HCL Tech shares rise after IT major reports better-than-expected Q4 profit, announces dividend; here's what Anil Singhvi suggests

HCL Technologies (HCLTECH) shares were in demand on Dalal Street on Friday, a day after the IT major reported a better-than-expected net profit for the quarter ended March 2023. The stock of HCL Tech — India's third largest IT services firm after Tata Consultancy Services (TCS) and Infosys — gained by as much as Rs 36.3 or 3.5 per cent to Rs 1,073.9 apiece on BSE in early deals. 

What Anil Singhvi makes of HCL Tech Q4 results

Zee Business Managing Editor Anil Singhvi said there was "nothing great and nothing bad" in HCL Tech Q4 results. He pointed out a number of downgrades by brokerages, though he acknowledged the company's deal pipeline and guidance. 

HCL Tech Q4 results: Summary 

After market hours on Thursday, HCL Technologies reported a 2.8 per cent decline in net profit to Rs 3,983 crore on a quarter-on-quarter basis. Its revenue, in rupee terms, declined 0.4 per cent sequentially to Rs 26,606 crore.

The company's top-line came in slightly better than analysts' expectations whereas bottom-line was in line. According to Zee Business research, the IT major's quarterly net profit was estimated at Rs 3,850 crore and revenue at Rs 26,606 crore. 

Revenue in dollar terms contracted 0.3 per cent to $3,235 million compared with the quarter ended December 2022. 

The company's margin shrank by 150 basis points sequentially to 18.1 per cent, as against the analysts' estimate of 18.4 per cent.

What brokerages make of HCL Tech Q4 results

(This story will be updated shortly)

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