HCL Technologies, India's third-largest IT services company, is set to announce its Q4 results on Tuesday, April 22. HCL Tech shares jumped as much as 4.23% to an intraday high of $ 1,498.90 apiece on the HCL Technologies is projected to report a 1.6% sequential increase in revenue to $ 30,356 crore in Q4FY25. However, in dollar terms, revenue is expected to decline 0.8% QoQ to $3,505 million, from $ Nuvama Institutional Equities forecasts a 0.7% decline in constant currency (CC) revenue, citing seasonal weakness in the products business.

Services revenue is expected to grow 0.9% QoQ (0.1% on an organic basis) HCL Technologies' operating performance is likely to face pressure from lower license revenues in the products business, transitional costs from the Verizon deal, and seasonal weakness in P&P. EBIT is expected to fall 7.7% QoQ to $ 5,370 crore, HCL Technologies is expected to guide for revenue growth of 3% – 5% for FY26. This implies a compounded quarterly growth rate (CQGR) of 0.5% – 1.3%.

The EBIT margin guidance is likely to remain unchanged in the range of 18 Investors should focus on HCL Tech's management commentary around deal TCV and demand trends in key verticals such as BFSI, Hi-Tech, and ER&D. Attention will also be on any revenue impact from the Verizon deal anniversary and the outlook for the June quarter The strength of discretionary spending and the operational levers needed to achieve the aspirational EBIT margin band of 19% – 20% will remain critical, according to the report. The report also said that the company's focus on cost control will remain a key focus.