HCL Tech Q2 net profit up at Rs 1,920 crore, revenue rises 11.4% | business | Hindustan Times
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HCL Tech Q2 net profit up at Rs 1,920 crore, revenue rises 11.4%

business Updated: Jan 19, 2016 23:56 IST
HT Correspondent
HCL Tech

Software services major HCL Technologies on Tuesday posted a marginal 0.2% year-on-year rise in its consolidated net profit to Rs 1,920 crore during October-December, against Rs 1,915 crore in the year-ago period.

Riding high on the appreciated dollar and clients in the US and Europe, the company that follows July-June fiscal year registered a 11.4% year-on-year growth in revenue to Rs 10,341 crore from Rs 9,283 crore a year ago.

“We have seen broad-based growth across sectors and business lines. Our investments and focus on BEYONDigital, Next–Gen ITO and IoT WoRKS are enabling us to stay ahead of the curve and achieve a healthy business growth and financial performance,” said HCL Technologies president and CEO Anant Gupta. “We will see a strong growth in the next quarter with additional clients. The dependence on visas is minimal, since our business model is resilient.”

In dollar terms, the company’s net profit declined 5.4% to $290.8 million during the quarter under review, while revenues grew 5.1% to $1.56 billion.

The company signed 8 transformational engagements during this quarter with more than $1 billion of total contract value (TCV), Gupta added.

The company said that Chennai floods impacted the business but, “...robust business continuity and disaster recovery practices, and employees helped us face the challenge extremely well,” said Prithvi Shergill, chief HR, HCL Tech.

The intake of employees in the quarter was lower than previous quarter. “...Attrition rate has remained stable at 16% for the company,” said Shergill. HCL had 1,03,696 employees as compared to 1,00,240 employees in December 2014.

HCL Tech is increasing its footprint and investment in China inn order to be closer to the clients.

Shares closed 0.58% lower at Rs 838.50 apiece on the BSE.