Key Points
- HCLTech reports record deal bookings of $3.3 billion in Q2 FY27, up 27 per cent year on year
- Advanced AI revenue grew 78 per cent year on year to reach annualised run rate of $876 million
- Company revises FY27 revenue growth guidance to 2.5 to 4 per cent in constant currency
HCLTech reported record new deal bookings of $3.3 billion in the second quarter of FY27, a 27 per cent increase from the same period last year, as the Noida-headquartered IT services company registered strong growth in its artificial intelligence business.
The company’s quarterly results, announced on Monday (12 October), showed revenue of $3.7 billion, up 2.2 per cent year on year. Revenue in constant currency, a measure that removes the effect of exchange rate fluctuations, grew 2.6 per cent year on year for the quarter ended 30 September 2026.
“We delivered a strong quarter with new bookings of $3.3 billion, up 27 per cent YoY, taking first half bookings to a record high,” said C Vijayakumar, CEO and managing director, HCLTech. “Advanced AI revenue grew 28.4 per cent QoQ and 78 per cent YoY in constant currency. Our AI propositions are resonating well with our clients, giving us confidence in our growth trajectory.”
The company’s EBIT margin, which measures operating profit as a percentage of revenue, expanded 131 basis points quarter on quarter to reach 18.2 per cent. Services revenue grew 3 per cent quarter on quarter with growth recorded across industry verticals and geographies.
HCL AI revenue acceleration
Advanced AI revenue for the quarter stood at $219 million, translating to an annualised run rate of $876 million. This segment has emerged as a key growth driver for the company, with the 78 per cent year-on-year growth in constant currency outpacing all other business lines.
HCLTech announced a global premier partnership with Anthropic to accelerate enterprise adoption of agentic AI, a category of artificial intelligence systems that can take autonomous actions to complete tasks. The partnership will focus on safety, cybersecurity and governance.
Under the agreement, HCLTech’s services teams will build industry solutions powered by Claude, Anthropic’s AI assistant, along with Cowork and Claude Code. HCLSoftware, the company’s software products division, will embed these capabilities into select enterprise products as an Anthropic independent software vendor partner.
The company secured several AI-focused contracts during the quarter. A US-based AI-native company selected HCLTech as a strategic partner for its AI Factory. A US-based neocloud provider, a new category of cloud infrastructure companies focused on AI workloads, chose HCLTech to build and scale its AI-native architecture.
A Europe-based manufacturing company selected HCLTech to deploy VisionX, the company’s AI-powered visual inspection platform, to transform quality assurance operations.
Segment performance
IT and Business Services led services revenue growth at 4.4 per cent year on year in constant currency, followed by Engineering and R&D Services at 2.1 per cent. HCLSoftware’s annual recurring revenue stood at $1.13 billion.
Revenue per employee per annum reached $65,400, up 2.4 per cent year on year, indicating improved productivity across the workforce.
Among industry verticals, Retail and Consumer Packaged Goods grew fastest at 14 per cent year on year in constant currency, followed by Financial Services at 7.1 per cent and Technology and Services at 5.9 per cent.
Geographically, the US market grew 3.5 per cent year on year in constant currency. India registered the fastest growth at 21.8 per cent, while the Rest of the World segment grew 11.4 per cent.
By the numbers
Key figures from this story
- $3.3 billion
- Record Q2 deal bookings
- 78%
- AI revenue growth year on year
- ₹5,132 crore
- Highest-ever quarterly net income
“HCLTech delivered Q2 FY27 revenue of ₹35,620 crores, up 3 per cent QoQ and 11.5 per cent YoY. Our superior revenue growth with improved profitability led to our highest-ever quarterly net income of ₹5,132 crores, up 11 per cent QoQ and 21.2 per cent YoY,” said Shiv Walia, chief financial officer, HCLTech.
The company revised its FY27 revenue growth guidance to 2.5 to 4 per cent year on year in constant currency and services revenue growth guidance to 3 to 4 per cent. EBIT margin is expected to be between 17.5 and 18.5 per cent for the full year.
HCLTech added 6,450 people to its workforce during the quarter, including 6,136 freshers. Gender diversity reached 30 per cent. The company declared a dividend of ₹12 per share for the quarter.
Your Questions, Answered
What were HCLTech’s deal bookings in Q2 FY27?
HCLTech reported new deal bookings of $3.3 billion in Q2 FY27, representing a 27 per cent increase from the same quarter last year. This took the company’s first half bookings to a record high.
How much did HCLTech’s AI revenue grow in Q2 FY27?
HCLTech’s advanced AI revenue grew 78 per cent year on year in constant currency terms. The quarterly AI revenue of $219 million translates to an annualised run rate of $876 million.
What is HCLTech’s revenue guidance for FY27?
HCLTech revised its FY27 revenue growth guidance to 2.5 to 4 per cent year on year in constant currency. Services revenue is expected to grow 3 to 4 per cent, with EBIT margin projected between 17.5 and 18.5 per cent.
What was HCLTech’s net income in Q2 FY27?
HCLTech recorded its highest-ever quarterly net income of ₹5,132 crore in Q2 FY27, up 11 per cent quarter on quarter and 21.2 per cent year on year.