HCL Tech Q2 net up 68.5%; appoints Anant Gupta as CEO
New Delhi: Software services major HCL Technologies on Thursday reported a 68.5 percent jump in its net profit at Rs 964.7 crore for the quarter ended December 31, 2012, driven by growth in infrastructure and financial services.
The company's net profit stood at Rs 572.7 crore in the October-December quarter of 2011, HCL Technologies said in a statement. It follows July-June fiscal year.
HCL Technologies also announced that Anant Gupta has been elevated to the position of President and CEO, replacing Vineet Nayar. He was earlier serving as the President and Chief Operating Officer.
Nayar would, however, continue his role as Vice Chairman of the company.
HCL Tech's revenues stood at Rs 6,273.8 crore during the reported quarter, up 19.6 percent from Rs 5,245.2 crore in the same quarter of FY12.
"Our growth this quarter was driven by infrastructure and financial services, both growing in excess of 10 percent sequentially. Six large transformational deals have once again given us a billion dollar booking quarter," Gupta said.
HCL won 12 multi-year, multi-million dollar deals this quarter with total contract value (TCV) of deals won aggregating to USD one billion.
"In the October-December quarter, we grew 3.6 percent quarter-on-quarter, our highest over the last 5 quarters...Our net margin has improved for five straight quarters to reach 15.4 percent...All in all, this has been a quarter of great impetus which has placed HCL in a position of advantage for leveraging the changing market dynamics," Nayar said.
The board has declared an interim dividend of Rs 2 per equity share of Rs 2 face value.
"The cash generation, backed by higher profitability and efficient working capital management, continued to be robust...This quarter, HCL completes 10 straight years of quarterly dividend pay-out," HCL Tech CFO Anil Chanana said.
During the quarter, the company had lost 395 employees, taking the total headcount to 85,194.
Shares of HCL rise at Rs 695.05 apiece, up 3.08 percent on the BSE in the early morning trade.