HCL Tech Stocks Witness Significant Decline Post Q4 Earnings Release

HCL Technologies' shares plummeted over 6% after reporting flat year-on-year net profit growth in Q4 due to rising employee costs and tightening IT spending. Despite the company describing the performance as "decent," its stock underperformed in both the BSE Sensex and NSE Nifty indices. The company reported a sequential 8.4% decline in net profit and provided a guidance of 3-5% revenue growth in FY25 with an EBIT margin of 18-19%.

Shares of HCL Technologies on Monday tanked over 6 per cent after the company reported a flat year-on-year growth in net profit in the March quarter at Rs 3,986 crore.

The stock declined 6.10 per cent to Rs 1,382.45 on the BSE.

On the NSE, it tanked 6.22 per cent to Rs 1,382.10.

The stock emerged as the biggest laggard among the BSE Sensex and NSE Nifty firms.

The company posted an 8.4 per cent decline in net profit on a sequential basis, amid rising employee cost and tightening IT spends around the world.

The company described the performance as ''decent'' in view of the global macroeconomic conditions.

The company posted a consolidated net profit of Rs 3,986 crore in the fourth quarter of FY24 as against Rs 3,983 crore in the same period last year.

Sequentially, the company's profit declined 8.4 per cent from Rs 4,350 crore in the October-December period, the company said in a filing on Friday. The company gave a guidance of 3-5 per cent growth in revenue in constant currency terms for FY25 and an EBIT margin of 18-19 per cent.

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