HCLTech Q3 FY26 revenue up 4.2% QoQ (CC) as annualized revenue crosses $15B; bookings exceptionally high at $3B

Revenue guidance raised to 4.0% – 4.5% YoY CC, services revenue guidance to 4.75%-5.25% YoY CC

NEW YORK and NOIDA, India, January 12, 2026—HCLTech, a leading global technology company, delivered a strong performance for the quarter ended December 31, 2025, with USD revenue at $3.8 billion. The revenue in constant currency (CC) increased 4.2% QoQ and 4.8% YoY.

“(We had) another standout quarter on all fronts… with a strong recovery of operating margin to 18.6%. The strong revenue momentum in the quarter has enabled us to cross $15 billion in annualized revenues. Our new bookings were exceptionally high at $3 billion. We are well-positioned to address the evolving AI demand of our clients across industries and service lines,” said C Vijayakumar, CEO & Managing Director, HCLTech.

Services revenue (CC) grew 1.8% QoQ and 5% YoY. HCL Software revenue (CC) grew sharply by 28.1% QoQ and 3.1% YoY, driven by seasonality and the data Intelligence portfolio. HCLSoftware’s annual recurring revenue (ARR) stands at $1.07 billion. Advanced AI revenue for the quarter, which the company began reporting last quarter, is up 19.9% percent at $146 million.

Engineering and R&D Services revenue (CC) grew 3.1% QoQ and 5% YoY. IT and Business Services revenue (CC), which accounts for 72.3% of the total revenue, grew 1.5% QoQ and 3.8% YoY.

HCLTech raised its revenue growth (CC) guidance to 4.0%-4.5% YoY and the services revenue growth (CC) guidance to 4.75%-5.25% YoY. The EBIT margin guidance remained unchanged at 17%-18%, excluding the ₹956 crores ($109 million) one-time impact of India’s New Labor Codes on EBIT.

Industry vertical growth (CC) was led by Technology and Services at 14.4% YoY growth, followed by Financial Services at 8.1% YoY. Public Services (which includes Energy & Utilities, Travel, Transport, Logistics and Government) grew 8% YoY. In terms of geographies, India recorded a strong growth of 15.8% YoY (CC), Europe grew by 4.6% YoY (CC) and the U.S. grew by 1.5% YoY (CC). The Rest of the World grew the fastest at 22.1% YoY (CC).

“Q3 EBIT margins, excluding the one-time impact of New Labor Codes, came in at 18.6% (up 111 bps QoQ). Our dedicated efforts to improve cash conversion have yielded in FCF/NI (LTM basis) remaining healthy at 120% and we ended the quarter with our highest ever cash balance of ₹34,306 crores,” added Shiv Walia, Chief Financial Officer, HCLTech.

The company announced a dividend of ₹12 per share for the quarter, marking the 92nd consecutive quarter of dividend payouts.

HCLTech added 2,852 freshers during the quarter, taking the fresher addition in the past nine months to 10,032. LTM attrition moderated to 12.4%, one of the lowest rates in the industry.

Key deal wins:

• HCLTech won a mega, five-year strategic engagement with a leading global apparel retailer (TCV: $473 million) to serve as its long-term AI-led technology partner. HCLTech will modernize the client’s applications and data landscape, leveraging its Agentic AI Force 2.0 platform.
• A leading U.S.-based insurance company selected HCLTech as its strategic technology partner. Powered by HCLTech’s GenAI platform AI Force, this partnership will help transform IT service delivery, enhancing engineering outcomes, accelerating time-to-market and driving operational efficiency through automation across application development, support, testing and infrastructure.
• A Europe-based global foods major selected HCLTech to design and implement a greenfield IT setup as part of the client’s demerger, building an AI-powered digital home.
• A global technology major selected HCLTech to manage its next-generation AI data centers featuring cutting-edge GPU stacks optimized for AI workloads.

Key exclusive AI deal wins:

• A U.K.-based global mining major selected HCLTech to deploy the Physical AI (VisionX) solution in its industrial inspection platform.
• An Asia-based global financial services company will deploy HCLTech’s AI Force.Software for software engineering development lifecycle and AI Force.Ops to transform its fragmented IT operations into a proactive, reliability-driven workflow.
• A U.S.-based global media and entertainment company selected HCLTech to deliver GenAI-powered audit and compliance transformation for its multi-billion-dollar IP licensing business. The solution leverages HCLTech’s AI Foundry to automate end-to-end licensee audit and product-approval workflows.
• A global technology major selected HCLTech’s Physical AI (Kinetic AI) solution to scale its lab operations and accelerate AI experimentation.

During the quarter, HCLTech received a Gold certificate from EcoVadis and was placed among the top 4% of rated IT companies. It was named the fastest-growing tech services brand among India’s top 10 most valuable brands by Kantar BrandZ 2025. HCLTech was also featured in ForbesWorld’s Best Employers list for the sixth year in a row.