HCLTech ended FY2026 with consolidated revenues of Rs 1,30,144 crores, equivalent to US $14.66 billion representing a 6% growth in USD terms and 3.9% in constant currency. Against a backdrop the company’s CEO described as an “uncertain demand environment,” these are numbers that speak to operational steadiness rather than breakout momentum.
EBIT came in at Rs 22,397 crores, a margin of 17.2% of revenue. Excluding one-time restructuring costs, the adjusted EBIT margin was 17.9%, comfortably within the guidance band the company had set. Net income for the year was Rs 17,361 crores, translating to a diluted EPS of Rs 64.01. A full-year dividend of Rs 60 per share was declared, representing a payout ratio of 97.6% of EPS — a signal of balance sheet confidence that CFO Shiv Walia reinforced by highlighting free cash flow to net income at 107%.
US $620 million in AI revenue
Buried in the headline metrics is the figure that carries the most strategic weight for enterprise technology buyers; annualised Advanced AI revenue crossed US $620 million in Q4 FY26, with the quarter itself reporting US $155 million, up 6.1% quarter-on-quarter in constant currency.
CEO C Vijayakumar was unambiguous about where the company’s strategic energy is direct; positioning HCLTech for AI opportunities was named the number one priority for FY27, with an explicit focus on multi-decade value creation.
Chairperson Roshni Nadar Malhotra echoed this with a reference to the company’s “all-weather portfolio” being evolved for fast-changing technology cycles, a framing that enterprise buyers should interpret as a commitment to sustained AI investment regardless of macroeconomic conditions.
Where growth actually came from
The segment-level data tells a story that headline revenue numbers alone cannot.
Engineering and R&D Services, the segment most directly linked to product-centric enterprises, semiconductor companies, and deep technology clients, delivered constant currency growth of 9.8% for the full year. In a year where overall company growth was 3.9%, this near-10% expansion signals that clients with complex engineering challenges are leaning in, not pulling back.
IT and Business Services, the largest revenue segment at 73.8% of the mix, grew at 3.7% in constant currency. The more telling signal here is that Financial Services emerged as the fastest-growing vertical at 7.5% constant currency for the full year, followed by Technology and Services at 15% — the latter reflecting the acceleration of tech companies investing in their own AI and digital capabilities through external partners.
On the downside, HCLSoftware revenue declined 4.1% in constant currency for the full year, with ARR marginally down at US $1.05 billion.
Geographically, the Rest of World segment grew 17.8% in constant currency, the fastest of any geography, driven in part by India and emerging market demand.
The people equation
HCLTech ended FY26 with a total headcount of 227,181, a net addition of 3,761 over the year, including 11,744 freshers hired across four quarters. LTM attrition came in at 12.5%, down from 13% in Q4 of the previous year. Women employees stood at 29.6% of the workforce, up from 28.8% a year earlier.
Net headcount grew by fewer than 4,000 people even as revenue grew US $13.8 billion to US $14.7 billion. Outsourcing costs as a percentage of revenue rose from 13% to 14.2% year-on-year. Recruitment, training and development spend increased from Rs 350 crores to Rs 479 crores.
The interpretation is not straightforward, but the directional signals are consistent: productivity per employee is rising, the need for a proportional increase in headcount to match revenue growth is declining, and investment in skills development is accelerating.
Caution or recalibration?
HCLTech’s FY27 guidance, revenue growth of 1% to 4% in constant currency at the company level, and 1.5% to 4.5% for services, is notably conservative relative to FY26 actuals. The EBIT margin guidance of 17.5% to 18.5% is, however, an expansion over the reported 17.2% (or 17.9% adjusted) in FY26.
Here, the US $620 million AI revenue figure, the near-10% growth in Engineering and R&D, the 107% free cash flow conversion, and the near-zero debt position are the four numbers that matter most to anyone evaluating the company’s strategic direction. Everything else is context.
What FY27 will test is whether AI deal traction translates into the higher end of the guided growth range, or whether discretionary spend caution among enterprise buyers continues to keep the market in its lower band.