HCL Tech on Wednesday reported consolidated net profit of ₹3,593 crore for the March quarter, up 226% from a year ago. The net profit was ₹1,102 crore in the corresponding quarter of previous fiscal.
However, HCL Tech profit — excluding the impact of one-time milestone paid bonus to employees and the DTL on goodwill expense last year — rose 24%.
On Thursday, HCL Tech shares closed 1.18% higher at ₹1,102.30 apiece on NSE.
Revenue from operations rose 15% to ₹22,597 crore for the quarter under view.
In dollar terms, revenue during the quarter came in at $2,993 million, up 0.5% sequentially and 11.0 year-on-year.
For FY23, the company has given a margin guidance between 18-20%, while the revenue is expected to grow between 12% to 14% in constant currency.
The Board has also declared an interim dividend of ₹18 per equity share of for the financial year 2022-23.
“Our core beliefs of innovation and collaboration, driven by a strong faith in humanitarian values, have stood us well in these fast-changing times. Clients worldwide see HCL Technologies as their partner of choice to drive business outcomes with our leading-edge technology services, solutions and products,” said Roshni Nadar Malhotra, Chairperson, HCL Tech.
“We have delivered yet another stellar quarter in our Services business, where the revenue is up 5% QoQ & up 17.5% YoY in constant currency. Over the last three quarters, our Services business has been consistently growing organically at 5% and higher, delivering one of the highest CQGR in the industry. Our overall growth on YoY basis stands at 12.7% which is better than the guidance led by strong momentum in Digital, Cloud and Engineering services. We continue to invest proactively to create a larger talent pool to address the demand”, said HCL Tech CEO & MD C Vijayakumar.
The company has recorded a TCV (total contract value) of new deal wins at $2,260 million for the March quarter, registering 6% sequential growth.
During the fourth quarter, revenue in constant currency grew by 13% over last year period. Segment wise, services business has grown 17% year-on-year, while engineering and R&D services grew at robust 24% year-on-year in constant currency, driven by traction in digital engineering and IoT Works.
IT and Business Services grew at healthy 16% year-on-year, driven by acceleration in cloud transformation and application and data modernisation.
On a trailing 12 months basis, the attrition rate rose to 21.9% during the March quarter.
The company has added nearly 40,000 freshers during the fiscal 2022 year, taking the total headcount to 208,877. Net employee additions during the quarter was also brisk at 11,100, up 5.6% sequentially