SOURCE: HCL Technologies Ltd.

HCL Technologies Ltd.

January 25, 2010 10:00 ET

HCL Technologies Reports 28% YoY Revenue Growth in Q2 FY10

US Geography Registers 23% YoY Revenue Growth

NOIDA, INDIA--(Marketwire - January 25, 2010) - HCL Technologies Ltd. (HCL), a leading global IT services provider, today announced its results for the second quarter of FY 2010. HCL has posted market-leading growth with global revenues increasing by 28% YoY.

HCL's US business posted an increase of 23% year-on-year. The result demonstrates increasing market recognition of the value HCL delivers to its customers in the US and validates HCL's Go-To-Market (GTM) strategy in the geography. The GTM encompasses integrated horizontal, sector and geographic focus. It has ensured HCL's success in a dynamic US market environment and is geared to deliver a balanced growth, going forward.

Commenting on the results, Dr. Shami Khorana, President, HCL America, said, "During this quarter, we continued to successfully execute on our highly differentiated GTM strategy of delivering total IT outsourcing solutions to our customers, leveraging a complete vertical portfolio. Our US business in Calendar 2009 has posted an industry leading growth at 5% CQGR and a $1.5 Billion run rate for FY 2010. Calendar 2009 has been a period marked by economic and business uncertainty."

HCL opened a Global Development Center in Brazil to service the company's growing client base in Latin America, North America and Europe. The deals signed during the year include names like EFH, American Family Insurance, U.S. Food Service, NetApp, Xerox-XIM, TXU and DPSG.

HCL was featured in the prestigious FinTech Top 25 Enterprise Technology Companies ranking for the first time in 2009. HCL's entry into the 'FinTech Enterprise 25', which comprises the world's largest horizontal technology providers to the financial services sector, re-affirms its strong position in this vertical.

HCL has been included as 'Top 10 ADM Service Providers', 'Top 10 Infrastructure Service Providers', 'Top 15 Americas Service Providers', and 'Top 15 EMEA Service Providers' in the 2009 Contract awards list by TPI in TPI Global Index 4Q09.

HCL received a 2009 Diamond Award from the IT Services Marketing Association (ITSMA), the leading marketing association for technology, communications and professional services providers. HCL was one of only two companies honored with the Targeted Demand category award, which recognized HCL's corporate-wide ability to use multiple demand generation tactics and create innovative and focused campaigns to help to identify and closing new business opportunities.

During the quarter HCL entered into strategic partnership with iLumen to power CapitalStream, HCL's business and commercial lending system. The partnership will include both technical product integrations and co-marketing arrangements.

It also signed a partnership with SAP to provide value added services and solutions to Utilities segment. The partnership will enable both HCL and SAP to improve the win rate and effectiveness of customer relationship and billing demonstrations in North America.

With Tibco HCL signed a global reseller agreement. HCL is the only Indian Service Provider to have this designation. HCL also signed an agreement with SoftwareAG to migrate business critical systems from 6.x integration server platform to 7.x or 8.x and with Savvion for a Global Alliance to extend its focus in the Business Process Management segment.

Q2 FY 2010 Financial Highlights for HCL Technologies
-- Overall Q2 revenues at US$ 652 million; up 28% YoY
-- Net Income at US$ 64 million

Q2 FY 10 Financial Highlights for US
-- Size of US at USD 1.5 billion on annual run-rate
-- US business contributed 57% to HCL's overall revenues
-- US posts 23% YoY growth

About HCL Technologies

HCL Technologies is a leading global IT services company, working with clients in the areas that impact and redefine the core of their businesses. Since its inception into the global landscape after its IPO in 1999, HCL focuses on 'transformational outsourcing', underlined by innovation and value creation, and offers integrated portfolio of services including software-led IT solutions, remote infrastructure management, engineering and R&D services and BPO. HCL leverages its extensive global offshore infrastructure and network of offices in 26 countries to provide holistic, multi-service delivery in key industry verticals including Financial Services, Manufacturing, Consumer Services, Public Services and Healthcare. HCL takes pride in its philosophy of 'Employee First' which empowers our 54,443 transformers to create a real value for the customers. HCL Technologies, along with its subsidiaries, had consolidated revenues of US$ 2.3 billion (Rs. 11,270 crores), as on 30th September 2009 (on LTM basis). For more information, please visit

About HCL Enterprise

HCL is a $5 billion leading global Technology and IT Enterprise that comprises two companies listed in India - HCL Technologies & HCL Infosystems. Founded in 1976, HCL is one of India's original IT garage start-ups, a pioneer of modern computing, and a global transformational enterprise today. Its range of offerings spans Product Engineering, Custom & Package Applications, BPO, IT Infrastructure Services, IT Hardware, Systems Integration, and distribution of ICT products across a wide range of focused industry verticals. The HCL team comprises over 60,000 professionals of diverse nationalities, who operate from 26 countries including over 500 points of presence in India. HCL has global partnerships with several leading Fortune 1000 firms, including leading IT and Technology firms. For more information, please visit

Forward-looking Statements

Certain statements in this release are forward-looking statements, which involve a number of risks, uncertainties, assumptions and other factors that could cause actual results to differ materially from those in such forward-looking statements. All statements, other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to the statements containing the words 'planned', 'expects', 'believes', 'strategy', 'opportunity', 'anticipates', 'hopes' or other similar words. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding impact of pending regulatory proceedings, fluctuations in earnings, our ability to manage growth, intense competition in IT services, Business Process Outsourcing and consulting services including those factors which may affect our cost advantage, wage increases in India, customer acceptances of our services, products and fee structures, our ability to attract and retain highly skilled professionals, our ability to integrate acquired assets in a cost effective and timely manner, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks, our ability to successfully complete and integrate potential acquisitions, the success of our brand development efforts, liability for damages on our service contracts, the success of the companies /entities in which we have made strategic investments, withdrawal of governmental fiscal incentives, political instability, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property, other risks, uncertainties and general economic conditions affecting our industry. There can be no assurance that the forward-looking statements made herein will prove to be accurate, and issuance of such forward-looking statements should not be regarded as a representation by the Company, or any other person, that the objective and plans of the Company will be achieved. All forward-looking statements made herein are based on information presently available to the management of the Company and the Company does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the Company.