New Delhi: HCL Technologies Ltd (HCLTech) reported a stable operational performance in the December quarter (Q3 FY26), with growth supported by a healthy deal pipeline, resilient demand in services and continued traction in digital and AI-led transformation projects, even as global IT spending remained cautious.
For the quarter ended December 2025, HCLTech posted sequential revenue growth, aided by strong performance in its services business, which continued to offset moderation in certain discretionary spending segments. The company said its operating margins improved on a quarter-on-quarter basis, reflecting cost optimisation measures, improved utilisation and operational efficiencies.
A key highlight of the quarter was the company’s robust deal activity, with HCLTech reporting sustained momentum in large and mid-sized contract wins across industries such as technology, telecom, financial services, healthcare and manufacturing. The company said demand for AI-led, cloud-native and engineering services remained strong, with enterprises increasingly prioritising efficiency, automation and platform modernisation.
“HCLTech’s strategy of focusing on services-led growth, combined with disciplined execution, is helping us navigate a challenging macro environment,” the company said, adding that investments in AI, data, cybersecurity and digital engineering are translating into long-term client engagements.
Geographically, growth was led by North America and Europe, while the India business continued to show healthy traction, driven by public sector and enterprise digital initiatives. Vertical-wise, technology and services, telecom and healthcare showed relative resilience, even as spending remained selective in some consumer-facing sectors.
On the people front, HCLTech said it continued to invest in upskilling its workforce in AI and emerging technologies, while maintaining controlled hiring during the quarter in line with demand visibility. Attrition trends remained stable, supporting delivery continuity and margin performance.
Looking ahead, the company said it remains cautiously optimistic about demand conditions, citing a strong pipeline, increasing focus on vendor consolidation by clients and rising adoption of AI-driven services as key growth drivers over the medium term. Analysts said HCLTech’s consistent execution and diversified portfolio position it relatively well among Indian IT peers as the global demand environment gradually stabilises