HCLTech Reports FY24 Revenue of $13.3 Billion, up 5.4% YoY
April 26 2024 - 4:06PM
Business Wire
Well positioned to capitalize with its AI-led
propositions, global delivery model and ideal mix of technology
services and products
HCLTech, a leading global technology company, today reported
financial results for the fourth quarter and the full year ended
March 31, 2024.
The company reported full year revenue of $13.3 billion, up 5.4%
YoY. Digital Services revenue grew by 5.3% (CC) and now contributes
to 37.3% of IT Services revenue. HCLSoftware’s Annual Recurring
Revenue came in at $1.02 billion. During FY24, the company won 73
large deals – 36 in Services and 37 in Software - that translated
into TCV (new deal wins) of $9.76 billion, up 10% YoY.
For the quarter, revenue came in at $3.43 billion, up 6% YoY.
HCLTech won 21 large deals – 13 in Services and eight in Software,
with a TCV of $2.29 billion during the quarter.
In terms of geographies, Americas was the fastest growing region
with 6.8% YoY (CC) growth followed by Europe, which grew by 5.5%
YoY (CC).
Industry vertical growth was led by Financial Services and
Telecommunications, Media, Publishing & Entertainment. While
Financial Services grew at 12.1% YoY CC for the full year, the
Telecommunications, Media, Publishing & Entertainment vertical
recorded 39.2% growth (YoY) during the quarter.
The company announced a dividend of ₹18/share for the quarter,
bringing the total to ₹52/share for FY24.
HCLTech’s total people count at the end of the quarter stood at
227,481. The company hired a total of 12,141 freshers during the
full year. LTM attrition further moderated to 12.4% from 19.5%.
“HCLTech continues to lead the industry in FY24 with good USD
revenue growth of 5.4% YoY during challenging times through our
strong commitment to our clients and our people. More importantly,
we have translated this growth into even higher value creation for
our shareholders with our OCF (operating cashflow) coming at $2,711
million, up 21.6% YoY and FCF (free cashflow) at $2,584 million, up
27.7% YoY. As we look ahead, global enterprise technology spend
will only grow with adoption of AI. We are well positioned to
capitalize with our AI-led propositions, global delivery model and
ideal mix of technology services and products,” said C Vijayakumar,
CEO & Managing Director, HCLTech.
For FY25, the company has given a guidance of 3%-5% revenue
growth YoY (CC) and EBIT margin at 18%-19%.
“HCLTech’s FY24 performance underlines the resilience of our
business model with revenue at ₹109,913 crore, growing 8.3%. We
delivered this industry-leading growth with EBIT at ₹20,027 crore,
up 8.4%. Net Income (NI) for the year came in at ₹15,702 crore, up
5.7%, translating to an EPS of ₹57.86,” added Prateek Aggarwal,
Chief Financial Officer, HCLTech.
HCLTech is witnessing strong growth in cloud and cybersecurity.
AI and GenAI are key areas of focus and the company recently
launched HCLTech AI Force, an innovative GenAI platform that
accelerates time-to-value by transforming the software development
and engineering lifecycle, delivering greater productivity,
improved quality and faster release timelines. It is system
agnostic and offers a highly customizable suite of GenAI-based
solutions that inject intelligence into software development and
engineering workflows to improve efficiency and developer
experience.
Among the select GenAI deals that HCLTech won in the quarter
are:
- A US-based biopharmaceutical company selected HCLTech to
leverage GenAI and data engineering to automate the extraction of
structured and unstructured data from diverse sources.
- A US-based financial services provider selected HCLTech to
migrate its existing machine learning models to new-age GenAI
platforms for greater agility, improvement and innovation in
service delivery.
HCLTech was recognized by Ethisphere as one of the World’s Most
Ethical Companies in 2024. Other key recognitions that HCLTech
received in Q4 FY24 are:
- Rated AA in the MSCI ESG ratings for the second consecutive
year
- Included in the S&P Global Sustainability Yearbook 2024 for
the second year in a row
- Rated as the fastest-growing IT services brand with 15.9% YoY
growth in brand value among the top 10 IT companies globally, as
per the 2024 Brand Finance Global 500 and IT Services Top 25
Report.
About HCLTech
HCLTech is a global technology company, home to more than
227,000 people across 60 countries, delivering industry-leading
capabilities centered around digital, engineering, cloud and AI,
powered by a broad portfolio of technology services and products.
We work with clients across all major verticals, providing industry
solutions for Financial Services, Manufacturing, Life Sciences and
Healthcare, Technology and Services, Telecom and Media, Retail and
CPG, and Public Services. Consolidated revenues as of 12 months
ending March 2024 totaled $13.3 billion. To learn how we can
supercharge progress for you, visit hcltech.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20240426991009/en/
Meenakshi Benjwal, Americas meenakshi.benjwal@hcl.com
Elka Ghudial, EMEA elka.ghudial@hcl.com
James Galvin, ANZ james.galvin@hcl.com
Siddhartha Bhatnagar, India bhatnagars@hcl.com