HCL Technologies is one of India's largest IT services companies, and its Q2 FY27 print arrives amid a sector where top-tier Indian IT revenue is stabilising but margin pressure is widespread. The key things this results will speak to are the first full-quarter contribution of the $1.14 billion mega deal signed in early July and three acquisitions, against a margin that sat at the floor of the FY27 guidance range in Q1.
| Results date | October 12, 2026 |
|---|---|
| Quarter | Q2 FY 2026-2027 |
| Previous quarter revenue | Rs. 34,579 crore |
| Previous quarter PAT | Rs. 4,624 crore |
| Market cap | Rs. 326,833.82 Cr |
| CMP | Rs. 1204.4 |
The Board was scheduled to meet on Oct 12, 2026 to consider Q2/H1 FY27 results and a third interim dividend for FY27. The company's announcement said Q2 FY27 results were scheduled for Oct 12, 2026, post-market.
The management call was scheduled for Oct 12, 2026 at 7:30 p.m. IST, following the post-market results announcement.
The quarter's central question is whether the $1.14 billion AI-led digital workplace contract signed on July 3, 2026 with a Fortune Global 50 European company, plus the first full quarter of Jaspersoft, Guardian India Operations and HPE Telco Solutions, lifts constant-currency growth within the FY27 guidance band of 1.0-4.0% for company revenue and 1.5-4.5% for services. Q1 FY27 set the starting point: revenue of Rs. 34,579 crore grew 13.9% YoY in INR but 2.6% YoY in CC, with reported EBIT margin at 16.9% including 62 bps of restructuring cost and 17.5% after adjustment — the floor of the 17.5-18.5% FY27 margin guidance. The rupee's roughly 1-2% QoQ depreciation over July-September, with September spot rates averaging about Rs. 95.78/USD, is a tailwind for INR-reported revenue and margins. Offsetting that, management has flagged that discretionary-spending cuts by two large US telco customers, which drove ER&D CC growth of just 0.3% YoY in Q1, were playing out in subsequent quarters, and that the two client-specific challenges represent close to 50 bps of FY27 growth headwind. On the demand side, Advanced AI revenue of $171 million in Q1 grew 62.1% YoY in CC, supporting the open-ended AI-native services growth target of 25-30%, while net-new bookings of $2,407 million excluded the mega deal signed in early July. The call is also expected to cover progress on the Board-approved Rs. 3,500 crore AI data-center investment with potential capacity up to 50 MW and the separate Odisha MoU with a planned outlay of Rs. 14,257 crore, which the company has not confirmed as incremental to one another.
Q2 FY27 performance vs FY27 guidance: Management's FY27 guidance was unchanged after Q1.
Margin bridge from Q1's 16.9% to the FY27 range
ER&D and the two US telco customers
Bookings run rate and the mega deal
AI data-center plans and M&A execution
Management attributed the weakness to Tech and Telecom, Media and Entertainment, including sharp discretionary-spending cuts by two large US telco customers and a high comparison base. Management said the impact was playing out in subsequent quarters.
Management has described a goal of moving the net-new bookings run rate from $2 billion to around $2.5 billion, framing the latter as a moving average over 2-3 quarters rather than a guaranteed quarterly level. Q1 FY27 net-new bookings were $2,407 million, excluding a mega deal signed in early July.
FY27 guidance stands at 1.0-4.0% YoY CC company revenue growth, 1.5-4.5% services growth and a 17.5-18.5% EBIT margin, with the growth guidance organic and excluding acquisitions. In Q1 FY27, the restructuring-adjusted EBIT margin of 17.5% matched the lower end of the margin range, and management identified client-specific reductions and soft discretionary spending as relevant to the guidance range.
Q1 FY27 consolidated revenue of Rs. 34,579 crore was up 13.9% YoY in INR and up 2.6% YoY in constant currency, though down 0.5% QoQ in CC. Growth was led by IT & Business Services at 4.2% YoY CC, while HCLSoftware declined 5.3% YoY in CC.
Q1 FY27 Advanced AI revenue was $171 million, up 62.1% YoY in CC and 10.6% QoQ in CC. Management has set an AI-native services growth target of 25-30%, without a specific target period.