Hexaware Technologies reported a 6.2% sequential dip in net profit to ₹330 crore for the second quarter of 2026, even as revenue grew 6.4% to ₹3,845.2 crore. Operating margins improved to 13.62%, supported by growth in the healthcare and financial services sectors.
Hexaware Technologies released its financial results for the second quarter of calendar year 2026, showing a mix of rising operational performance and a decline in bottom-line profit. The company reported a net profit of ₹330 crore, representing a 6.2% decrease compared to the ₹352 crore recorded in the previous quarter.
Revenue Growth and Operational Margin Gains
Despite the dip in net profit, the company’s core business metrics showed steady momentum. Quarterly revenue climbed to ₹3,845.2 crore, a 6.4% increase from ₹3,613 crore in the prior quarter. On a constant currency basis, which removes the impact of exchange rate fluctuations, revenue grew by 4.4%. The company’s operating efficiency also saw improvement, with Earnings Before Interest and Taxes (EBIT) rising by 9.1% to reach ₹523.6 crore. Consequently, the EBIT margin expanded to 13.62%, up from 13.29% in the preceding quarter, indicating tighter control over operating costs.
Performance Across Business Segments
The company experienced varying demand levels across its industry verticals. Growth was primarily driven by the Healthcare and Insurance segment, which posted an 18.9% year-on-year increase, alongside gains in the Manufacturing and Consumer, and Banking and Financial Services sectors. However, the company faced demand pressure in its Professional Services and Travel and Transportation segments, where revenue declined. Geographically, the Asia Pacific region emerged as a strong performer, recording 24.8% growth on a year-on-year basis.
Workforce and Strategic Outlook
Hexaware’s total headcount stood at 34,506 as of the end of the quarter, reflecting a net addition of 708 employees, with 179 added to the IT division. The company maintained an employee utilization rate of 84.8%, while voluntary attrition in the IT business remained at 11.2%. Management pointed to the successful implementation of a new internal ERP system as a key operational milestone during this period. Looking ahead, the company continues to focus on its AI Labs, aiming to integrate new artificial intelligence offerings to support long-term business expansion.
Investors may monitor the company’s ability to manage costs and maintain these margin gains, particularly as it navigates a competitive environment in the digital services sector. Key items to track in upcoming updates will include the demand recovery in its lagging segments, such as Travel and Transportation, and the scalability of new AI-focused initiatives.