Vijayakumar reports $2bn deals in Services and Software segments
HCLTech continues to invest in AI, specifically Generative AI, as well as cloud native capabilities across products and services to address evolving client needs and demand from the United States.
“We remain confident of our continued growth momentum enabled by our business mix, our people and laser-sharp focus on delivering innovation and hyper-automation to our clients,” said C Vijayakumar, CEO & Managing Director, HCLTech.
“Our results this quarter have been remarkably strong, driven by strong momentum in both services and software businesses and a stellar operating margin.
“HCLSoftware’s performance was another bright spot and we are excited about its strategic progress over the last year,” he said in a Q3 financial report released on 12 Jan 2024.
The company won 18 large deals, six in Services and 12 in Software, with Total Contract Value of almost US$2 billion.
The deals included:
A US-based global communication services provider selected HCLTech to implement GenAI in fields such as software engineering, analytics, network activation, call centre agent experience, infrastructure, among others.
A US-based chemicals manufacturer partnered with HCLTech to enhance its sustainability efforts and develop a state-of-the-art solution for real-time ESG reporting and analytics tools using GenAI.
A leading US-based financial services firm has engaged HCLTech to evaluate GenAI solutions integrated with cloud technology. These solutions are tailor-made for critical applications, featuring areas such as risk management analytics, predictive modeling and anomaly detection.
For the quarter ended 31 Dec, revenue came in at US$3.415 billion, up 5.9% QoQ and 5.3% YoY. EBIT margin in the quarter was 19.8%, an expansion of 126 bps QoQ, underscoring strong execution and cost efficiencies.
Services revenue grew by 3.1% QoQ in constant currency and crossed an annual run rate of US$12 billion. HCLSoftware revenue for the quarter was up 5% YoY with an annual recurring revenue (ARR) of over US$1 billion.
“HCLTech delivered a stellar quarter with sequential growth driven by HCLSoftware and a spurt in the Telecom vertical and the ER&D segment,” said Prateek Aggarwal, Chief Financial Officer, HCLTech.
“Our Services revenue has crossed a significant milestone of US$12 billion (Rs.100,000 Crores) on a run rate basis.”
The company reported a net addition of over 3,600 people, taking its total headcount to over 224,700 across 60 countries. fiinews.com
