HCL Technologies Posts Strong Revenue Growth in Q3 '11

NOIDA, India, April 20, 2011 /PRNewswire-FirstCall/ --

- Revenues at US$ 915 mn; up 33.5% YoY, Net Income Rises 16.5% QoQ

- Americas Business Grew by 21.8% YoY in Q3 '11

HCL Technologies Ltd. (HCL), a leading global IT services provider, today announced results for the 3rd quarter of FY 2010-11. HCL's global revenues increased by 33.5% YoY to US$ 915 mn, while net income rose 16.5% sequentially.

HCL Americas posted YoY growth of 21.8% propelled by transformational deals across vertical markets led by healthcare and consumer services.

Commenting on the quarterly results for the Americas, Dr. Shami Khorana, President, HCL Americas, said, "Leveraging on our strong capabilities and global delivery centers, we have won significant transformational deals this quarter. We have also expanded our Latin American footprint by opening a new centre in Mexico and we continue to generate more than 50% of HCLT's overall revenues from the US geography."

The key Americas highlights from this quarter include:

- HCL opened a delivery center in Guadalajara, Mexico. The opening of this new center is in line with HCL's strategy to expand its global delivery footprints worldwide.

- HCL has been positioned as a Leader in a recently published Gartner report titled 'Magic Quadrant for Help Desk Outsourcing, North America' by William Maurer, Bryan Britz, Helen Huntley and David Edward Ackerman, 29 March 2011" (The Magic Quadrant is copyrighted 2011 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose).

- TPI has named HCL among the Top 15 Service Providers by total contract value (TCV) in the Americas in its report titled The TPI Index: An Informed View of the State of the Global Commercial Outsourcing Market Fourth Quarter and Full Year 2010, published on Jan 20, 2011.

- HCL won a deal to support the investment management operations of a Fortune 200 integrated financial services firm from its delivery center in Raleigh, North Carolina.

- HCL signed a multi-year managed services contract with a leading telecom local exchange carrier in the US. This deal covers the entire IT application landscape, including ADM/ASM managed services, in an optimized global delivery model.

- A leading wireless carrier in the US has signed a multi-million dollar contract with HCL. The deal scope encompasses architecture, design and development of SOA based web services for its 30+ million customers. These SOA based web applications would be accessed by the carrier's retail outlets across the US.

- HCL has been chosen by a leading US-based CPG company to modernize its IT landscape using SOA.

- HCL has been chosen as a preferred partner by a leading federation that provides healthcare coverage to a third of Americans. HCL will enable at least fifteen of the forty member plans across the country to make the transition to ICD-10.

- HCL has won a multi-million strategic engagement with a leading Pharma company's Manufacturing, R&D, and Medical business technology. HCL will support and maintain some of the critical applications and operations covering areas like Pre-clinical, Clinical, Safety, MRP, RCS, LIMS, and Quality applications across global locations.

- Novarica, a division of Novantas LLC, a leading management consultancy and information services provider for the financial services industries has recognized HCL as one of the major IT services providers to North American banks in a report titled 'Novarica Market Navigator' published in February, 2011.

- HCL Technologies has signed a Partnership agreement with Guidewire, USA. This partnership enhances HCL's status as an 'AFFILIATE' partner to Guidewire. The 'AFFILIATE' partnership program will strengthen our existing implementation experience spanning each of the products in the Guidewire Insurance Suite(TM): ClaimCenter(TM), PolicyCenter(TM) and BillingCenter(TM)

- HCL launched ACE(TM) SmartCare(c), a clinical decision support solution, developed in collaboration with Orlando Health. This customizable mobile device-enabled solution featuring unified messaging through voice, data alerts and notifications across clinical settings helps providers deliver improved, intelligent, and impactful care.

Q3 FY 2011 Financial Highlights for HCL Technologies

- Q3 Revenues at US$ 915 mn; up 5.8% QoQ & 33.5% YoY

- Net Income crossed $ 100 mn/quarter milestone to reach $ 103 mn; up 16.5% QoQ & 35.0% YoY

- Gross & Net Employee addition of 7,534 & 1,153 respectively taking total headcount to 73,420

Q3 FY 2011 Financial Highlights for Americas

- Americas post 21.8% YoY revenue growth

- Americas' contribution to overall HCLT's revenue during the quarter is 54.3%

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, Customer Second' which empowers our 73,420 transformers to create a real value for the customers. HCL Technologies, along with its subsidiaries, had consolidated revenues of US$ 3.3 billion (Rs. 15,160 crores), as on 31 March 2011 (on LTM basis). For more information, please visit http://www.hcltech.com.

About HCL

HCL is a $5.7 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 79,000 professionals of diverse nationalities, who operate from 31 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 http://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.

    For details contact
    Avena Suri
    [email protected]
    +91-9650006381

    Danielle Millerick
    [email protected]
    +1-978-666-4766

SOURCE HCL Technologies