Digital business boosts HCL Tech Q2 net profit to 10.3% at $291 mnhttps://indianexpress.com/article/business/business-others/digital-business-boosts-hcl-tech-q2-net-profit-to-10-3-at-291-mn/

Digital business boosts HCL Tech Q2 net profit to 10.3% at $291 mn

During the fiscal second quarter, the company’s revenue increased 1.4% from a quarter earlier to $1.56 billion.

Software and services company HCL Technologies on Tuesday reported a 10.3 per cent increase in net profits for the October-December quarter at $291 million compared with the previous quarter, helped by high-margin internet-enabled digital technology services. Its profits for the July-September quarter were at $263.7 million.

During the fiscal second quarter, the company’s revenue increased 1.4 per cent from a quarter earlier to $1.56 billion from $1.55 billion, the Noida-based company said in its earnings statement. HCL Technologies follows a July-June fiscal calendar. “As part of HCL’s 21st Century Enterprise blueprint, our investments and focus on BEYONDigital, Next-Gen ITO, and IoT WoRKS is enabling us to stay ahead of the curve and achieve a healthy business growth and financial performance,” said Anant Gupta, chief executive of HCL Technologies.

The better earnings came in despite the impact of floods in Chennai, which hurt its operations during the quarter, he said. “Our resilient business models, robust business continuity and disaster recovery practices, coupled with tremendous support from all our clients and employees helped us face the challenge extremely well,” Gupta said.

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Internet-enabled and digital business boosted the company’s Ebidta margin to 21.5 per cent during the latest quarter from 20.7 per cent in the previous quarter, and 25 per cent during the same period a year earlier.

HCL Technologies earnings follows the country’s top two software and services firms Tata Consultancy Services, and Infosys, which reported their earnings earlier this month. TCS’ net profit declined 0.9 per cent from the previous quarter while Infosys said its net profits increased 1.97 per cent sequentially. FE