Hinduja Global Solutions Q1 results: Profit at Rs 73.2 cr; firm says strong demand for 'customer experience' biz

Business process management firm Hinduja Global Solutions on Friday posted a consolidated net profit from continuing operations at Rs 73.26 crore for the quarter ended on June 30, 2022, according to a company statement.

Seen on a `like-to-like basis', the profit from continuing operations stood at Rs 7.5 crore in the same period the previous year. HGS divested its Healthcare Services vertical in January 2022.

The company's retained business now comprises its digital-enabled customer experience (CX) solutions and Human Resource Outsourcing/ payroll businesses.

If the factor of divestment of healthcare services business is not taken into consideration, the profit (attributable to owners) stood at Rs 117 crore for the quarter ended June 2021, as per BSE filing.

According to a statement by the company, the net profit (from continuing operations or retained business) came in at Rs 73.26 crore for June 2022 quarter.

Partha DeSarkar, Executive Director and Group CEO of HGS said the company has begun FY2023 on a strong note.

"Revenue for Q1 FY2023 grew by 14.1 per cent year-on-year to Rs 9,120.46 million (Rs 912 crore) while we significantly improved PAT (profit after tax)," DeSarkar said.

In a challenging economic environment, HGS is witnessing strong demand for 'customer experience' business across all its geographies.

The statement further said that the proposed buyback of around Rs 975 crore based on the audited results for FY2022, will be announced at a later date upon completion of requisite approvals, and the company expects this to take place in the second half of FY2023.

HGS' Board of Directors in February 2022 approved the acquisition of the media and digital business of NXTDIGITAL Limited, a related party, through the issuance of shares.

National Company Law Tribunal "has vide its order dated July 29, 2022, directed convening of the meeting of the equity shareholders of the company on September 02, 2022," the statement said.

HGS combines automation, analytics, and artificial intelligence with domain expertise focusing on digital customer experiences, back-office processing, contact centres, and HRO solutions.