HCL Infosystems shares decline over 3 pc after Dec qtr earnings

Shares of HCL Infosystems on Thursday declined over 3 per cent after the company reported a loss of Rs 34.32 crore for the quarter ended December 2020.

The stock dipped 4.90 per cent to Rs 8.73 during the day on the BSE. It later closed at Rs 8.92, lower by 2.83 per cent. On NSE, it declined 3.26 per cent to close at Rs 8.90.

The company's board of directors has also approved the sale of its wholly-owned subsidiary HCL Infotech to Novezo Consulting at a purchase price based on the enterprise value of HCL Infotech as of the date of the share transfer.

The company had posted a consolidated net profit of Rs 14.5 crore in the year-ago period.

The consolidated revenue from operations decreased to Rs 72.03 crore for the quarter under review from Rs 428.73 crore in the same period last fiscal, HCL Infosystems said in a regulatory filing.

The losses are primarily on account of delayed receipts on certain system integration contracts, certain historical low margin contracts, slow-down of distribution businesses and finance costs, the filing said.