HCL Technologies reports third quarter consolidated net profit at Rs 2,070 crore, up 7.8 percent year-on-year

India's fourth-largest software services exporter HCL Technologies reported a rise of 7.8 percent in consolidated net profit for the third quarter ended December 2016. The firm reported a consolidated net profit at Rs 2,070 crore for third quarter of 2016.

The software giant had posted a net profit of Rs 1,920 crore in the year-ago period, it said in a BSE filing.

Consolidated revenues grew 14.2 per cent to Rs 11,814crore in October-December as against Rs 10,341 crore in the same quarter of 2015-16.

In dollar terms, the company's net profit increased 5.2per cent to USD 306 million in the reported quarter while revenues grew 11.4 per cent to USD 1.74 billion.

The company had guided for its 2016-17 revenues to grow12-14 per cent (based on average exchange rates for 2016-17),which translates into 10-12 per cent in USD terms based onDecember 31, 2016 exchange rates.

"We expect our FY17 revenues to be in the middle of this range," the company said.

It added that the acquisitions and IP-led partnerships announced after September 30, 2016, are likely to additionally contribute 0.6-1 per cent in revenues, depending on the date of consummation of the Geometric deal.

 HCL Tech had announced the acquisition of Geometric inApril last year in a USD 200-million share swap deal.

"We continue our robust financial performance with a revenue growth of 3 per cent q-o-q and 13.8 per cent y-o-y inconstant currency terms. The richness in our offerings coupled with our Mode 1-2-3 growth strategy is helping us gain a higher share of our clients' wallet reflected in the increasing revenue contribution from our Top 5, Top 10 and Top20 customers," HCL Technologies President and CEO CVijayakumar said.

Revenues from fixed price and managed services contracts increased to 63.2 per cent this quarter from 61.3 per cent further strengthening the success in an outcome-based business model, he added.

HCL Tech reported broad-based growth across all revenue segments with the Americas and Europe growing by 13.6 per cent and 17.6 per cent, respectively, year-on-year. For the quarter to December, HCL Technologies had cash and cash equivalents of Rs 2,214.5 crore.