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HCL Technologies announced its fourth-quarter results for FY26, posting a consolidated profit of ₹4,490 crore on a total income that grew 11.75% year-on-year to ₹34,303 crore.
While consolidated revenue showed robust growth, the standalone entity reported a net loss of ₹900 crore for the period.
Consolidated Financials Show Growth
For the full fiscal year 2026, HCL Technologies' consolidated total revenue reached ₹1,31,674 crore, an increase of 10.15% from the previous year. However, consolidated profit for the year saw a slight decline of 4.29% to ₹16,652 crore from ₹17,399 crore in FY25.
Standalone Loss Driven by One-Time Charges
The standalone quarterly loss of ₹900 crore was primarily due to substantial one-time charges. These included a ₹6,436 crore settlement related to a Bilateral Advance Pricing Agreement (BAPA) and a provision of ₹948 crore for New Labour Codes.
Management clarified these are accounting events and do not reflect the underlying strength of the company's core operations.
Strong Balance Sheet and Shareholder Returns
HCL Technologies maintains a strong balance sheet with minimal long-term debt, reported at ₹37 crore as of March 31, 2026. The company also declared an interim dividend of ₹24 per equity share for FY27, signaling confidence in its cash generation capabilities.
Peer Performance in Q4 FY26
HCLTech's consolidated revenue growth of 11.75% in Q4 FY26 stood out compared to peers. Tata Consultancy Services (TCS) reported single-digit revenue growth, while Infosys saw flat to slightly negative growth. Wipro and Tech Mahindra experienced declines in revenue and profit during the same quarter, suggesting sector-wide pressures that HCLTech navigated relatively well on the top line.
Key Areas for Future Tracking
Investors will be watching management commentary on the normalization of standalone profitability following these one-time charges. Future revenue growth guidance for FY27, especially in digital services, will be a key focus. Continued performance in margin, operational efficiency, order intake, and strategic initiatives will also be closely monitored.