SOURCE: HCL Technologies

January 19, 2011 08:15 ET

HCL Technologies Posts Strong Revenue Growth in 2nd Quarter of FY 2010-11

Revenues at US$ 864 mn; Up 7.5% QoQ & 32.6% YoY

Americas Business Grew by 32.6% YoY in OND '10

NOIDA, INDIA--(Marketwire - January 19, 2011) - HCL Technologies Ltd. (HCL), a leading global IT services provider, today announced results for the quarter ended December 31, 2010. In this 2nd Quarter of FY 2010-11, HCL's global revenues increased by 7.5% sequentially and 32.6%YoY to US$864mn.

HCL Americas posted strong YoY growth of 32.6% and 5.8% QoQ. During Calendar Year 2010, HCL recorded revenues in excess of US$3 bn of which US$ 1.8 bn came from the Americas. The company's accelerated growth in this region traversed service lines and different verticals including pharmaceutical, retail and manufacturing.

Commenting on the quarterly results for the Americas, Dr. Shami Khorana, President, HCL Americas, said, "In addition to our continued strong growth with both new customers and existing accounts, among the most promising trends this quarter was growth and diversification in important vertical industries and in emerging markets within the geography. This includes new customer wins, channel and technology partner agreements in the U.S., Latin America and South America."

The key Americas highlights from this quarter include:

  • HCL has been positioned as a Leader in 'Gartner Magic Quadrant for SAP ERP Implementation Service Providers, North America, Nov 2010'

  • HCL has been engaged by a long standing Aerospace customer to develop and support product development for a safety critical aerospace system development in a current generation plane upgrade program.

  • HCL has been chosen by a US based medical devices manufacturer to support its ROHS (Restriction of Hazardous Substances) Compliance Management

  • HCL has signed a multi-year partnership with Lojas Renner, a leading fashion retailer in Brazil. Under this partnership, HCL will be responsible for supporting Oracle systems, deployed in more than 130 stores across Brazil. In addition, it entered into an engagement with a leading electronic retailer in Brazil to support the Oracle E-business and Oracle Retail systems, deployed in more than 200 stores.

  • HCL has also been signed up for Siebel on Demand Implementation by an automotive major in Brazil

  • HCL has been recognized as an Oracle Platinum partner for Oracle E-Business in Brazil.

Q2 FY 2011 Financial Highlights for HCL Technologies

  • Q2 Revenues at US$ 864 mn; up 7.5% QoQ & 32.6% YoY
  • Net Income at US$ 89 mn; up 23.7% QoQ & 39.2% YoY
  • Gross & Net Employee addition of 8,379 & 2,049 respectively taking total headcount to 72,267 

Q2 FY 2011 Financial Highlights for Americas

  • Americas posts 32.6% YoY revenue growth
  • Americas posts 5.8% QoQ revenue 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 72,267 transformers to create a real value for the customers. HCL Technologies, along with its subsidiaries, had consolidated revenues of US$ 3.1 billion (Rs. 14,101 crores), as on 31st December 2010 (on LTM basis). For more information, please visit www.hcltech.com

About HCL

HCL is a $5.5 billion leading global technology and IT enterprise comprising two companies listed in India - HCL Technologies and HCL Infosystems. Founded in 1976, HCL is one of India's original IT garage start-ups. A pioneer of modern computing, HCL is a global transformational enterprise today. Its range of offerings includes product engineering, custom & package applications, BPO, IT infrastructure services, IT hardware, systems integration, and distribution of information and communications technology (ICT) products across a wide range of focused industry verticals. The HCL team consists of over 77,000 professionals of diverse nationalities, who operate from 29 countries including over 500 points of presence in India. HCL has partnerships with several leading Global 1000 firms, including leading IT and technology firms. For more information, please visit www.hcl.com.

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.

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