HCL Tech Q4 results announcement post market hours; key things to watch
HCL Tech Q4 earnings: Stock analysts noted that the HCL Tech Q4 numbers will include two-month contribution of around $40 million due to HPE acquisition.
- Apr 22, 2025,
- Updated Apr 22, 2025 12:28 PM IST
The C Vijayakumar-led HCL Technologies is all set to announce its March quarter results today post market hours. Analysts are largely expecting the Noida-based IT firm to post 7-8 per cent year-on-year (YoY) jump in net profit on 5-6 per cent YoY rise in sales. Ebit margin is seen falling sequentially due to seasonal weakness in products business and senior management wage hike.
All eyes would be on any commentary on key verticals such as Manufacturing & Retail, which may face challenges in the mid-term due to tariffs negatively impacting top line growth.
Analysts noted that the HCL Tech Q4 numbers will include two-month contribution of roughly $40 million (ICICI Securities estimate) due to HPE acquisition. Revenue headwinds in Q4 included a large project completion in retail and CPG vertical; planned reduction in mega-deal driven work in telecom; delay in ramp up of discretionary deals and weak seasonality in products business, they pointed out.
Nuvama Institutional Equities expects HCL Tech to report 7.6 per cent YoY rise in net profit at Rs 4,288 crore on 5.8 per cent YoY rise in sales at Rs 30,153 crore. Ebit margin is seen at 17.8 per cent, down 170 basis points sequentially due to P&P segment seasonality, but up 20 basis points YoY.
"Infosys shall report revenue decline of 0.7 per cent QoQ in CC and 1.3 per cent QoQ in dollar driven by Services (up 0.5 per cent QoQ) and P&P (down 15 per cent QoQ). Services business will be boosted by two months of inorganic contribution (HPE, 1 per cent)," it said while expecting the IT firm to guide FY26 revenue growth of 3-5 per cent CC YoY in Services and margin of 18-19 per cent.
Elara Securities sees HCL Tech reporting 8.1 per cent YoY rise in profit at Rs 4,307 crore on 5.5 per cent YoY rise in sales at Rs 30,067 crore. It sees dollar-denominated revenue for HCL Tech to fall sequentially due to seasonality-led weakness and uncertain demand environment.
ICICI Securities said HCL Tech's wage hike was staggered over Q3 and Q4. As far as Gen AI-led automation is concerned, the brokerage expects net volumes to increase led by Gen AI automation work.
The C Vijayakumar-led HCL Technologies is all set to announce its March quarter results today post market hours. Analysts are largely expecting the Noida-based IT firm to post 7-8 per cent year-on-year (YoY) jump in net profit on 5-6 per cent YoY rise in sales. Ebit margin is seen falling sequentially due to seasonal weakness in products business and senior management wage hike.
All eyes would be on any commentary on key verticals such as Manufacturing & Retail, which may face challenges in the mid-term due to tariffs negatively impacting top line growth.
Analysts noted that the HCL Tech Q4 numbers will include two-month contribution of roughly $40 million (ICICI Securities estimate) due to HPE acquisition. Revenue headwinds in Q4 included a large project completion in retail and CPG vertical; planned reduction in mega-deal driven work in telecom; delay in ramp up of discretionary deals and weak seasonality in products business, they pointed out.
Nuvama Institutional Equities expects HCL Tech to report 7.6 per cent YoY rise in net profit at Rs 4,288 crore on 5.8 per cent YoY rise in sales at Rs 30,153 crore. Ebit margin is seen at 17.8 per cent, down 170 basis points sequentially due to P&P segment seasonality, but up 20 basis points YoY.
"Infosys shall report revenue decline of 0.7 per cent QoQ in CC and 1.3 per cent QoQ in dollar driven by Services (up 0.5 per cent QoQ) and P&P (down 15 per cent QoQ). Services business will be boosted by two months of inorganic contribution (HPE, 1 per cent)," it said while expecting the IT firm to guide FY26 revenue growth of 3-5 per cent CC YoY in Services and margin of 18-19 per cent.
Elara Securities sees HCL Tech reporting 8.1 per cent YoY rise in profit at Rs 4,307 crore on 5.5 per cent YoY rise in sales at Rs 30,067 crore. It sees dollar-denominated revenue for HCL Tech to fall sequentially due to seasonality-led weakness and uncertain demand environment.
ICICI Securities said HCL Tech's wage hike was staggered over Q3 and Q4. As far as Gen AI-led automation is concerned, the brokerage expects net volumes to increase led by Gen AI automation work.