HCL Tech attrition rate drops to 12.6% in Q2, total headcount improves by 8,019 to 2.26 lakh employees

HCL Technologies, the country’s third-largest IT company, announced its financial performance for the quarter ended September (Q2FY26) today, along with updates on attrition, total employee count, and net additions during the period.

The company’s voluntary employee attrition rate fell to 12.6% in September 2025, down from 12.9% in September 2024 and 12.8% in June 2025. This reflects a reduction in the number of employees choosing to leave the company over the past year, based on a trailing twelve-month (LTM) basis, according to the company’s regulatory filing.

Meanwhile, the attrition rate excludes involuntary attrition and employees in Digital Process Operations.

The Noida-based company had a total of 226,640 employees as of September 30, 2025, compared to 223,151 at the end of June 2025, indicating a net addition of 3,489 employees during the quarter. On a year-on-year (YoY) basis, the company added 8,019 employees, up from 218,621 in September 2024.

“We did talk about our restructuring on the people side, which is largely the skill location mismatch. It's basically rebalancing the demand and supply when it comes to skills and locations. It's not a capacity reduction, it's a rebalancing of the capacity that we have, referring to skills in demand in the locations,” said HCL Tech's Chief People Officer, Ram Sundararajan in the press conference.

HCL Technologies reported higher-than-expected revenue, retains FY26 forecast

The software company reported higher-than-expected revenue of ₹31,942 crore for Q2FY26, reflecting a growth of 5.2% quarter-on-quarter (QoQ) and 10.7% year-on-year (YoY). In constant currency (CC) terms, revenue rose 2.4% QoQ and 4.6% YoY, while service revenue increased 2.5% QoQ and 5.5% YoY in CC terms.

The revenue beat was driven by HCL Tech ramping up large deals with Volvo Cars and European energy firm Equinor, announced in previous quarters. By geography, all the company’s markets showed growth, led by 7.6% in Europe and 17.9% in the Rest of the World.

On the bottom line, net profit slightly missed estimates, coming in at ₹4,235 crore.

The company maintained its revenue growth forecast of 3%-5% for the current fiscal year, in line with analysts’ expectations. It expects revenue from the services segment to grow 4.0%-5.0% YoY in CC terms, with an EBIT margin in the range of 17.0%-18.0%.

HCL Tech's new deal bookings stood at $2.57 billion in the second quarter, up from $1.81 billion in the previous quarter and $2.2 billion in the year-ago period, its earnings' filing showed.

Meanwhile, the company announced an interim dividend of ₹12 per share, marking the 91st consecutive quarter of dividend payout.

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