HCL Technologies reported an 8.1% year-on-year (YoY) revenue growth, reaching ₹30,349 crore compared to ₹28,057 crore a year ago. However, net profit declined 9.7% YoY to ₹4,257 crore, mainly due to higher expenses, a client’s bankruptcy, and delays in starting a large project. The company’s operating margin fell to 16.3%, below management expectations, as utilisation rates dropped. Focus areas included digital, cloud, and generative AI, but investments in these segments weighed on margins.
In contrast, Tata Consultancy Services (TCS) delivered a more balanced performance. Net profit rose 6% YoY to ₹12,760 crore, while revenue increased 1.3% YoY to ₹63,437 crore, though it declined 3% in constant currency terms. Despite global demand softness, TCS improved its operating margin to 24.5%, supported by strong cash conversion and a healthy $9.4 billion order book, up 13% YoY. The company’s focus on AI and digital transformation continues to underpin its long-term growth strategy.
| Metric | TCS Q1 FY26 | HCL Tech Q1 FY26 |
| Revenue (₹ crore) | 63,437 | 30,349 |
| Revenue Growth YoY | +1.3% | +8.1% |
| Net Profit (₹ crore) | 12,760 | 4,257 |
| Profit Growth YoY | +6% | -9.7% |
| Operating Margin | 24.5% | 16.3% |
| Deal Pipeline | $9.4 billion (+13% YoY) | Not specified |
| Dividend Yield | 1.88% | 3.45% |
| 1-Month Return | -6.99% | -9.05% |
| 6-Month Return | -23.48% | -14.17% |
| 1-Year Return | -22.00% | -0.17% |
| 5-Year Return | +47.77% | +151.46% |
HCL Technologies share price closed at ₹1,567.00 on July 15, 2025, down 3.26% for the day. During the session, the stock traded between ₹1,550.00 and ₹1,621.40. The company has a market capitalisation of ₹4.24 lakh crore, a P/E ratio of 24.45, and a dividend yield of 3.45%.
Tata Consultancy Services share price ended the session at ₹3,252.00, gaining 0.91% for the day. The stock traded in a narrow range, with a high of ₹3,259.40. TCS has a market capitalisation of ₹11.76 lakh crore, a P/E ratio of 23.88, and a dividend yield of 1.88%.
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While HCL Technologies delivered stronger revenue growth, its profitability and margins remain under pressure from high investments and operational delays. In contrast, TCS showcased resilient profits, superior margins, and a robust deal pipeline, positioning it as a steadier performer in uncertain times.
Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in securities are subject to market risks. Read all related documents carefully before investing.
Published on: Jul 15, 2025, 9:02 PM IST
Kusum Kumari
Kusum Kumari is a Content Writer with 4 years of experience in simplifying financial market concepts. Currently crafting insightful content at Angel One, She specialise in breaking down complex topics into easy-to-understand pieces, blending expertise in market fundamentals and technical analysis.
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