HCL Tech reports 31% jump in Q3 profit at Rs 3,982 cr

IT firm HCL Technologies on Friday reported a net income of Rs 3,982 crore for the quarter ended December 2020, up 26.7 per cent quarter-on-quarter and 31.1 per cent year-on-year.

Its revenue grew 6.4 per cent to Rs 19,302 crore in the quarter under review, from Rs 18,135 crore in the corresponding quarter last year. On a sequential basis, net profit was 26.7 per cent higher from Rs 3,142 crore, while topline was higher by 3.8 per cent from Rs 18,594 crore in September 2020 quarter.

In the third quarter, HCL Technologies recorded revenue growth at 3.5 per cent quarter-on-quarter in constant currency - higher than its estimate of 1.5-2.5 per cent sequential rise. HCL Technologies has revised its sequential revenue growth guidance to 2-3 per cent in constant currency for the fourth quarter. Previously, the company had given a guidance of an average of 1.5-2.5 per cent increase quarter-on-quarter in constant currency for the third and fourth quarter.

Chief Strategy Officer Shiv Nadar said the technology sector is in the midst of a massive digitisation wave with more global enterprises embracing digital transformation to address the disruption of these unprecedented times.

"Technology has been a key enabler during the pandemic. As we stand at the cusp of the next phase of technological innovation, it is vital that we draw inspiration from each other's strengths and offer back our own to create a positive impact," he said.

"From delivering cutting-edge, agile solutions to our partners, to creating people-first initiatives, to building a sustainable and resilient ecosystem, we at HCL are committed to become a catalyst of positive change and the creation of relationships beyond the contract," said Nadar.

President and CEO C Vijayakumar said the company's performance was driven by a robust momentum in our mode 2 and mode 3 businesses led by digital, cloud and products & platform segments.

"Our results reflect the success of the strategic investments we have made over the years including unique ecosystem constructs with all cloud hyperscalers, organic and inorganic investments in a broad-based IP and platforms portfolio and an enterprise digital transformation value proposition that is truly integrated and differentiated," he said.

The results reflect the success of the strategic investments the company has made over the years including unique ecosystem constructs with all Cloud Hyperscalers, organic and inorganic investments in a broad-based IP and Platforms portfolio and an enterprise digital transformation value proposition that is truly integrated and differentiated.

The Board of Directors has declared an interim dividend of Rs 4 per equity share for the financial year 2020-21.

HCL Technologies' revenue has crossed USD 10 billion milestone in CY20, delivering 3.6 per cent year-on-year growth in constant currency.

During the quarter, HCL Technologies signed 13 transformational deals. At the end of December 2020 quarter, HCL had 1,59,682 employees with net addition of 6,597 people, while attrition for IT services (on a last 12 month basis) was at 10.2 per cent.

(Inputs from ANI and PTI)

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