HCL Q2 net profit rises by 3.7% to Rs 3,263 cr

PTI | New Delhi | Updated: 14-10-2021 21:20 IST | Created: 14-10-2021 21:12 IST
HCL Q2 net profit rises by 3.7% to Rs 3,263 cr
Representative image Image Credit: ANI
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IT company HCL Technologies on Thursday posted a 3.7 per cent increase in consolidated profit after tax to Rs 3,263 crore for the July-September quarter of this year compared to Rs 3,146 crore in the same period a year ago.

HCL's consolidated revenue from operations rose by 11 per cent to Rs 20,655 crore during the reported quarter from Rs 18,594 crore in the corresponding quarter of 2020-21.

''We have delivered a healthy performance this quarter marked by strong growth across our services portfolio led by our digital business, engineering and cloud services.

''We had impressive client additions across all categories, reflecting strong demand and relevance of our offerings across all our client groups,'' HCL chief executive officer and managing director C Vijayakumar said.

Total contract value (TCV) from 14 new deal wins during the reported quarter increased by 38 per cent year-on-year to Rs 16,563 crore (USD 2,245 million).

The company's net addition of headcount was the highest at 11,135 during the reported quarter in the last six years. Its total headcount reached 1,87,634 at the end of September 30, 2021.

HCL plans to hire 20,000-22,000 freshers this year and is looking at hiring 30,000 freshers next year.

In US dollar terms, net income of the company grew 4 per cent while revenue grew 11.3 per cent year-on-year (YoY).

The growth was led by service revenue which grew 13.1 per cent in constant currency (US dollar) terms.

HCL said that its growth momentum was led by life sciences while healthcare expanded by 20.1 per cent in constant currency (CC), telecommunications, media, entertainment and publishing by 13.4 per cent, manufacturing by 11.9 per cent, and technology and services by 10.8 per cent YoY.

America business of the company grew 10.5 per cent YoY.

The company has started encouraging senior managers to come to office at least twice a week and depending on the requirement each vertical is encouraging people to come to office once a week.

''We do expect momentum to increase by the end of this calendar year. This is the policy that we have at this point of time,'' HCL chief human resource officer (CHRO) Apparao VV said.

Vijayakumar said people returning to work will not impact the digitisation process as it is more related to business transformation.

The company rolled out increments for junior management after nine months starting from July. The increment was in the range of 7-8 per cent for offshore employees and 3-4.5 per cent onsite.

For senior management the increment has been rolled out starting October 1, Apparao said.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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