• FY27 growth guidance: HCLTech expects FY27 revenue growth of 1% to 4%, with services growth guided at 1.5% to 4.5% to factor in continued softness in discretionary client spending.
• Operating margin outlook: Despite a 200 basis point EBIT margin drop in Q4 caused by software softness, wage hikes, restructuring, and bad debts, management is targeting margins of 17.5% to 18.5% for FY27 driven by efficiency gains from Project Extend.
• Pending acquisition upside: The announced acquisitions of Jaspersoft and HPE are awaiting regulatory approval and are projected to contribute up to 1.5% to full-year revenue growth once closed.
• AI revenue strategy: Management projects a 2% to 3% deflationary impact on traditional services over the next few years due to AI, which it plans to offset through advanced AI revenue streams currently generating $620 million annualized and growing at 25% to 30%.