HCL topples Wipro to become 3rd big IT services firm

HCL Technologies has toppled Wipro to become the third-largest software services company in India in terms of dollar revenue, clocking a topline of $2.05 billion during the June quarter.

The IT services revenue of Wipro during the same quarter was $2.02 billion.

Tata Consultancy Services and Infosys are the two larger Indian IT services firms with revenues of $5.05 billion and $2.83 billion, respectively in the June 2018 quarter.

HCL Technologies expects its dollar revenue to grow between 8.4% to 10.4% in dollar terms in FY2018-19. Wipro, on the other hand, does not issue a full-year revenue outlook.

During the June 2018 quarter, HCL Technologies saw its net income grow 5.7% to $356 million, while revenue increased 9% to $2.05 billion compared to the same period last year.

In rupee terms, the company reported a 10% increase in consolidated net profit at Rs 2,431 crore for the first quarter ended June 30, 2018.

The company had posted a net profit of Rs 2,210 crore in the year-ago period (as per Indian Accounting Standards), HCL Technologies said in a BSE filing.

Its consolidated revenues from operations grew 14.2% to Rs 13,878 crore in April-June 2018 as against Rs 12,149 crore in the same quarter of 2017-18.

In dollar terms, the company's net profit increased 5.7% to $356 million in the reported quarter, while revenues grew 9% to $2.05 billion.

The Noida-based company said it had witnessed broad-based growth driven by Technology and Services (36%), Lifesciences and Healthcare (10.2%), Financial Services (9%) and Retail and CPG (7%) on LTM (last twelve months) constant currency basis.

HCL Technologies said it signed 27 transformational deals during the quarter, led by strong momentum in telecom, financial services, retail - CPG and energy and utilities verticals.

"We achieved highest-ever bookings in this quarter led by our next-gen Infrastructure services as well as Mode 2 offerings. Our combined Mode 2 and 3 offerings contributed 26.6% of our revenues and it grew 9.6% quarter-on-quarter," HCL Technologies President and CEO C Vijayakumar said.

The company will continue to invest in its next-generation portfolio to help enterprises build their digital future, he added.