HCL Technologies, on Tuesday, posted its first-quarter result for fiscal 2023, wherein it saw a 2.11 percent growth in its consolidated profit after tax (PAT) at Rs 3,281 crore, as against Rs 3,213 crore a year ago. Sequentially, the profit plummeted 8.83 percent from Rs 3,599 crore reported in the fourth quarter of FY22.
The consolidated revenue of one of India’s leading IT companies came in at a growth of 16.92 percent at Rs 23,464 crore compared with Rs 20,068 crore a year ago. Sequentially, the revenue rose 3.83 percent from Rs 22,597 crore reported in the quarter ending March 2022.
In terms of constant currency, the revenue of the company was $3,024.9 million, up 1.1 percent on a month-on-month basis and 11.2 percent YoY.
The company also announced a dividend of Rs 10 per share.
The company in its outlook for FY23 said it is expecting its revenue growth between 12-14 percent in constant currency. EBIT margin is anticipated to lie between 18-20 percent.
In the quarter ended, the total contract value (TCV) of new deal wins was $2.05 billion, up 23.4 percent YoY. Of this, Services TCV stood at $1.95 billion while products TCV accounted for $104 million.
“We have started FY’23 on a strong note,” said C Vijayakumar, CEO & Managing Director, HCL Technologies.” “…Our services business continues to have robust growth momentum, growing at 2.3 percent QoQ and 19 percent YoY in constant currency, driven by our digital engineering and digital application services with cloud adoption being a horizontal theme across all services and verticals,” the CEO added.
“Our operating margin came in at 17 percent. We have put in place the right measures that will improve our profitability going forward.”, Vijayakumar added.
Attrition Rate:
The last twelve-month attrition rate or the churn rate increased to 23.8 percent from 21.9 percent in the quarter ending March 2022 and 11.8 percent in the first quarter of last fiscal. The company said 6,023 freshers joined the firm during the quarter.