Revenue for the quarter rose 16.92% year-on-year to Rs 23,464 crore from Rs 20,068 crore in the same quarter last year.
In line with Street’s expectations, the company kept its FY23 constant-currency revenue guidance within the 12-14% range. The Ebit margin forecast also remained unchanged at 18-20%.
Ebit margin for the quarter was 17%, compared to 18% in the March quarter and 19.6% in the prior year quarter.
Ebitda margin was 21.2% compared to 22.4% in March and 25.2% in the June quarter of last year.
The IT major said new contracts won were $2,054 million for the quarter, up 23.4% year-on-year. Of this amount, Services’ total contract value (TCV) was $1,950 million, with seven net contracts completed. TCV revenue was $104 million, including nine net won contracts.
“Our new bookings were up 23.4% year-over-year, supported by a good mix of large and mid-size deals, and our pipeline remains near record highs. Our operating margin was 17%. We have put in place the right measures. this will improve our profitability in the future”, C Vijayakumar, CEO and Managing Director of HCL Technologies.
The highlight of the quarter, said Chief Financial Officer Prateek Aggarwal, was a 19% year-over-year growth in services in terms of CC. Product and platform growth was 1.4% in terms of CC, he said.
This excluded discontinued operations. “Our cash generation continues to be robust with operating cash flow of $2,013 million and free cash flow (FCF) of $1,762 million, on a trailing twelve month basis, with OCF / NI at 112%,” Aggarwal said. The company’s board of directors has approved a dividend of Rs 10 per share in line with its capital allocation policy.