HCL Technologies posted a consolidated net profit of ₹5,132 crore for the second quarter of FY27, an 11% sequential increase. The results were supported by a 78% year-on-year surge in AI-related revenue and strong new deal bookings of $3.258 billion. While performance remains solid, investors are evaluating the company’s maintained FY27 growth guidance alongside ongoing pricing pressures in the AI segment.
HCL Technologies has delivered a steady performance for the quarter ending September 2026, with consolidated net profit reaching ₹5,132 crore. This 11% sequential growth reflects the company’s efforts to improve profitability while managing the costs associated with expanding its workforce. Total revenue for the quarter was ₹35,620 crore, rising 3% quarter-on-quarter and 11.5% year-on-year.
The standout feature of the earnings report is the rapid adoption of artificial intelligence services. The company generated $219 million in revenue from its AI segment, a 78% increase compared to the same period last year. This highlights how HCLTech is increasingly centralizing AI transformation within its service offerings to global clients.
The company’s ability to control costs led to an expansion in operating profit margins. The EBIT margin rose to 18.2%, an improvement of 131 basis points over the previous quarter. This margin expansion is significant as the company continues to hire, adding 6,450 net employees during the quarter, with a strong focus on fresh talent.
The board has announced an interim dividend of ₹12 per share. Investors should note that the record date for this dividend is October 16, 2026, with the payout scheduled for October 26, 2026. This move demonstrates the company's commitment to returning cash to shareholders even while maintaining its capital spending and deal acquisition strategy.
Despite the positive headline numbers, investors should keep an eye on certain operational and industry-wide risks. The transition toward AI-led services comes with its own challenges, including a shift in how clients pay for services. Many clients are now pushing for outcome-based pricing, which can create volatility in revenue predictability and profit margins. Furthermore, macroeconomic conditions remain a factor, as clients continue to exercise caution with discretionary technology spending.
The company reported new deal bookings of $3.258 billion, which provides some visibility into future revenue. However, the management has maintained its FY27 revenue growth guidance of 2.5% to 4% in constant currency, suggesting a cautious outlook for the remainder of the year. Additionally, the 12-month trailing attrition rate saw a slight uptick to 12.8%. Moving forward, shareholders will likely focus on whether the company can sustain its current margin levels while successfully navigating the pricing pressures associated with new-age AI contracts.