HCL Technologies shares surged 4.6% in early Friday trading after the Indian software services giant announced it had secured a $1.14 billion contract with a major European firm.

The company confirmed the deal on Friday, describing it as a significant win that underscores its growing footprint in the European market.

The $1.14 billion deal, while not detailing the specific client or service scope, represents a substantial multi-year engagement.

The stock was trading sharply higher on the National Stock Exchange by mid-morning, with the move providing a counterpoint to the broader weakness that has plagued the Indian IT sector in recent months.

HCLTech’s shares have faced significant headwinds, posting notable declines both year-to-date and over the trailing twelve months as investors grapple with slowing demand in key Western markets and margin pressures.

The $1.14 billion deal, while not detailing the specific client or service scope, represents a substantial multi-year engagement.

For HCLTech, such large-scale contracts are critical in demonstrating its ability to win complex, high-value projects despite a challenging macroeconomic environment.