HCL Q2 net soars 58%, revenue crosses $5 billion
New Delhi: Beating market estimates, India's fourth-largest IT services firm HCL Technologies today posted a 58.4 percent rise in profit for the quarter ended December 31, aided by growth in Europe and contracts won in financial services, infrastructure and manufacturing.
The Noida-based firm's revenue crossed USD 5 billion in 2013, a first for the company.
HCL's profit rose to Rs 1,496 crore in the second quarter ended December 31 from Rs 944 crore in the year-ago period. The company follows a July-June financial year.
Consolidated revenue increased 30.4 percent to Rs 8,184 crore from Rs 6,278 crore.
In the July-September quarter, the firm had reported a profit of Rs 1,416 crore and revenue of Rs 7,961 crore.
"Again, a good performance in the quarter. In calendar year 2013 we crossed the USD 5 billion mark and three of our businesses grew over USD 1.5 billion mark," HCL Technologies President and CEO Anant Gupta told reporters here.
Infrastructure and manufacturing services each crossed the USD 1.5 billion mark, as did the Europe business, he said.
HCL shares hit a 52-week high of Rs 1,398.30 on the BSE.
"As a company HCL has always differentiated itself on two key pillars, corporate excellence and governance and trust through transparency and flexibility. Our sustained efforts in these areas continue to be recognised," HCL Technologies Chairman Shiv Nadar said.
In dollar terms, profit rose 39.1 percent to USD 242 million in the quarter from USD 174 million a year earlier. Revenue climbed 14.5 percent to USD 1.32 billion.
In the July-September quarter, HCL reported a profit of USD 226 million and revenue of USD 1.27 billion.
"We have achieved a profitable growth trajectory with yet another stellar quarter of 4 percent Q-o-Q revenue growth and 39.1 percent Y-o-Y net income growth," Gupta said.
HCL signed 15 deals across services, with infrastructure constituting half. The financial and manufacturing verticals led wins with 80 percent of the bookings coming from Fortune 500 or Global 2000 customers, he added.
"A majority of these deals came from the US and Europe in the sectors of financial services and manufacturing," he said.
HCL had cash and cash equivalents of USD 135.1 million as of December 31 against USD 96.8 million on September 30.
Its client base stood at 844, while the head count was 88,332, with a gross 7,593 and net 1,136 employees added.