HCL Tech Q3 beats estimate; revises FY17 guidance 10-12%
The companys revenue in Q3FY17 stood at Rs 11,814 crore, a jump of 14.2% on y-o-y basis and 2.6% rise on q-o-q basis.
IT major, HCL Technologies on Tuesday announced its financial result for the quarter ended on December 31. Beating the estimates, the company reported a net profit of Rs 2,070 crore, up by 7.8% on year-on-year basis. On quarterly basis, the net income rose by 2.8%.
The company's revenue in Q3FY17 stood at Rs 11,814 crore, a jump of 14.2% on y-o-y basis and 2.6% rise on q-o-q basis.
As per the company's press release, the broad based growth across Verticals driven by Public Services at 24.1%, Retail & CPG at 22.7%, Lifesciences & Healthcare at 14.0%, Manufacturing at 11.2%, Telecommunications, Media, Publishing & Entertainment at 9.7%, and Financial Services at 5.4%.
However, the company translated its revenue guidance for the current fiscal to 10%-12% as against earlier guidance at 12-14%. The acquisitions and IP led partnerships announced after 30 September, 2016 are likely to additionally contribute 0.6% to 1.0% in revenues depending upon the date of consummation of Geometric deal, the company said.
Commenting on the financial results, Shiv Nadar, Chairman & Chief Strategy Officer, HCL Technologies Ltd, said, "The disruptive market forces are creating a rapid evolution in the environment, posing several challenges as well as opportunities. These are very exciting times as technology disrupts and drives a new interplay of socio–economic models."
C Vijayakumar, President & CEO, HCL Technologies, said, "“We continue our robust financial performance with a revenue growth of 3% QoQ and 13.8% YoY in constant currency terms. The richness in our offerings coupled with our Mode 1-2-3 growth strategy is helping us gain a higher share of our clients’ wallet reflected in the increasing revenue contribution from our Top 5, Top 10 and Top 20 customers."
Anil Chanana, CFO, HCL Technologies, said, "Our TM focus on execution and operational efficiencies on back of automation powered by DRYiCE platform has helped us deliver margin expansion and EBIT growth of 13.4% on YoY basis. Return on Equity (ROE) is at 28% while Dividend Pay-out is 50%, basis the last twelve months ended December 31 2016."
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