HCL Technologies financial reports
1. 1. Technology that touches Life
2. 2. Consolidated revenue: US$ 4.3 billion (Rs. 22,417 crores), as on 30th September 2012 for HCL
Technologies Limited Geographies : USA, Europe, Asia Pacific and Japan HCL now has 85,335 on
30th September 2012 HCL Enterprise was a $6.2 billion global org with 90,000 professionals operating
from 31 countries as on June 2012 HCL Technologies was spun off as the information technology and
software services arm of the enterprise, with listing in 1999. HCL developed a fine grained multi-
processor UNIX in 1988. HCL developed the first indigenous micro-computer in 1978. HCL was
founded by Shiv Nadar in 1976, at a time when India had a total of just 250 computers.
3. 3. Everyone whatever the job, is an employee - one who can create value for customers or the world
if given the opportunity to do so. The basic values of HCL Technology are :Value Centricity, Trust
Through Transparency , Employees First , Customers Second: Turning Conventional Management
Upside Down. HCLs success factors are innovative thinking of empowered employees. Of more than
3,000 technology companies in the Bloomberg database, there are only seven with revenue of more than
$2.5 billion, a market capitalization of more than $5 billion, and a compounded annual growth rate
greater than 25 per cent during the past five years.
4. 4. Vision:To be the technology partner of choice for forward looking customers by collaboratively
transforming technology into business advantage.Mission:"We will be the employer of choice and the
partner of choice by focusing on our stated values of Employees First, Trust, Transparency, Flexibility
and Value Centricity."
5. 5. The various departments in HCL are: Sales Department Marketing Department HR Department
Admin Department Software Development Department Research and Development Finance and
Accounting Department Training Department
6. 6. HCLs dependence on mature markets Lost projects in continuation Associations and Partnership
with leading brandsWeakness: Up to date regarding the market Support sales activities Strong
employee base Global coverage Wide range of servicesStrengths:
7. 7. April 2010 April 2011 April 2012Q3 Revenues(US $) US$685 MN US$915Mn US$ 1,048 mnProfit
on Q3 revenues Up 21.4 % YoY Up 33.5% YoY up 14.6% YoYNet Income(US $) US$77MN $ 100
mn/quarter milestone US$ 121 mn to reach $ 103 mnProfit on net income 78.1% YoY up 35.0% YoY up
17.1% YoY Stock Price: BSE:616.15 NSE:615.85 Volume:25,979 Volume:722,168
8. 8. Its earnings before interest, taxes, depreciation and amortization were up 70% YoY to Rs 1,351 crore
and EBITDA margin was at 22.2% in the first quarter, compared with 22% in Q4 and 17.1% in the year
ago first quarter. Analysts on average had expected HCL Tech to report a net profit of Rs 788 crore on
revenue of Rs 6,150 crore, according to a CNBC-TV18 poll. Revenue in July-September quarter, was a
little lower- than-expected Rs 6,091 crore, up 31% from a year ago (3% quarter-on-quarter). HCL
Technologies first quarter net profit rose 78% YOY (4% sequentially) to Rs 885 crore, sending its shares
to a 52-week high as the Indias fourth largest software services provider yet again topped street
expectations.
FINANCIAL PERFORMANCE The financial results of HCL under Indian GAAP are discussed below in two parts.
Consolidated results of HCL and its subsidiaries, which includes the performance of its subsidiaries, joint ventures
and associates. Preparation and presentation of such consolidated financial statements depicts comprehensively the
performance of the HCL group of companies and is more relevant for understanding the overall performance of HCL.
Standalone results of HCL, which excludes the performance of its subsidiaries, joint ventures and associates.
Previous Year Comparatives The current financial year of the Group is for a nine months period from 1st July 2015 to
31st March 2016. The figures for the current financial year are therefore not comparable with those of the previous
year. Consolidated results This part of the Management Discussion and Analysis refers to the consolidated financial
statements of HCL ("the Company" or "the Parent Company") and its subsidiaries, joint ventures and associates
referred to as "the Group". The discussion should be read in conjunction with the financial statements and related
notes to the consolidated accounts of HCL for the year ended 31 March 2016. Results of Operations (Consolidated): (`
in Crores) Year ended Particulars 31 March 2016 30 June 2015 (Nine months) % (Twelve months) % Revenue from
Operations 30,781 100.0 36,701 100.0 Total Revenue from Operations 30,781 100.0 36,701 100.0 Purchase of traded
goods 813 2.6 1,306 3.6 Change in inventories of traded goods (109) (0.4) (35) (0.1) Employee benefit expense
15,093 49.0 17,726 48.3 Other expenses 8,443 27.4 9,231 25.2 Depreciation and amortization expense 393 1.3 404
1.1 Total Expenditure 24,633 79.9 28,632 78.1 Profit before Finance cost ,Other Income & Tax 6,148 20.1 8,069 21.9
Finance costs 74 0.2 91 0.2 Other income 895 2.9 1,139 3.1 Profit before tax 6,969 22.8 9,117 24.8 Provision for tax
1,364 4.4 1,815 4.9 Share of profit of associates 56 - 40 - Minority interest (18) - (25) - Profit after tax 5,643 18.4
7,317 19.9 Revenues:- The Group derives its revenue from three segments viz Software services, IT Infrastructure
services and Business Process Outsourcing services. Segment wise details are given below: (` in Crores) Year ended
Particulars 31 March 2016 30 June 2015 (Nine months) % (Twelve months) % Software services 18,234 59.2 22,179
60.4 IT Infrastructure services 11,074 36.0 12,825 34.9 Business Process Outsourcing services 1,473 4.8 1,697 4.7
Total Revenue 30,781 36,701
HCL Technology Profile ..
Founded in 1976 a pioneer of modern computing that gave birth to the Indian computer industry
Developed the first indigenous micro-computer in 1978, at the same time as Apple
Developed a fine grained UNIX multi-processor in 1988 three years ahead of Sun and HP
Comprises two companies listed in India: HCL Technologies and HCL Infosystems
Offerings include 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 industries
