Q4 results this week: HCLTech, Tech Mahindra, Nestle, HUL, Axis Bank, others to declare earnings; Check list

With the fiscal fourth quarter earnings season already kickstarted and a number of major companies like Tata Consultancy Services (TCS), Infosys, Wipro, HDFC Bank, ICICI Bank and a few others having released their Q4 numbers, this week is going to be even more exciting. A little more than 80 companies are scheduled to announce their Q4FY25 results this week. Key names in the list include HCL Technologies, Tech Mahindra, Maruti Suzuki India, Hindustan Unilever, Axis Bank, Nestle India, IDFC First Bank, India Cements, LT Finance, Tata Technologies, SBI Life Insurance Company, Persistent Systems, MphasiS, Cyient, Thyrocare Technologies, LTIMindtree, Waaree Energies, Havells India, Tata Communications, Cyient DLM, and many others.

According to Nuvama, earnings weakness persisting during 9MFY25 is likely to streak through Q4FY25 as well. Key highlights, it added, will be: i) Top-line growth for coverage (ex-OMCs) is likely to be subdued (~6 per cent YoY) for a straight 8th quarter. ii) Weak top line is now weighing on margins, dragging profit growth to just 1 per cent (9MFY25: 6 per cent). iii) Profits to be weak in cement, FMCG, energy and autos; metals, chemicals, pharma and telecom to post strong growth.

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Here are key earnings to watch out for:

April 22

HCL Technologies: The IT major will release its Q4 results on April 22. Kotak Institutional Equities said, “We forecast c/c revenue decline of 0.7 per cent due to seasonal weakness in the products business. We forecast 0.9 per cent growth in services business and (-)0.1 per cent on organic basis. Revenues include 90 bps contribution from CTG acquisition. We forecast EBIT margin of 18.2 per cent, an increase of 60 bps YoY and decline of 140 bps QoQ.” The brokerage firm forecasted TCV of net new deals at $2.2 billion, and revenue growth guidance of 3-5 per cent.

Tata Communications: The company will announce its fiscal fourth quarter earnings report on April 22. Nuvama said, “We expect moderate revenue growth of 2.6 per cent QoQ/4.6 per cent YoY. EBITDA margin expected to improve by 60bps QoQ.” Key monitorables will include growth trajectory in digital business, margin trajectory and any incremental updates on divestment of non-core subsidiaries.

April 23

LTIMindtree: The IT firm will release its Q4 results on April 23. InCred Equities said, “Weakness in hi-tech and BFSI portfolios to impact quarterly growth. We believe the deal TCV could be around $1.4 billion. We expect cost takeout measures coupled with INR depreciation could help expand the EBIT margin.” Per the brokerage firm, investors will watch out for outlook on FSI, hi-tech and manufacturing verticals, capital allocation and strategy outlook.

April 24

Mphasis: Mphasis will announce its Q4FY25 numbers on April 24. JM Financial said, “We estimate 3.2 per cent QoQ cc revenue growth with a 30bps cross currency headwind translating into 2.9 per cent QoQ USD revenue growth. Reversal of furloughs (c.$8million benefit) and ramp-up of recent deal wins should aid growth, in-line with management’s Q3 view.” The brokerage firm said that net new TCV is expected to sustain at $350 million+ range.

Nestle India: The FMCG major will release its fourth quarter results on April 24. Kotak Institutional Equities said, “We expect 5.4 per cent YoY revenue growth, led by 5.3 per cent/ 3.9 per cent YoY growth in domestic/exports markets. We expect volume (tonnage) growth at 3 per cent versus 2 per cent in Q3; growth continues to be impacted by muted urban demand and elevated commodity prices, partly buoyed by some benefit in Maggi portfolio due to Maha Kumbh 2025. Price-mix growth is led by price hikes in chocolates, coffee, and Maggi.” While the EBITDA is expected to fall by 2.4 per cent YoY, PAT decline could be higher due to lower other income.

Axis Bank: Axis Bank will announce Q4 numbers on April 24. Kotak Institutional Equities said, “We are building loan growth of ~8 per cent YoY (~3 per cent QoQ). We are building NIM to decline 15bps QoQ (3.8 per cent) QoQ to factor the impact of the rate cut cycle. Fee income growth to be sluggish reflecting weak loan growth. We expect slippages of around Rs 50 billion (2 per cent of loans) mostly led by retail.” Key discussion areas, it added, will include slippages, especially from the unsecured segment, deposit mobilisation and NIM progression.

Hindustan Unilever: FMCG major HUL will announce its Q4 results on April 24. Nuvama said, “In Q4FY25, we reckon revenue shall inch up 2 per cent YoY (up 1.8 per cent in Q3FY25; 0.4 per cent in Q4FY24). Volumes are likely to remain flat YoY (flat in Q3FY25; up 2 per cent in Q4FY24). EBITDA to grow 2 per cent YoY in Q4FY25 (inched up 0.8 per cent in Q3FY25; inched down 1 per cent in Q4FY24). We anticipate overall demand trends to remain similar to Nielsen and Company.” Nuvama forecasted 2 per cent price hike in Q4FY25 on an overall portfolio basis, with price hikes taken in mid-Q3FY25 now flowing fully in Q4FY25; but offset by price cuts in detergents (Home Care) to pass on RM deflation in crude oil-related inputs.

Tech Mahindra: Tech Mahindra will release its Q4 numbers for FY25 on April 24. JM Financial said, “We expect TechM to report -0.7 per cent cc growth, 50bps currency headwind should result in a -1.2 per cent USD revenue. We expect the Telecom/Enterprise segment to decline -0.5 per cent/-1.5 per cent QoQ.” It forecasted deal wins in the range of $600-800 million.

Q4 results this week: HCLTech, Tech Mahindra, Nestle, HUL, Axis Bank, others to declare earnings; Check list

A little more than 80 companies are scheduled to announce their Q4FY25 results this week, including HCL Technologies, Tech Mahindra, Maruti Suzuki India, Hindustan Unilever, Axis Bank, Nestle India, IDFC First Bank, and many others.