Business

Tuesday August 25, 2009

HCL Technologies quarterly profit surges 110%


MUMBAI, India Indian software services firm HCL Technologies Ltd. said quarterly profits surged by 110 percent in dollar terms, as media, infrastructure and Asia-Pacific business pulled the company out of last quarter's slump.

HCL said Tuesday that it earned 3.3 billion rupees ($68.9 million) in net income during the quarter ended June 30, up from $32.8 million in the same period a year earlier, a 110 percent increase in dollar terms.

Revenue was 29.1 billion rupees ($607 million), up from $501.7 million a year earlier, a 21 percent increase in dollar terms.

"The past year has been remarkable for us. We have posted industry leading growth while expanding margins at the same time," chief executive Vineet Nayar said in a statement.

The results, which beat expectations, represent a strong turnaround from last quarter, when profits plunged by nearly half as the company battled foreign exchange losses, lower prices, and declining demand from financial services and telecom customers.

The company said it added net 14 clients during the quarter, winning new deals with Dr. Pepper Snapple Group, Sony Corp, Nokia Corp, and Agilent Technologies, among others.

HCL added net 190 employees during the quarter, bringing its global headcount to 54,216.

The stock was up 5.0 percent, at 304.5 rupees a share, in midmorning trade on the Bombay Stock Exchange. - AP


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