Financial Performance Overview
HCL Technologies reported consolidated revenue of ₹130,144 crores for FY26, representing 11.2% YoY growth, with services revenue growing 12.1% to ₹118,158 crores. However, net profit declined 4.3% to ₹16,652 crores, impacted by exceptional items including a ₹956 crore charge for New Labour Codes implementation and a ₹5,733 crore one-time impact from Bilateral Advance Pricing Agreement (BAPA). The company achieved $620 million in Advanced AI revenue and maintained strong free cash flow generation at ₹18,553 crores (107% of net income).
Dividend and Capital Allocation
The Board declared a dividend of ₹60 per share, representing a 97.6% payout ratio of net income. Total dividend payments during the year amounted to ₹14,621 crores. The company also increased its RSU grant limit to 1.17 crore shares (0.43% dilution) through shareholder approval, implementing the plan through secondary acquisition of shares via the HCL Technologies Stock Options Trust.
AGM and Corporate Governance
HCL Technologies will hold its 34th Annual General Meeting virtually on August 12, 2026, to approve FY26 financial statements and director appointments. Key agenda items include the re-appointment of Mr. Shikhar Neelkamal Malhotra as Director and the appointment of Mr. Jacob Christian Dahl as Independent Director for a five-year term. The board composition features 50% female representation with 10 directors total (1 Executive, 2 Non-Executive Non-Independent, 7 Independent).
ESG and CSR Performance
The company published its comprehensive Business Responsibility and Sustainability Report (BRSR) with DNV assurance, disclosing 49.79% renewable energy usage, 92.87% human rights training coverage, and zero fatalities with 34 recordable work-related injuries. CSR expenditure totaled ₹304.32 crore through HCLFoundation, impacting 8.4 million beneficiaries across 117 projects, with independent impact assessments showing SROI ranging from 1.1:1 to 15.9:1.
Operational Highlights and Acquisitions
HCLTech achieved Total Contract Value (TCV) of new bookings at $9.3 billion and completed acquisitions of Wobby BV (₹48 crores) and Finergic Solutions (₹162 crores). Two pending acquisitions were announced: Telco Solutions Business from Hewlett Packard Enterprise (₹1,517 crores) and Jaspersoft from Cloud Software Group (₹2,275 crores), both subject to regulatory approvals. The company maintained strong employee strength of 237,098 globally with median remuneration increase of 5.4%.
Financial Position and Segment Performance
The balance sheet remained robust with total assets of ₹116,258 crores and cash equivalents of ₹23,355 crores. Segment revenue breakdown showed IT and Business Services at ₹96,095 crores, Engineering and R&D Services at ₹22,063 crores, and HCL Software at ₹12,397 crores. Geographically, the United States contributed 55.5% of revenue (₹72,206 crores), followed by Europe at 28.1% (₹36,574 crores).
Regulatory Compliance and Governance
The company maintained full compliance with SEBI regulations, Companies Act requirements, and secretarial standards as confirmed by an unqualified secretarial audit report. The ESG & DEI Committee met quarterly to oversee sustainability initiatives, while the CSR Committee supervised the deployment of ₹304.32 crore in social investments. All related party transactions were conducted at arm's length basis, primarily with step-down wholly owned subsidiaries.