HCL Tech Q4 results: Net profit down 6.1% at Rs 2,962 crore

HCL Technologies on Friday reported a 6.1 per cent year-on-year (YoY) fall in its consolidated net profit at Rs 2,962 crore for January-March quarter of fiscal year 2020-21. Sequentially, the company's net profit declined 25.6 per cent from the preceding December quarter.

However, the net profit of Rs 2,962 crore is excluding the impact of one-time milestone bonus of Rs 728 crore, or Rs 575 crore net of tax, paid in March quarter, HCL Tech said in a release. The company's profit would have been Rs 2,387 crore including the bonus.

Its revenue rose 5.7 per cent YoY to Rs 19,642 crore in the quarter under reviw. On a quarter-on-quarter (Q0Q) basis, it was higher by 1.8 per cent.

For FY21, HCL Tech's net profit rose 17.6 per cent YoY to Rs 13,011 crore, while revenue grew 6.7 per cent to Rs 75,379 crore.

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The company expects its revenue to grow in double digits in constant currency terms in FY22, while EBIT margin is seen between 19 per cent and 21 per cent during the year. HCL Tech won 19 new large deals in Januar-March quarter across industry verticals, while it signed a total of 58 new large deals in FY21.

"As the global economy revives and all of us emerge from this crisis, I am sure that HCL will be even better prepared to meet future challenges. Armed with our core beliefs of innovation and invention and driven by a strong faith in humanitarian values, we will achieve our business goals, that are aligned with the socio-economic development of the communities where we work," HCL Tech Chairman and Chief Strategy Officer Shiv Nadar said.

HCL Tech registered the highest ever new deal booking this quarter of $3.1 billion with an all-time high exit pipeline. The booking and pipeline represent a well-balanced mix of service lines, geographies and industries, the company's president and CEO C Vijayakumar said.

"With these solid financials, a passionate employee family and a business model that has consistently proven itself for its resilience and relevance, we step confidently into FY22," he added.

HCL Tech also declared a first interim dividend of Rs 6 per equity share and a special interim dividend of Rs 10 per equity share for FY22. Shares of the company closed 0.56 per cent lower at Rs 955.80 on the BSE on Friday.

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