Revenue Meets Estimates, Attrition Slows Down

HCL Technologies Ltd.’s fourth-quarter revenue rose in line with estimates, led by deal wins and digital transformation. Attrition fell.

The software company’s revenue increased 1.19% sequentially to Rs 22,597 crore in the three months to March, according to its exchange filing. That compares with the Rs 22,669.9-crore consensus estimate of analysts tracked by Bloomberg.

Its revenue in dollar terms rose 0.5% over the preceding three months to $2,993 million.

For the full fiscal, HCL met its own guidance of double-digit growth in constant currency. For 2022-23, it expects revenue growth at 12-14% in constant currency. It projects EBIT margin to be at 18-20% for FY23 compared with 19-21% in FY22.

Key Highlights: Q4 FY22 (QoQ)

• Net profit rose 4.39% to Rs 3,593 crore, against the Rs 3,354.3-crore forecast.

• EBIT fell 4.42% to Rs 4,069 crore.

• EBIT margin contracted to 18% from 19.1%.

• Declared an interim dividend of Rs 18 apiece.