Hexaware Technologies Limited – Investor Presentation Summary
Key Operational Highlights
- Closing Headcount: 35,887, with a QoQ net addition of 1,381 (386 net addition in IT).
- Voluntary Attrition for IT: 11.1%.
- Utilization Rate for IT: 84.9%.
- Key drivers of operational performance: AI-led growth strategy, embedding AI across the technology lifecycle and business operations.
Segment-wise Performance
Revenue by Vertical (USD terms, QoQ/YoY growth):
- Financial Services: +3.0% QoQ, +2.4% YoY
- Healthcare & Insurance: -0.4% QoQ, +6.3% YoY
- Manufacturing & Consumer: +1.8% QoQ, +3.0% YoY
- Professional Services: +0.3% QoQ, +7.8% YoY
- Travel & Transportation: -3.5% QoQ, -8.5% YoY
- Technology, Products & Platforms: +7.2% QoQ, +9.7% YoY
Revenue by Service Line (USD terms, QoQ/YoY growth):
- IT Services & Others: +1.2% QoQ, +4.2% YoY
- BPS Services: +4.7% QoQ, +5.3% YoY
Financial Highlights
Q3CY26 Financials:
- Revenue: USD 411.9 Mn | INR 39,331 Mn
- USD Revenue Growth: +1.6% QoQ; +4.3% YoY
- INR Revenue Growth: +2.3% QoQ; +12.9% YoY
- Constant Currency Growth: +1.7% QoQ; +4.5% YoY
- Adjusted EBIT: USD 56.9 Mn
- Adjusted EBIT Margin: 13.8% (+17 bps QoQ; -88 bps YoY)
- Reported Profit: USD 44.9 Mn
- Reported Profit Margin: 10.9% (+230 bps QoQ; +29 bps YoY)
- Basic EPS: INR 7.06 (+30.5% QoQ; +15.9% YoY)
- Drivers of financial performance: Revenue growth, adjusted for one-time costs.
Geographical Revenue Split
Q3CY26 Revenue Geographic Split:
- Americas: 73.5% of revenue (USD Growth: +1.5% QoQ, +1.1% YoY)
- Europe: 20.2% of revenue (USD Growth: +3.1% QoQ, +12.8% YoY)
- Asia Pacific: 6.3% of revenue (USD Growth: -1.6% QoQ, +20.0% YoY)
Balance Sheet Snapshot
As of September 30, 2026 (INR Mn):
- Property, plant and equipment and intangible assets: 10,010
- Right-of-use assets: 6,083
- Goodwill: 38,172
- Trade receivables and unbilled revenue: 33,177
- Cash and cash equivalents (inc. restricted and MF Investments): 19,052
- Total Assets: 1,18,042
- Total Equity: 72,131
- Total Liabilities: 45,911
Capex & Cash Flow Health
9MCY26 Cash Flow (INR Mn):
- Net cash generated from operating activities (OCF): 7,221
- Capex: (1,236)
- Payment towards acquisition of business: (2,787)
- Dividend paid: (5,181)
- Net cash outflow: (5,262)
- Closing cash balance as of 30th Sep 2026: USD 199 Mn
Strategic & R&D Initiatives
- AI Led Growth Strategy: Embedding AI across the technology lifecycle (AI for IT) and combining AI with domain expertise to transform business operations (AI for Business).
- ZeroVity: Providing the foundational context, governance and orchestration layer to scale enterprise AI.
- Anthropic partnership: Became a Preferred Partner in the Claude Partner Network to deliver enterprise AI solutions at scale.
- Strategic Rationale: Focus on AI-driven digital transformation for clients.
Industry Trends & Business Environment
Macro/Industry Trends: Intense competition in IT services, technological disruptions and innovations such as Generative AI.
Impact on Company: The company is positioning itself through its AI-led strategy to capitalize on these trends.
Management Commentary & Growth Outlook
Strategic Outlook: The presentation outlines a strategy focused on AI-led growth and digital transformation.
Risks and Opportunities: Risks include fluctuations in earnings, intense competition, ability to manage growth, and technological disruptions.
ESG Updates
- Ecovadis Assessment: Silver medal with a score of 79 (top 15% globally).
- S&P Global CSA: Score of 86/100 (98th percentile).
- NSE Sustainability Ratings: ESG score of 76/100 ("Leader" classification).
- Committed to near-term, long-term, and Net Zero targets approved by SBTi.
- Achieved 87% electricity from renewable sources on campuses (target: 85% by 2030).
- Women workforce: 35.92% (target: 40% by 2030).
- Students supported in STEM: 21,500 (target: 25,000+ by 2030).