Hexaware Technologies Q2 FY27 Results: Consolidated Net Profit ₹429 Crore on Total Income of ₹4,082 Crore
Earnings
IT services
Blacklitt Research3 min read
Hexaware Technologies (NSE: HEXT) reported consolidated total income of ₹4,082.50 crore and net profit of ₹429.40 crore for the quarter ended 30 Sep 2026. Standalone total income was ₹2,151.10 crore and standalone net profit ₹201.80 crore.
Key highlights
Consolidated
Including its subsidiaries
Total income: ₹4,082.50 crore, up 16.8% YoY and 7.6% QoQ
Net profit: ₹429.40 crore, up 16.1% YoY and 30.0% QoQ
EPS: ₹7.06 basic, up 15.9% YoY and 30.5% QoQ
Restructuring expenses: ₹59.70 crore, an exceptional item for Netherlands operations
Standalone
The company on its own, without its subsidiaries
Total income: ₹2,151.10 crore, up 10.0% YoY and 5.7% QoQ
Net profit: ₹201.80 crore, down 25.4% YoY and up 0.9% QoQ
EPS: ₹3.31 basic, down 25.6% YoY
Finance costs: ₹13.10 crore, 0.6% of total income
Summary
Consolidated ₹ crore
Particulars
Q2 FY27
Q2 FY26
YoY
Q1 FY27
QoQ
4,082.50
3,493.90
+16.8%
3,795.10
+7.6%
Revenue from operations
4,099.40
3,483.60
+17.7%
3,845.20
+6.6%
Other income
-16.90
10.30
n/a
-50.10
+66.3%
429.40
369.90
+16.1%
330.20
+30.0%
Finance costs
25.40
26.00
-2.3%
32.80
-22.6%
Depreciation
87.10
88.90
-2.0%
81.70
+6.6%
Tax expense
114.00
126.80
-10.1%
110.50
+3.2%
Net profit margin
10.52%
10.59%
-0.07 pp
8.70%
+1.82 pp
Tax as share of profit before tax
21.0%
25.5%
-4.55 pp
25.1%
-4.09 pp
EPS, basic (₹)
7.06
6.09
+15.9%
5.41
+30.5%
Figures are in ₹ crore; YoY compares with Q2 FY26 and QoQ with Q1 FY27. Click Total income or Net profit to see the rows behind them.
Profit growth trailed income growth year on year, and the quarter carries two large non-operating items. Net profit of ₹429.40 crore rose 16.1% from ₹369.90 crore a year earlier, against total income growth of 16.8%, and rose 30.0% from the June quarter. Profit before exceptional items and tax was ₹603.10 crore; restructuring expenses of ₹59.70 crore for Netherlands operations brought profit before tax to ₹543.40 crore.
The largest non-operating item is a gain of ₹166.30 crore on remeasurement of contingent consideration, an earnout payable for acquisitions, which the company says is based on actual performance. That gain equals 30.6% of profit before tax of ₹543.40 crore. The filing does not say what drove the size of the remeasurement beyond that note.
Other income was negative at ₹16.90 crore, against positive ₹10.30 crore a year earlier. The notes say other income includes an exchange-rate loss for the quarter, smaller than the loss in the June 2026 quarter.
An impairment of ₹55.60 crore on customer relationships from earlier acquisitions was recognised in the quarter. The company says it considers forecast revenues, cash flows and the underlying customer relationships. Finance costs were ₹25.40 crore, 0.6% of total income, and depreciation was ₹87.10 crore.
Standalone ₹ crore
Particulars
Q2 FY27
Q2 FY26
YoY
Q1 FY27
QoQ
2,151.10
1,955.70
+10.0%
2,035.30
+5.7%
Revenue from operations
2,174.10
1,947.30
+11.6%
2,091.40
+4.0%
Other income
-23.00
8.40
n/a
-56.10
+59.0%
201.80
270.60
-25.4%
200.00
+0.9%
Finance costs
13.10
15.70
-16.6%
17.30
-24.3%
Depreciation
44.30
37.10
+19.4%
39.50
+12.2%
Tax expense
60.20
80.30
-25.0%
64.80
-7.1%
Net profit margin
9.38%
13.84%
-4.46 pp
9.83%
-0.45 pp
Tax as share of profit before tax
23.0%
22.9%
+0.09 pp
24.5%
-1.49 pp
EPS, basic (₹)
3.31
4.45
-25.6%
3.28
+0.9%
Figures are in ₹ crore; YoY compares with Q2 FY26 and QoQ with Q1 FY27. Click Total income or Net profit to see the rows behind them.
Standalone results moved the other way from consolidated. Total income rose 10.0% year on year to ₹2,151.10 crore, but net profit fell 25.4% to ₹201.80 crore and basic EPS fell to ₹3.31 from ₹4.45. Profit before tax fell 25.3% to ₹262.00 crore, so net profit fell in line with pre-tax profit rather than income.
Standalone other income was negative at ₹23.00 crore, 8.8% of profit before tax, against positive ₹8.40 crore a year earlier. Tax took 23.0% of profit before tax, close to the 22.9% of a year earlier.
Inference
The board declared a second interim dividend of ₹9.50 per equity share of ₹1 for FY2026 on 20 Oct 2026. Dividends paid in the nine months to 30 Sep 2026 were ₹518.10 crore on the consolidated cash flow statement. The filing does not give the record date or payment date for the interim dividend.
The board also approved a slump sale of Tech SMC Square India Private Limited, a merger of two step-down subsidiaries, a Mauritius subsidiary with initial investment up to USD 1 million, and voluntary liquidation of Mobiquity BV. Neeraj Bharadwaj and Julius Genachowski resigned as non-executive directors effective 28 Oct 2026, and Arjun Shah and Gregory Michael Zeluck were approved as additional directors from 29 Oct 2026, subject to shareholder approval. Vivek Jetley became CEO from 28 Oct 2026.
Natsoft Corporation and Updraft LLC have filed a complaint claiming USD 500 million for alleged patent infringement and breach of contract. The company says it believes the complaint is without merit and does not expect a material financial impact; the outcome of the matter is not stated in the filing.
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HEXTHexaware Technologies Ltd.