HFCL profit jumps 87% to Rs 85 cr in Q3; says biz outlook optimistic IT companies' revenues to grow up to 9% in fiscal 2022, says rating co Icra

HFCL Ltd on Thursday posted nearly 87 per cent jump in its consolidated net profit for the December quarter at Rs 85.1 crore and projected an "optimistic" outlook backed by strong demand for optical fibre cables, FTTH as well as momentum in transformational projects, and 5G prospects. The net profit in the corresponding period previous year stood at Rs 45.58 crore, according to a regulator y filing. Total income came in at Rs 1,281.45 crore for Q3FY21, up 48.6 per cent over the year-ago period.

Demand for digital technologies and resumption of normal economic activities will drive sales for IT companies, and the sector will post a revenue growth of up to 9 per cent in 202122, a report said on Thursday. Rating agency Icra gave a "stable" outlook for the sector, whose size is pegged at over USD 180 billion by industr y lobby Nasscom, including the business process outsourcing business. The IT services sector's revenues will rise between 7-9 per cent in rupee terms and between 5-8 per cent in dollar terms in 2021-22, it estimated. It can be noted the pandemic has dented activities across sectors and the IT business is one of the few isles of growth.