HCLTech, a leading global technology company, delivered strong performance for the quarter ended December 31, 2024 with $3.5 billion in USD revenue.
Revenue in constant currency (CC) grew 4.1% YoY and EBIT for the quarter came in at 19.5%. Services revenue for the quarter was up 4.9% YoY (CC) and Digital revenue was up 6.3% YoY (CC). HCLSoftware annual recurring revenue (ARR) came in at $1.02 billion.
The company revised its revenue growth guidance for FY25 to 4.5%-5% (CC) and maintained its EBIT margin guidance at 18%-19% for the year.
“I am pleased that our growth is powered by broad-based performance across business lines as our clients across verticals and geos reaffirm their confidence in our Digital and AI offerings. Our new deal bookings were healthy at $2.1 billion, with wins across services and software. We are positioning ourselves for a future that is transformative, with AI empowering both businesses and employees. We continue to see growing demand for our AI-led propositions across services and software offerings,” said C Vijayakumar, CEO & Managing Director, HCLTech.
The Americas region recorded the highest revenue growth of 6.2% YoY (CC). Europe grew at 2.6% YoY (CC) and the Rest of the World (RoW) grew by 2.9% YoY (CC). Industry vertical growth was led by Telecommunications, Media, Publishing & Entertainment (33% YoY in CC), followed by Retail & CPG (17% YoY in CC) and Technology and Services (7.6% YoY in CC).
The company declared a dividend of ₹18 per share, which includes a special dividend of ₹6 per share to celebrate 25 years of HCLTech’s public listing. This represents the 88th consecutive quarter of dividend payout.
During the quarter, HCLTech hired 2,014 freshers, while attrition (last twelve months) was at 13.2%.
Select Services, GenAI and Software deals won this quarter:
- HCLTech strengthened its capabilities in AI-driven contact center transformation by further expanding its strategic partnership with a US-based global technology company to help transform contact centers with GenAI and cloud-based solutions.
- A Europe-based biopharma major and one of the world’s largest pharmaceutical and biomedical companies selected HCLTech to establish an innovative, enterprise-based digital hub leveraging its platform engineering and GenAI capabilities.
- An Asia-headquartered global civil aviation major selected HCLTech to transform its engineering workstream with iMRO/4, HCLTech's intelligent enterprise asset management solution.
- A leading UK-based retail chain selected HCLSoftware’s Big Fix, Workload Automation, the full suite of HCL DevOps, iControl and iObserve from the HCL DryIce suite and AppScan, to enhance security, infrastructure protection, development processes, software management, automation and digital transformation.
- A US-based biomedical company selected HCLTech to develop a reinforcement learning (RL) agent to optimize medication delivery for Parkinson’s disease.
- A Japan-based semiconductor major selected HCLTech to co-develop a next-gen computing Silicon on Chip (SoC) for automobile industry.
