HCL Tech Net Misses Estimates, Sinks 12% In March Quarter

HCL Technologies recorded a 12% drop in net profit sequentially for the March quarter, missing street estimates as cross-currency movements impacted earnings adversely. The IT major’s net profit during the period stood at Rs 1,683 crore, while it also disappointed on revenue growth which remained flat sequentially.

Commenting on the results, Greyhound Research CEO & Chief Analyst Sanchit Vir Gogia said, it was disappointing to see a flattish growth in revenue and decline in net profit but on positive note the company has been making clear moves from its heavy reliance on infrastructure managed services (IMS) business and focus more on the application services business. “This will be a welcomed breather for investors that have been critical of HCL’s overt reliance on IMS business that attracts smaller margins compared to application services portfolio,” he added.

To read the Full Article, click here: The Financial Express

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s