HCL Technologies Reports Q4 FY24 Results: Net Profit Inches Up to Rs 3,995 Crore

HCL Technologies (HCLTech) has reported its financial performance for the fourth quarter of the fiscal year 2023-24, showcasing a notable increase in net profit to Rs 3,995 crore, a 0.35% rise from the previous year. However, the company experienced a significant 8% decline in profit after tax compared to the preceding quarter, with earnings at Rs 4,351 crore against Rs 4,738 crore in the October-December period.

HCL Technologies (HCLTech), a famous technology company, has announced that they have experienced a significant increase in their overall earnings. In the current financial year, their revenue from operations has increased by 5.3% to reach Rs 28,499 crore, up from Rs 27,059 crore in the previous year. The company's executives have announced that they will be paying a dividend of Rs. 18 per equity share to their shareholders for the financial year of 2024-25. This is good news as it shows that the company is committed to its investors and values their support.

In constant currency terms, the quarter's revenue exhibited a modest 0.3% increase quarter-on-quarter (QoQ) and a substantial 6.0% rise year-on-year (YoY). The income in USD amounted to $3,430 million, marking a 0.4% uptick from the previous quarter and a notable 6% surge YoY.

During the quarter, HCLTech clinched new deals worth $2,290 million, comprising 21 large deals, with 13 in services and 8 in software domains. Notably, revenue from services in constant currency escalated by 3% QoQ and 6.7% YoY, driven primarily by growth in telecommunications, media publishing & entertainment.

Key financial metrics include Earnings Before Interest and Taxes (EBIT) at Rs 5,018 crore, constituting 17.6% of revenue. At the same time, net income stood at Rs 3,986 crore, accounting for 14.0% of revenue. The company also reported a return on invested capital (ROIC) of 33.8% in the last twelve months (LTM).

HCLTech's total headcount stood at 227,481, with 3,096 new hires, while the attrition rate over the last twelve months decreased to 12.4% from 19.5% in the fourth quarter of the previous year.

For the full financial year, HCLTech recorded revenue amounting to Rs 1,09,913 crore, representing an 8.3% increase overall and a 5% growth in constant currency terms. The Total Contract Value (TCV) for the fiscal year surged to $9,759 million, buoyed by the acquisition of 73 new large deals.

HCL Technologies (HCLTech) is a company that provides technology services to other businesses. They are feeling optimistic about their future and expect to see their revenue and services grow by 3-5% each year between 2024 and 2025. The CEO and Managing Director of HCLTech, C Vijayakumar, is confident in the company's ability to keep up with the latest technology and use it to help its clients. They are particularly excited about using artificial intelligence (AI) to develop new solutions, which will help them grow even more in the future.