HCL Infosystems Delivers Positive Momentum in Revenue Growth Across all Businesses in Q4 2015

NEW DELHI, August 20, 2015 /PRNewswire/ --

Quarter on Quarter Business Highlights  

• Q4 Revenue increases 22% over Q3 to reach Rs. 1,685 Crore (increase of Rs. 309 Crore)
• Services business registered 3.4% Q-o-Q revenue growth
o Consumer Services business registered 13% Q-o-Q revenue growth
• Consumer distribution business registered 26% Q-o-Q revenue growth
• Enterprise distribution business registered 31% Q-o-Q revenue growth
• PBT improved from Rs. (45.3) Cr in Q3 to Rs. (39.7) Cr in Q4

Year on Year Business Highlights  

• Services business registered 27% Y-o-Y revenue growth
o Consumer Services business registered 136% Y-o-Y revenue growth
• Consumer distribution business registered (25%) Y-o-Y revenue growth
• Enterprise distribution business registered 19% Y-o-Y revenue growth
• SI continued its focus on execution - orders worth Rs. 982 Cr. executed during the year
• Profit / (Loss) before interest and taxes was Rs. (30.8) Cr after provisions of Rs. 108. Cr. for the year

HCL Infosystems, India's Premier Distribution, IT Services and Solutions Company, today announced its financial results for the fourth quarter and financial year ended June 30, 2015.

Mr. Premkumar, Executive Vice-Chairman and Managing Director, HCL Infosystems Ltd., commenting on the results, said, "In this financial year, our business model transformation has gained further momentum along our focus businesses of Services and Distribution. In both these businesses we have achieved robust traction during the year. The trajectory for business growth has been firmly set through improved business alignments, alliances and operational efficiencies that we have driven."

Distribution Business:  

Consumer Distribution revenue registered a growth of 26% Q-o-Q, backed by strong demand in the rural segment. However, the business registered 25% decline in Y-o-Y revenue due to product rationalization by a major principal. In the AMJ 2015 quarter, the Telecom Distribution business witnessed healthy growth both in the value & volume categories with the entry category achieving 24% and the Windows phone category registered 33% growth over Q3. The business continued expanding its distribution footprint by increasing the number of distributors by 12% during the AMJ quarter.

The Consumer distribution business continues to expand its channel footprint through more vendor and e-tailer relationships.

Enterprise Distribution business continued to expand its OEM partnerships and grew 19% Y-o-Y in FY15. Channel expansion and capability building remains the focus.

Services Business:  

In FY15, Services business, consisting of Enterprise and Consumer Services, achieved 27% Y-o-Y growth on the back of strong business traction in the Indian and overseas markets.

• Enterprise Services
Enterprise Services' business generated revenues of Rs.769 Crores in FY15 compared to Rs. 654 Crore in FY14, registering a growth of 17% Y-o-Y. We continued to invest in building capabilities and expanding portfolio across traditional and emerging sectors.

• Consumer Services
The Consumer Services business continued delivering consistent service excellence and created new benchmarks. This translated into key deals with major OEMs, enabling the business to clock 136% revenue growth during FY15.

HCL Learning  

The business transitioned to asset light model and successfully grew content revenues. It registered a Q-o-Q growth of 24% and is expanding the portfolio through new offerings.

System Integration (SI)
The SI business continued to work across sectors in major mission-critical projects. The Unique Identification Authority of India project (Aadhaar) progressed on track, enrolling over 87.50 crore citizens under the program till end of AMJ quarter FY15. The business is well poised to leverage its competencies for the key Government of India initiatives, like Smart City, Digital India, Financial Inclusion and major Defense programs.

Financial Inclusion (FI)
FI business received impetus from the Indian Government's flagship financial inclusion programme - Pradhan Mantri Jan Dhan Yojana. During the year, FI business registered 60% growth in Y-o-Y revenue growth.

Awards & Recognitions during AMJ FY2014-15  

• HCL Learning, a wholly-owned subsidiary of HCL Infosystems, was acknowledged for 'Quality Excellence in Learning Outcomes' at the World Quality Congress Awards held in Mumbai.

• HCL Infosystems won the 'Best Achievement of Integrating Lean and Six Sigma' award at the World Quality Congress. At the same forum, Anand Prakash, Vice President - Quality, HCL Infosystems, was honoured with the 'Quality Leadership Award'.

• HCL Infotech, a wholly-owned subsidiary of HCL Infosystems, won two prestigious Skoch Order-of-Merit Awards for its outstanding contribution as a technology infrastructure and service partner to nationalized and regional banks.

• HCL Services, a wholly-owned subsidiary of HCL Infosystems, was awarded the "IT Service Provider of the Year" by Frost & Sullivan India in recognition of its consistent service excellence and business performance in 2014.

About HCL Infosystems  

HCL Infosystems is India's premier IT services, solutions & distribution company, enabling organizations to attain and sustain competitive advantage by leveraging information and communication technologies. It is a leader in IT services & solutions with a comprehensive portfolio of capabilities spanning IT and system integration services and digitally-enabled learning and career development solutions to value-added distribution of technology and mobility products. For more information, please visit us at www.hclinfosystems.in .

About HCL  

Founded in 1976 as one of India's original IT garage start-ups, today the HCL Group has expanded to four companies in India - HCL Infosystems, HCL Technologies, HCL Healthcare and HCL TalentCare. The group generates annual revenues of over US$ 6.5 billion with more than 105,000 employees from 100 nationalities operating across 31 countries, including over 500 points of presence in India. A pioneer of modern computing, HCL has many firsts to its credit including the introduction of the 8-bit microprocessor-based computer in 1978 well before its global peers.

HCL's technology solutions cover the entire gamut of services that include infrastructure management, application development, and BPO and technology distribution. A new entrant in Healthcare, HCL aims to provide innovative medical services, products and training to meet the growing demand for quality healthcare in India. HCL Avitas, in affiliation with Johns Hopkins Medicine International, is the healthcare delivery arm of HCL Healthcare. HCL TalentCare is envisioned as an integrated talent solutions company addressing the entire spectrum of employability needs in India. For further information, visit www.hcl.com .

Media Contact:
Tanay Gogoi
[email protected]
+91-9971179400
Head - Corporate Communications
HCL Infosystems Ltd.