Hexaware Technologies Ltd. shares fell more than 6% after the company reported a sequential decline in net profit for the June quarter, even as revenue and operating performance improved.
The stock was trading at Rs 578.5 apiece on NSE around 9.46 am on Thursday, down from its previous close at Rs 618.3.
Investors will be watching whether the company's revenue growth and stronger operating performance can support earnings in the coming quarters after the softer bottom-line performance in the June quarter.
Profit Declined Amid Steady Revenue Growth
Net profit of the company declined sequentially by 6.1% during the June quarter, to Rs 330 crore from Rs 352 crore in the March quarter.
Revenue rose 5.7% quarter-on-quarter to Rs 3,845 crore, compared with Rs 3,639 crore in the previous quarter, indicating continued business momentum despite the decline in bottom-line performance.
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The company's operating performance also strengthened during the quarter.
Hexaware's Ebit increased 9% sequentially to Rs 524 crore from Rs 480 crore in the March quarter, reflecting an improvement in operating profitability even as net profit declined.
Commenting on the results, R. Srikrishna, CEO, said the company delivered strong growth despite what remained a challenging quarter for the IT industry. He added that Hexaware's AI Labs are innovating at a rapid pace, launching a new offering every month, which he said would form the foundation for sustained growth in the AI era.
Vikash Jain, CFO, said the June quarter marked the company's first quarter following its ERP go-live, calling it a major milestone in Hexaware's transformation journey. He said the company delivered industry-leading revenue growth, margin expansion and solid cash conversion, reflecting the strength of the business and disciplined execution by its teams.
Hexaware shares remain volatile over a prolonged period
Shares of Hexaware Technologies have been highly volatile in the past year. The stock had declined over 18% over a year, and more than 23.7% in 2026 itself, but surged over 12% during the past month. Even in the past week, despite today's fall, the stock gained 6.9%.
The stock is currently trading at a price-to-earnings multiple of 28.12 times, and in the past 52 weeks, it has traded within the range of Rs 400.2 and Rs 829.4 per share.
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