Indian services giant HCL Technologies has wound up its 19/20 financial year by reporting 15 percent annual growth but a flat Q4.
The company today reported Q4 revenue of US$2.543 billion, with EBIT of $531m and net income of $431m. That translates to 0.8 percent revenue growth in constant currency, 3.2 percent EBIT growth and 1.2 percent income growth. Numbers were rather nicer for the full year with revenue of $9.936bn a 15.1 percent annual jump. EBIT was up 15.3 percent to 1.946bn and net income hit 1.554bn, a 7.8 percent jump.
Execs were chuffed at 33 percent growth in the company’s “Mode 2” digital services business and “Mode 3” business that focuses on IP creation alongside clients.
Headcount cracked the 150,000 mark and 96 percent of those are currently working from home, with just 2.5 percent in-office at present. That’s led to the company achieving 100 million real-time minutes per month on Microsoft Teams, which it says demonstrates its “fluid workplace” philosophy is potent and clever.
The company named its move into smaller Indian cities as a highlight for the year, saying that splashing down in locales like Lucknow, Madurai, Nagpur, and Vijayawada has helped to build scale and resilience. In what reads a lot like a nod to the Trump administration, the company noted that 67.7 percent of US-based staff are now locals.
While the company didn’t offer any guidance on future revenue or margin, President and CEO C Vijayakumar said he thinks the company can navigate the current economic turbulence.
“Looking ahead, we are confident that our capabilities, our balanced portfolio, strong client relationships and financial strength will help us navigate this crisis and emerge stronger," he told investors. ®