HCLTech (HCL Technologies Ltd.), one of India’s leading IT services companies, has kicked off the first quarter of FY25 (April–June 2025) on a positive note. The Noida-headquartered IT giant reported robust revenue growth, fueled by strong demand in cloud services, engineering R&D, and digital transformation.
As global enterprises continue to modernize operations, HCLTech’s strategic focus on GenAI, automation, and next-gen IT solutions is helping the company expand its footprint across key markets.
Here’s a detailed analysis of HCLTech’s Q1 performance, key financial highlights, and growth outlook for the coming quarters.
Key Financial Highlights – Q1 FY25
Metric | Q1 FY25 Performance |
---|---|
Revenue | ₹28,950 crore (~$3.47 billion) |
YoY Revenue Growth | 7.2% |
Operating Margin (EBIT) | 18.3% |
Net Profit | ₹4,230 crore (~$508 million) |
EPS (Earnings per Share) | ₹15.4 |
Total Headcount | 226,000+ employees |
Attrition Rate (LTM) | 13.5% (declining trend) |
1. Cloud and Infrastructure Services
HCLTech’s cloud services unit witnessed double-digit growth as clients accelerated their digital infrastructure modernization. The company reported strong deal wins across hybrid cloud, cloud-native apps, and migration services.
2. Digital Engineering & ER&D
The Engineering and R&D segment grew steadily, driven by rising investments from automotive, manufacturing, and healthcare clients. The company is increasingly focusing on AI-integrated product engineering and smart manufacturing platforms.
3. GenAI & Automation Initiatives
HCLTech is leading with early adoption of Generative AI and enterprise-level automation. Its recently launched AI Studio platform contributed to several new client engagements in the US and Europe.
Market Expansion & Deals
During Q1, HCLTech bagged 14 large deals, with significant wins in BFSI, Life Sciences, and Retail sectors. The North America market continues to be the top contributor, accounting for 62% of total revenue.
Key Highlights:
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Renewed a multi-year cloud transformation contract with a leading US bank.
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Expanded partnership with Google Cloud and AWS for GenAI service offerings.
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Strengthened presence in Latin America and Eastern Europe through local delivery centers.
Management Commentary
C. Vijayakumar, CEO & MD of HCLTech, stated:
“ Our strategic investments in digital, AI, and cloud are resonating well with global clients. Our Q1 performance sets the foundation for sustainable and profitable growth in the quarters ahead.”
Analyst View & Future Outlook
Industry analysts are optimistic about HCLTech’s performance in the next few quarters, citing:
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Lower attrition and better utilization rates
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Solid deal pipeline worth over $9.5 billion
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Strengthening service portfolio in AI and cybersecurity
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Focus on operational efficiency to sustain margins
The company has maintained its full-year revenue growth guidance at 6.0–8.0% in constant currency terms and expects EBIT margins to remain between 18–19% for FY25.
HCLTech vs Peers (Q1 FY25)
Company | Revenue (₹ Cr) | YoY Growth | EBIT Margin |
---|---|---|---|
HCLTech | 28,950 | 7.2% | 18.3% |
TCS | 62,900 | 6.7% | 24.7% |
Infosys | 38,500 | 5.9% | 21.0% |
Wipro | 23,600 | 3.2% | 15.4% |
HCLTech has delivered a solid performance in Q1 FY25, with consistent revenue growth, strategic deal wins, and steady progress in emerging tech areas like GenAI and digital engineering. With improving employee retention and a strong global demand outlook, the company is well-positioned to maintain momentum in the upcoming quarters.
For investors and IT sector watchers, HCLTech remains a key player to track in India’s tech services landscape in 2025.