HCL Share Price Falls Over 4% On Weak Q1 Earnings, Extends Decline For 7th Straight Day

HCL Technologies’ share price tumbled over 4 per cent on July 15, 2025 after the IT major’s first quarterly earnings failed to impress investors. This is also the seventh straight session of decline for the stock, which has lost over 10 per cent in this period.

In today’s trade, the stock touched an intra-day low of Rs 1,550 on the National Stock Exchange (NSE), its lowest level in nearly 10 weeks. The stock has been moving sideways for the past 18 months, while registering its 52-week high at Rs 2,012.20 apiece and its 52-week low of 1,457.90 per share..

Year-to-date (YTD), the stock has declined more than 17 per cent, and over the past year, it has largely remained around the same level.

HCL Technologies Q1 Results

The IT company reported a consolidated net profit of Rs 3,843 crore for Q1 FY26, down 10.77 per cent quarter-on-quarter (q-o-q) and 9.73 per cent year-on-year (y-o-y). It had posted a net profit of Rs 4,307 crore in the March quarter and Rs 4,257 crore in the same quarter last year.

Revenue from operations grew marginally by 0.34 per cent q-o-q and 8.17 per cent year-on-year (y-o-y) to Rs 30,349 crore. On a constant currency (CC) basis, revenue declined 0.80 per cent q-o-q, but rose 3.70 per cent y-o-y. The company also crossed $14 billion in consolidated revenue on a last-twelve-month (LTM) basis.

Earnings Before Interests and Taxes (EBIT) or operating profit stood at Rs 4,942 crore, down 9.20 per cent q-o-q and up 3.10 per cent y-o-y. This translated to an EBIT margin of 16.30 per cent. Net income margin for the quarter was 12.70 per cent.

New deal wins remained steady, with total contract value (TCV) for the quarter at $1.81 billion.

On the human resources front, total employee count stood at 223,151, with a net reduction of 269 employees. The company added 1,984 freshers during the quarter. LTM attrition remained unchanged at 12.80 per cent, the same level as in Q1 last year.

HCL Technologies FY26 Guidance

HCL Technologies expects revenue growth of 3-5 per cent y-o-y in CC terms for FY26. Services revenue is also projected to grow in the range of 3-5 per cent y-o-y.

The company guided for an EBIT margin in the range of 17–18 per cent for the fiscal year.

HCL Technologies Dividend

HCL Technologies’ Board of Directors also declared an interim dividend of Rs 12 per equity share for the financial year 2025–26.

The record date for determining eligible shareholders has been set as July 18, 2025, and the dividend is scheduled to be paid on or before July 28, 2025.