Tuesday, September 30, 2025
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CEO Vijayakumar Highlights Resilience and Growth at HCLTech

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HCLTech, India’s third-largest IT services provider, has projected growth opportunities despite anticipated challenges from tariff impacts.

During the post-earnings conference for the fourth fiscal quarter of FY25, CEO C Vijayakumar emphasized the potential for innovation and efficiency, particularly through generative AI and cost-focused technologies.

While acknowledging the short-term uncertainties, Vijayakumar expressed optimism about the long-term prospects for the company and the industry.

HCLTech Fourth Quarter Performance

HCLTech reported consolidated revenue of ₹30,246 crore for Q4 FY25, marking a 6.1% year-on-year increase.

Net profit rose by 8.1% to ₹4,307 crore, slightly below analysts’ expectations.

The company achieved deal wins worth $3 billion during the quarter, a significant increase from $2.1 billion in the same period last year.

Telecom and media emerged as the fastest-growing verticals, expanding by 24.3%.

Tariff Impact on HCLTech and Strategic Response

The CEO acknowledged that tariff-led disruptions are expected to affect retail and manufacturing sectors initially, with potential spillover into other verticals.

Despite these challenges, HCLTech sees opportunities for clients to optimize costs and improve efficiencies.

Vijayakumar highlighted the role of generative AI in driving innovation and reducing operational expenses.

The company plans to leverage AI-driven solutions to enhance its service offerings and capture a larger share of client spending.

FY26 Guidance and Industry Context

HCLTech has provided revenue growth guidance of 2–5% for FY26, reflecting a cautious yet optimistic outlook.

This range accounts for macroeconomic uncertainties and the potential for deal closures.

The company’s focus on AI-led efficiencies and cost optimization is expected to drive growth in a challenging environment.

The broader IT industry is grappling with macroeconomic pressures, including tariff impacts and delayed decision-making in discretionary projects.

While competitors like Infosys and Tata Consultancy Services have reported muted growth forecasts, HCLTech’s guidance is considered relatively strong.

Analysts have noted that HCLTech’s strategic focus on innovation and efficiency positions it well to navigate the current challenges.


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Sahiba Sharma
Sahiba Sharmahttps://sightsinplus.com/
Sahiba Sharma, Senior Editor - Content at SightsIn Plus