EBIT margin at 19.6 per cent for FY’20 exceeds the guided range of 19.0 per cent to 19.5 per cent. The board of directors recommended a final dividend of Rs 2 per equity share of Rs 2 for the financial year 2019-20 (FY20).
The management said, FY’20 has been a landmark year, where HCL Technologies witnessed its highest growth in recent years and an industry leading performance for the fourth consecutive year. The compay’s focused Mode 1-2-3 strategy helped deliver an all-round growth across service lines, verticals and geographies and enabled to deliver at the top end of revenue guidance and exceed the top-end of margin guidance for the year, it added.
The company's profit and revenue numbers were better than analysts' expectations. For instance, Emkay Global Financial Services had expected net sales (revenue) to rise 2.3 per cent q-o-q and 16 per cent year-on-year (y-o-y) to Rs 18,552.7 crore. Net profit (profit after tax) was seen at Rs 2,931 crore, up 14.1 per cent y-o-y and down 3.5 per cent q-o-q.
Edelweiss Securities had expected revenue in rupee terms to grow 16.1 per cent y-o-y and 2.3 per cent q-o-q at Rs 18,556.9 crore. EBITDA was expected to fall 1.6 per cent q-o-q but rise 22.3 per cent y-o-y at Rs 4,398 crore. Net profit was estimated at Rs 2,783.5 crore, down 8.6 per cent q-o-q but up 8.1 per cent on y-o-y basis.
At the bourses, a combined 7.4 million equity shares changed hands on the NSE and BSE on Thursday morning.