HCLTech delivers healthy revenue growth of 3.7% YoY in Q1 FY26

New deal win TCV at $1.8 billion

LONDON and NOIDA, India, July 14, 2025 /PRNewswire/ -- HCLTech (NSE: HCLTECH) (BSE: HCLTECH), a leading global technology company, reported financial results for the first quarter ended June 30, 2025. Constant currency (CC) revenue for the quarter was up 3.7% YoY. USD revenue came in at $3.55 billion, up 5.4% YoY. EBIT margin for the quarter was 16.3%.

Digital Services revenue grew by 15.2% YoY (CC) and now contributes 41.6% of the overall Services revenue. Engineering and R&D Services grew by 11.8% YoY (CC). HCLSoftware's Annual Recurring Revenue came in at $1.06 billion, up 1.3% (CC). The deal pipeline continued to be robust and diversified, with total new deal wins for the quarter at $1.8 billion.

The company announced a dividend of ₹12 per share for the quarter, marking the 90th consecutive quarter of dividend payouts. For FY26, the company has upped its revenue growth guidance to 3.0%-5.0% and revised its EBIT margin guidance to 17.0%–18.0%.

"We had healthy revenue growth of 3.7% YoY, supported by good performance in our Services business with 4.5% YoY growth in constant currency. Our operating margin came at 16.3%, impacted by lower utilization and additional GenAI and GTM investments. Our AI propositions are resonating well with our clients and have been augmented further by our partnership with OpenAI. Our pipeline continues to grow as the demand environment was stable during the quarter. As the only service provider positioned as 'Customers' Choice' in all six Gartner Voice of Customer Quadrant evaluations related to IT services*, we are well positioned to ...