declined ₹31 crore, or 3.0%, to ₹1,012 crore.
Other income fell ₹181 crore, or 43.6%, to ₹234 crore from ₹415 crore in Q2 FY26. Tax expense was lower by ₹131 crore, or 8.9%, at ₹1,335 crore, compared with ₹1,466 crore. Against Q1 FY27, total expenses rose ₹517 crore, or 1.8%, while tax fell ₹147 crore, or 9.9%; other income declined ₹127 crore, or 35.2%.
From Q1 FY27, employee cost increased ₹136 crore, or 0.7%, other expenses rose ₹200 crore, or 2.8%, and finance costs rose ₹110 crore, or 131.0%. Depreciation fell ₹27 crore, or 2.6%. The filings did not state a specific reason for these cost and other-income movements.
| ₹ crore | Q2 FY27 | Q2 FY26 | Change | Change % |
|---|---|---|---|---|
| Cost of materials | 0 | 0 | 0 | |
| Employee cost | 19,828 | 18,301 | +1,527 | +8.3% |
| Finance costs | 194 | 215 | −21 | −9.8% |
| Depreciation | 1,012 | 1,043 | −31 | −3.0% |
| Other expenses | 7,367 | 6,476 | +891 | +13.8% |
| Total expenses | 29,349 | 26,655 | +2,694 | +10.1% |
| Other income | 234 | 415 | −181 | −43.6% |
| Tax | 1,335 | 1,466 | −131 | −8.9% |
Source: Company's results filing (XBRL).
How did the first half of FY27 go?
In H1 FY27, consolidated revenue rose ₹7,908 crore, or 12.7%, to ₹70,199 crore from ₹62,291 crore in H1 FY26. Total income increased 12.1% to ₹70,794 crore, while profit before tax rose 15.8% to ₹12,613 crore.
H1 FY27 net profit increased ₹1,678 crore, or 20.8%, to ₹9,758 crore from ₹8,080 crore. EPS increased 20.9% to ₹36.05 from ₹29.81, as reported in the consolidated financial results.
| ₹ crore | H1 FY27 | H1 FY26 | Change |
|---|---|---|---|
| Revenue from operations | 70,199 | 62,291 | +12.7% |
| Profit before tax | 12,613 | 10,891 | +15.8% |
| Net profit | 9,758 | 8,080 | +20.8% |
| EPS (₹) | 36.05 | 29.81 | +20.9% |
Source: Company's results filing (XBRL).
What do the balance sheet and cash flow show?
As of 30 September 2026, total assets were ₹120,422 crore, compared with ₹116,258 crore on 31 March 2026, while total equity rose to ₹76,126 crore from ₹75,197 crore. Borrowings increased to ₹954 crore from ₹159 crore, and cash and cash equivalents rose to ₹10,046 crore from ₹8,265 crore.
Trade receivables increased to ₹32,219 crore from ₹31,541 crore and inventories declined to ₹227 crore from ₹239 crore. Trade payables were ₹7,840 crore, compared with ₹7,706 crore at the previous balance-sheet date. The filing was unaudited at 30 September 2026; the 31 March 2026 balance sheet was audited.
H1 FY27 operating cash flow was ₹7,750 crore, compared with ₹9,608 crore in H1 FY26. Investing cash flow was ₹4,110 crore against ₹787 crore, financing cash flow was negative ₹9,857 crore against negative ₹9,694 crore, and capital expenditure was ₹999 crore compared with ₹784 crore.
| ₹ crore | As of 30 September 2026 | As of 31 March 2026 |
|---|---|---|
| Total assets | 1,20,422 | 1,16,258 |
| Total equity | 76,126 | 75,197 |
| Borrowings | 954 | 159 |
| Cash and equivalents | 10,046 | 8,265 |
| Inventories | 227 | 239 |
| Trade receivables | 32,219 | 31,541 |
Source: Company's results filing (XBRL).
| ₹ crore | H1 FY27 | H1 FY26 |
|---|---|---|
| Cash from operations | 7,750 | 9,608 |
| Cash from investing | 4,110 | 787 |
| Cash from financing | −9,857 | −9,694 |
| Capital expenditure | 999 | 784 |
Source: Company's results filing (XBRL).
How has HCL Technologies done over the last 8 quarters?
Revenue rose year on year in each of the last eight quarters and reached ₹35,620 crore in Q2 FY27, the highest in the reported series. It had fallen from ₹30,246 crore in Q4 FY25 to ₹29,890 crore in Q3 FY25 before rising through the subsequent quarters.
Net profit bottomed at ₹3,844 crore in Q1 FY26, below ₹4,309 crore in Q4 FY25 and ₹4,594 crore in Q3 FY25. It then rose to ₹5,132 crore in Q2 FY27, the highest point in the series, with year-on-year profit growth continuing for three quarters.
EBITDA margin reached a low of 19.8% in Q4 FY26, after 21.9% in Q3 FY26, and recovered to 21.0% in Q2 FY27. The margin had earlier peaked at 23.0% in Q3 FY25, so the latest reading remained below that level even as revenue and profit reached series highs.
Which businesses drove the quarter?
IT and Business Services reported revenue of ₹26,938 crore, up 13.7% from ₹23,693 crore in Q2 FY26. Segment EBIT rose from ₹3,832 crore to ₹4,995 crore, with an EBIT margin of 18.5%.
Engineering and R&D Services recorded revenue of ₹5,978 crore, up 10.2% from ₹5,423 crore. Segment EBIT was ₹905 crore, compared with ₹944 crore a year earlier, and the EBIT margin was 15.1%.
HCL Software reported revenue of ₹2,815 crore, down 3.7% from ₹2,923 crore in Q2 FY26. Segment EBIT was ₹565 crore, compared with ₹774 crore, while the EBIT margin was 20.1%.
| Segment | Revenue | Revenue YoY | EBIT | EBIT margin |
|---|---|---|---|---|
| IT and Business Services | 26,938 | +13.7% | 4,995 | 18.5% |
| Engineering and R&D Services | 5,978 | +10.2% | 905 | 15.1% |
| HCL Software | 2,815 | −3.7% | 565 | 20.1% |
Source: Company's results filing (XBRL segment data).
What else did the company announce?
The board approved the un-audited consolidated and standalone financial results for the quarter and half-year ended 30 September 2026. Limited-review reports for both sets of results were filed, and the review was not an audit opinion.
The board declared an interim dividend of ₹12 per equity share of ₹2 each for FY27. The record date was 16 October 2026 and the payment date was 26 October 2026.
HCLTech and Anthropic also announced a Global Premier Partnership for agentic AI on 12 October 2026. The company said it would establish a dedicated Anthropic Business Unit and Centre of Excellence, while HCLSoftware would embed Claude and Claude Code into select enterprise products.
What did HCL Technologies' management say?
The company lowered the top end of FY27 constant-currency guidance. Services revenue growth guidance was 3-4%, with the top end reduced from 4.5%, and company revenue growth guidance was 2.5-4%, also with the top end reduced from 4.5%. It maintained EBIT-margin guidance of 17.5-18.5% for FY27.
Management identified a volatile demand environment, continued discretionary-spending pressure in two telco Top-20 clients, a steep ramp-down in one manufacturing Top-20 client and cyclically depressed HCLSoftware revenue linked to multiyear licence-renewal timing. It also said visibility into a recovery in top-client growth remained limited.
CEO and managing director C. Vijayakumar said: “we are in a volatile world, and we don't want to increase our guidance. Things can change fast, both on the positive and negative side... For Services, we feel confident to be slightly above the midpoint.” He said HCLTech would prioritise investment in capability and differentiation rather than margin optimisation during the current industry change.
How did HCL Technologies shares react?
After the filing appeared after market hours, HCL Technologies’ shares rose 0.9% after five minutes, 2.3% after 15 minutes and 2.6% after 30 minutes. By the reaction-day close, the stock was up 7.9% from its pre-results close; by the next day’s close, it was up 8.6%, and by five sessions, it was up 16.5%.
On the reaction day, the median move for other Computers - Software & Consulting stocks was 1.4%, while HCL Technologies moved 7.9%, a 6.5 percentage-point excess move. The one-day excess was 5.8 percentage points and the five-day excess was 15.0 percentage points. The Nifty 100 moved 1.5% on the reaction day, 1.1% by the next day and 1.4% over five sessions.
Earlier results-day reactions were negative on most occasions: the stock fell 10.6% on 21 April 2026, 4.7% on 13 July 2026 and 2.9% on 14 July 2025. It also fell 7.9% on 13 January 2025, while the recorded reactions on 12 January 2026, 13 October 2025, 14 October 2024 and 12 July 2024 were close to unchanged or slightly positive.
| After the filing | Stock | Computers - Software & Consulting median |
|---|---|---|
| 5 minutes | +0.9% | |
| 15 minutes | +2.3% | |
| 30 minutes | +2.6% | |
| Reaction day | +7.9% | +1.4% |
| Next day | +8.6% | +2.7% |
| 5 days | +16.5% | +1.5% |
Minutes are measured from the price when the filing appeared; days from the previous close. Source: MarketPing price-reaction measurement.
| Results filed on | Stock on the reaction day |
|---|---|
| 13 July 2026 | −4.7% |
| 21 April 2026 | −10.6% |
| 12 January 2026 | −0.2% |
| 13 October 2025 | −0.1% |
| 14 July 2025 | −2.9% |
| 13 January 2025 | −7.9% |
| 14 October 2024 | +0.1% |
| 12 July 2024 | +0.4% |
Source: MarketPing price-reaction measurement.
How did other Computers - Software & Consulting companies do?
Thirty-three other Computers - Software & Consulting companies had filed for the quarter by 4 November 2026. Their median revenue growth was 13.6%, compared with HCL Technologies’ revenue growth of 11.5%.
Among the other companies, 12 grew more slowly than HCL Technologies and 20 grew faster than HCL Technologies. Of the 32 peers for which profit was compared, 20 reported higher profit.
| HCL Technologies revenue growth (YoY) | +11.5% |
|---|---|
| Median of 33 other Computers - Software & Consulting companies | +13.6% |
| Companies with slower revenue growth than HCL Technologies | 12 of 33 |
| Companies with faster revenue growth than HCL Technologies | 20 of 33 |
| Companies whose net profit rose | 20 of 32 |
Source: Filed results (XBRL) of the industry's companies.
Quick answers
What was HCL Technologies' revenue in Q2 FY27?
Revenue from operations was ₹35,620 crore, up 11.5% from ₹31,942 crore in Q2 FY26 (consolidated).
Did HCL Technologies make a profit in Q2 FY27?
Yes. Net profit was ₹5,132 crore, against a net profit of ₹4,236 crore in Q2 FY26.
What was HCL Technologies' EPS in Q2 FY27?
Basic earnings per share were ₹18.96, against ₹15.63 in Q2 FY26.
How did HCL Technologies shares react to the Q2 FY27 results?
On the reaction day the stock moved +7.9% from the previous close; the median Computers - Software & Consulting stock moved +1.4%.
When did HCL Technologies announce its Q2 FY27 results?
On 12 October 2026, in a filing to the NSE.
Sources
- Outcome of Board Meeting (NSE, 12 October 2026) · PDF
- Dividend (NSE, 12 October 2026) · PDF
- Press Release (NSE, 12 October 2026) · PDF
- General Updates (NSE, 12 October 2026) · PDF
- Record Date (NSE, 12 October 2026) · PDF
- The earnings call (15 October 2026)
How this was written: every figure in the tables and charts is calculated from the company’s filed results (XBRL) and MarketPing’s price measurements. The text is drafted with AI from those figures and the filings, and a checker removes any sentence carrying a number it cannot trace to them. How we write these.
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