Investors | HCLTech

HCLTech Announces
Third Quarter
FY 2024 results

Our results this quarter have been remarkably strong with a revenue growth of 6.0% QoQ in CC driven by strong momentum in both services and software businesses. We delivered a stellar operating margin of 19.8%, a 126 bps improvement QoQ and 16 bps improvement YoY. We are quite excited about the strategic progress HCLSoftware has made over the last year, delivering 5.0% YoY CC revenue growth with a significant increase in subscription & support revenue and consistently growing Annual Recurring Revenue (ARR). We continue to invest in AI, specifically Generative AI as well as cloud native capabilities across our products and services to address evolving client needs. In an uncertain demand environment, we remain confident of our continued growth momentum enabled by our business mix, our people and laser-sharp focus on delivering innovation and hyper-automation to our clients.

C Vijayakumar
Chief Executive Officer and Managing Director | HCLTech
C Vijayakumar

Q3, FY24 Highlights

Revenue

Revenue

  • INR Revenue of ₹ 28,446 Crore, up 6.7% QoQ & up 6.5% YoY
  • Constant Currency (CC) Revenue up 6.0% QoQ & up 4.3% YoY
  • USD Revenue of US$ 3,415 Mn, up 5.9% QoQ & up 5.3% YoY
  • Services CC Revenue up 3.1% QoQ & up 4.2% YoY led by growth in Telecommunications, Media, Publishing & Entertainment (up 25.9% QoQ)
  • Services Revenue crossed annual run rate of US$ 12 Bn (₹ 1,00,000 crore)
  • Digital CC Revenue up 5.0% YoY; contributes 37.7% of Services
  • Company growth powered by HCLSoftware CC Revenue (up 5.0% YoY)
  • HCLSoftware ARR at US$ 1.06 Bn+, up 2.9% YoY CC
Profitability & Return Metrics

Profitability & Return Metrics

  • EBIT at ₹ 5,615 Crore (19.8% of revenue), up 13.8% QoQ & up 7.4% YoY
  • Net Income at ₹ 4,350 Crore (15.3% of revenue), up 13.5% QoQ & up 6.2% YoY
  • ROIC (on LTM basis) – Company at 32.8%, up 301 bps YoY; Services at 40.1%, up 273 bps YoY
  • OCF at US$ 2,697 Mn and FCF at US$ 2,566 Mn (on LTM basis)
  • OCF/NI at 142% & FCF/NI at 135% (on LTM basis)
  • Dividend of ₹ 12/- per share, 84th consecutive quarter of dividend pay-out
Bookings

Bookings

  • TCV (New Deal wins) at US$ 1,927 Mn
  • Won 18 Large deals - 6 in Services & 12 in Software
People

People

  • Total People Count at 224,756; Net addition: 3,617
  • Added 3,818 freshers
  • LTM Attrition at 12.8%*, (down from 21.7% in Q3 of last year)
ESG - Awards and Recognitions

ESG

  • HCLTech has been awarded in the Gold Category under Climate Action Reporting of 3rd ICAI Sustainability Reporting Awards 2022-23
FY’24 Guidance

FY’24 Guidance

  • Company CC Revenue growth (including ASAP acquisition) expected to be between 5.0% and 5.5% YoY
  • EBIT margin expected to be between 18.0% and 19.0%

The EBIT Margin guidance assumes USD-INR currency rate of US$ 1 = ₹ 82/- and other currencies at FY’23 average exchange rates

*Note: Attrition excludes involuntary attrition and DPO.

All financials

Investor Call Recording

Q3

HCL Technologies Q3, FY24 Earnings Call audio recording

Investor Call Transcript

HCLTech Overview

HCLTech is a global technology company, home to more than 224,700+ people across 60 countries, delivering industry-leading capabilities centered around digital, engineering, cloud and AI, powered by a broad portfolio of technology services and products.

We work with clients across all major verticals, providing industry solutions for Financial Services, Manufacturing, Life Sciences and Healthcare, Technology and Services, Telecom and Media, Retail and CPG, and Public Services. Consolidated revenues as of 12 Months Ended December 31, 2023 totaled US$ 13.1 Bn.

Learn more

HCLTech Annual Report 2023

HCLTech Annual Report 2023

Sustainability Report 2023

We are delivering long-lasting impact through our actions as a company and through our pacts with stakeholders for a more sustainable future.

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Fast Facts and Key Financial Data

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Contact

Manish Anand

Executive Vice President & Company Secretary


HCL Technologies Limited

2nd Floor, Corporate Towers,
Plot No. 3A, Sector 126,
Noida – 201304
Uttar Pradesh, India


Contact No.

+91 120 4306000

Email address

investors@hcl.com

Nitin Mohta

Senior Vice President & Head – Investor Relations


HCL Technologies Limited

2nd Floor, Corporate Towers,
Plot No. 3A, Sector 126,
Noida – 201304
Uttar Pradesh, India


Contact No.

+91 120 4306000

Email address

nitin.mohta@hcl.com

Registrar & Share Transfer Agent

Link Intime India Private Limited


Unit: HCL Technologies Limited

C 101, 247 Park, L.B.S.Marg, Vikhroli (West), Mumbai – 400083
Maharashtra, India


Contact No.

1800 1020 878

Fax

+91 22 4918 6060

Email address

rnt.helpdesk@linkintime.co.in