Digital, products lift HCL Tech net 31%

MUMBAI: HCL Technologies posted a 31.1% rise in its December quarter net profit at Rs 3,982 crore on the back of strong momentum in its digital, products and platform segment, and exuded confidence in clocking further acceleration in bookings in the coming quarters.

The IT services major, which had registered a net profit of Rs 3,037 crore in the year-ago period, has also crossed the USD 10 billion revenue milestone in CY2020.

HCL Tech's revenue grew 6.4% to Rs 19,302 crore in the quarter under review, from Rs 18,135 crore in the year-ago period (as per US GAAP).

The company recorded revenue growth at 3.5% quarteron-quarter in constant currency, beating its own estimate of 1.5-2.5% growth for the December quarter.

HCL Tech has now revised its sequential revenue growth guidance to 2-3% (including DWS contribution) in constant currency from its previous estimate of 1.5-2.5% increase quarter-on-quarter for the March 2021 quarter. HCL Tech has completed the acquisition of Australian IT solutions firm DWS earlier this month.

"The calendar year 2021 has started on a very strong financial note. Our strategic bets continue to deliver outstanding results as reflected in our sequential revenue growth of 3.5% in constant currency and 4.4% in US dollars," HCL Technologies President and CEO C Vijayakumar said.

The company continues to see a strong pipeline and remains confident of "even further acceleration of bookings in the coming quarters", he added.