Overview
- TCS reported net profit of Rs 10,657 crore, down 14% year on year, on revenue up about 5% to Rs 67,087 crore, and declared a Rs 57 per-share payout including a special dividend.
- The TCS profit decline reflected one-time items: Rs 2,128 crore from India’s new labour codes, a US legal provision of Rs 1,010 crore plus interest, and restructuring costs, with EBIT margin steady near 25.2%.
- HCLTech posted revenue of Rs 33,872 crore, up 6% sequentially and 13.3% year on year, with net profit at Rs 4,082 crore after a Rs 956 crore labour‑code provision; EBIT margin rose to 18.6% despite restructuring impact.
- AI traction accelerated: TCS cited $1.8 billion in annualised AI services revenue and a $9.3 billion Q3 order book, while HCLTech’s advanced AI revenue reached $146 million for the quarter and deal wins totaled about $3.0 billion.
- HCLTech maintained FY26 guidance at 4–4.5% constant-currency growth and 17–18% EBIT margin (excluding the one-off) and announced a Rs 12 dividend; brokerages raised HCLTech target prices, while views on TCS remained mixed given soft international demand.