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Tata Consultancy Services (TCS) reported a 0.8% quarter-on-quarter revenue increase in Q3 FY26, maintaining operating margins at 25.2%. HCLTech achieved a 4.2% revenue growth, driven by AI-linked spending and deal wins totaling USD 3 billion.

Analysts noted selective redeployment of enterprise technology budgets towards AI infrastructure. TCS's AI revenue reached an annualized rate of USD 1.8 billion, while HCLTech raised its FY26 revenue growth guidance to 4.75-5.25%. Despite overall positive trends, several brokerages cautioned about narrow revenue growth and macroeconomic risks affecting demand recovery.