HCL Technologies Ltd — FY25 / Q4 FY25 Performance & Outlook

Key Financials Q4 FY25 • Net profit rose about 8% year-on-year to ₹4,307 crore. • Revenue from operations was ₹30,246 crore, up around 6.1% YoY. • Sequentially, revenue was nearly flat, while profit dipped about 6% quarter-on-quarter. • Digital service revenue within the services segment showed healthy constant currency growth. Full Year FY25 Highlights • Annual revenue stood at ₹1,17,055 crore, a growth of roughly 6.5% YoY. • Net income for FY25 was ₹17,390 crore, up about 10.8%. • EBIT margin for the full year was around 18.3%. • Return on Invested Capital (ROIC) improved to about 37.9%. Other Metrics & Corporate Actions • Declared an interim dividend of ₹18 per share. • Total headcount stood at 2,23,420 employees by year-end, with a small decline due to divestitures. • Total Contract Value (TCV) of new deals in Q4 was about US$ 2.99 billion. Outlook & FY26 Guidance • Revenue growth guidance for FY26 stands at 2–5% in constant currency terms. • Services segment expected to grow in the same range. • EBIT margin guided between 18–19%. Strengths & Positives • Consistent earnings growth despite global uncertainty. • Digital and software services segments show strong momentum. • Robust deal wins with nearly US$ 3 billion TCV in Q4 offer strong revenue visibility. • Efficient capital utilization reflected in rising ROIC and solid margins. Risks & Challenges • Sequential profit decline points to short-term margin pressures. • Cautious growth guidance indicates subdued client spending. • Wage inflation, attrition, and tight cost control remain key operational challenges. Outlook HCL Tech continues to demonstrate operational stability, solid cash generation, and resilience in digital transformation demand. While near-term growth may stay moderate, consistent deal wins and disciplined execution position the company well for medium-term recovery.