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Technology Services

HCL Technologies Ltd.

  • 998.00 INR
  • +2.00
  • +0.20%
  • India
    Aug 16, 2018
  • Ticker
    BOM(532281)
  • Prev. close
    996.00
  • Market cap (INR)
    1,386.83B
  • Market cap (USD)
    19,728.46M
  • Shares
    1,392.40M

Company Background

HCL Technologies is a major provider of IT services in India. It is logging rapid earnings growth while trying to catch up with the top three in the domestic sector. It has offices in more than 30 countries and over 100,000 workers on its payroll.

HCL group was established in 1976 in a garage where founder Shiv Nadar, who is now chairman, worked with friends. In 1978, it became the first in India to develop microcomputers. The group dealt mainly in hardware in the 1980s and 1990s but founded HCL Technologies in 1991, latching onto the growth of the nation's IT services industry.

The company's policy is to delegate considerable power to workers, who get active support from managers. It has institutionalized a system that gives lower-ranking employees the opportunity to contribute ideas; the company credits this with fueling growth.

HCL Technologies' leading shareholder is an investment firm, of which Shiv Nadar is an executive. The investment company and the group's holding company together own nearly 60% of HCL Technologies.

The holding company also presides over HCL Infosystems, a listed business that sells hardware.

Business Summary

HCL Technologies Ltd. is a global information technology services company. It operates through the following segments: Software Services; Business Process Outsourcing Services; and Information Technology Services. The Software Services segment provides application development and maintenance, enterprise application, next generation software as a service application services, engineering, and research and development. The Business Process Outsourcing Services segment offers traditional contact centre and help desk services and the next generation services around platform business process as a service. The Information Technology Services segment relates to management services involving customer's information technology assets. The company was founded by Shiv Nadar on November 12, 1991 and is headquartered in Noida, India.

Financial Highlights

Mar 2018 INRUSD
Revenue505,690M7,844.28M
Gross Profit144,820M2,246.45M
Operating income98,630M1,529.95M
Income before tax110,240M1,710.04M
Net income87,210M1,352.80M
EBITDA112,460M1,744.48M
Diluted EPS62.190.96
Dividends Per Share80.12
Total Assets480,230M7,363.04M
Total liabilities116,370M1,784.22M
Total equity363,860M5,578.81M
Operating cash flow----
Currency in INRCurrency in USD

Historical Data

 Jun 2013Jun 2014Mar 2016Mar 2017Mar 2018
Revenue 255,810.60M 321,436.60M 415,144.82M 475,675.30M 505,690M
Gross Profit 81,319.50M 107,268.20M 123,159.29M 135,531.50M 144,820M
Operating income 50,436.80M 73,984.90M 83,439.12M 96,047.40M 98,630M
Income before tax 52,698.90M 79,173.30M 93,237.80M 105,398.50M 110,240M
Net income 40,400.90M 65,095.10M 74,142.25M 86,063.30M 87,210M
EBITDA 56,804.40M 80,793.50M 88,903.91M 104,328.70M 112,460M
Diluted EPS 28.60 45.96 52.53 60.27 62.19
Dividends Per Share 6 5 22 24 8
Total Assets 251,633.40M 340,559.30M 394,165.60M 460,794.10M 480,230M
Total liabilities 119,546.70M 144,487.70M 118,151.30M 129,570.30M 116,370M
Total equity 131,589.80M 195,421.80M 273,907.70M 329,498.50M 363,860M
Operating cash flow 46,161.60M 69,032.50M 44,600.40M 98,305.40M --
 Jun 2013Jun 2014Mar 2016Mar 2017Mar 2018
Revenue 4,663.55M 5,231.68M 6,340.91M 7,093.58M 7,844.28M
Gross Profit 1,482.49M 1,745.89M 1,881.13M 2,021.13M 2,246.45M
Operating income 919.48M 1,204.17M 1,274.44M 1,432.32M 1,529.95M
Income before tax 960.72M 1,288.62M 1,424.11M 1,571.77M 1,710.04M
Net income 736.52M 1,059.48M 1,132.44M 1,283.43M 1,352.80M
EBITDA 1,035.57M 1,314.99M 1,357.91M 1,555.81M 1,744.48M
Diluted EPS 0.52 0.74 0.80 0.89 0.96
Dividends Per Share 0.10 0.08 0.33 0.35 0.12
Total Assets 4,234.47M 5,662.30M 5,952.13M 7,096.23M 7,363.04M
Total liabilities 2,011.72M 2,402.32M 1,784.15M 1,995.38M 1,784.22M
Total equity 2,214.38M 3,249.17M 4,136.17M 5,074.28M 5,578.81M
Operating cash flow 841.54M 1,123.56M 681.22M 1,465.99M --

Valuation Measures

Mar 2018
PER15.57
ROA18.53%
ROE25.15%
Operating margin19.50%
Profit margin17.24%

Key executives

  • Chairman, MD & Chief Strategy Officer: Shiv Nadar
  • President & Chief Executive Officer: C. Vijayakumar
  • Chief Financial Officer: Anil Kumar Chanana
  • CTO & EVP-Information Technology Services: Kalyan Kumar B.
  • Chief Technologist & Vice President: Vikram Duvvoori

Shareholders

  • Vama Sundari Investments (Delhi) Pvt Ltd. (42.7%)
  • NADAR SHIV (16.7%)
  • ICICI Prudential Asset Management Co. Ltd. (1.7%)
  • Artisan Partners LP (1.4%)
  • The Vanguard Group, Inc. (1.3%)
  • Life Insurance Corp. of India (1.3%)
  • BlackRock Fund Advisors (1.2%)
  • ICICI Prudential Life Insurance Co. Ltd. (Invt Port) (0.9%)
  • SBI Funds Management Pvt Ltd. (0.9%)
  • Nomura Asset Management Singapore Ltd. (0.9%)

Contact Details

Related Companies

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  • Volvo Information Technology AB /IT Business/
  • Trygstad Technical Services, Inc. /Assets/
  • HCL Technologies BPO Services Ltd.
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  • PowerTeam, Inc.
  • HCL Australia Services Pty Ltd.
  • HCL Infocom Ltd.
  • HCL Bermuda Ltd.
  • Point to Point Ltd.
  • HCL America, Inc.
  • HCL Axon (Pty) Ltd.
  • HCL EAS Ltd.
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  • Shipara Technologies Ltd.

Competitors

  • Virtusa Corporation
  • Cognizant Technology Solutions Corporation Class A
  • EPAM Systems, Inc.
  • Tieto Oyj
  • NetSol Technologies, Inc.
  • NNIT A/S
  • Globant SA
  • Innodata Inc.
  • Cigniti Technologies Limited
  • AKKA Technologies SE
  • Altran Technologies SA
  • Semcon AB
  • Firstsource Solutions Limited
  • Hinduja Global Solutions Limited
  • Automatic Data Processing, Inc.
  • Singapore Telecommunications Limited
  • Information Services Group, Inc.
  • Verisk Analytics Inc
Last Updated on 16 Aug, 2018

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