HCL posts 20% growth in Q1 net profit at ₹4,624 cr.
HCL Tech reported a 20.3% year-on-year increase in Q1 net profit to ₹4,624 crore, driven by record deal bookings of $2.4 billion. The company is aggressively pivoting toward AI services, bolstered by a strategic investment in Sarvam AI to capture the Indian enterprise AI market.
Why it matters
HCL's strong performance and focus on AI services reflect a broader trend of major IT firms shifting business models to capitalize on enterprise demand for artificial intelligence.
HCL Tech on Monday reported first quarter (FY27) net profit of ₹4,624 crore, a 20.3% year-on-year (YoY) increase over ₹3,843 crore in the corresponding period a year ago.
The quarter saw its revenue grew at ₹34,579 crore, 13.9% YoY as against ₹30,349 crore in the same quarter last year.
The June 30 ended quarter brought new deal bookings worth over $2.4 billion, claiming the company’s highest ever in a first quarter, usually considered as slow quarter. Advanced AI revenue accounted for $171 million, marking 10.6% sequential and 62.1% yearly growth in constant currency.
In an earning call, C. Vijayakumar, company CEO & Managing Director said, “These demonstrate that enterprises are choosing us to lead their AI-led transformation. Combined with the operational efficiencies visible in margin expansion, this momentum gives us the confidence we’re positioned to keep outpacing the market over the medium term.”
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