Mon Jan 13 14:50:00 UTC 2025: ## HCLTech Reports Strong Q3 Earnings, Raises Growth Guidance on AI-Driven Demand

**NOIDA, INDIA – January 13, 2025** – HCL Technologies (HCLTech) announced a 5.5% increase in consolidated net profit for the December quarter, reaching ₹4,591 crore (approximately $556 million USD), surpassing the ₹4,350 crore profit reported in the same period last year. The company also raised its revenue growth guidance for the fiscal year to 4.5-5%, up from the previous forecast of 3.5-5%.

Revenue from operations for the quarter totaled ₹29,890 crore, a 5.07% increase year-over-year and a 3.56% sequential increase. This growth was attributed to strong performance across all business lines, fueled by increasing client demand for HCLTech’s digital and AI offerings.

CEO and MD C Vijayakumar highlighted the significant role of artificial intelligence (AI) in driving this growth. He cited a surge in demand for AI-led propositions and noted that several of the company’s largest deals this quarter, totaling $2.1 billion in new bookings, were driven by AI-led transformations. Vijayakumar also emphasized the decreasing cost of AI technologies, making more use cases viable. HCLTech has already deployed two Gen-AI-based solutions internally.

The company’s IT and business segment contributed the most to revenue (71.8%), followed by engineering and R&D services. While HCLSoftware saw strong quarter-on-quarter growth (18.7% in constant currency), it experienced a slight year-on-year decline (2.1%).

Looking ahead, Vijayakumar expressed optimism about increasing IT investments from clients, citing an improvement in the demand environment and discretionary spending. He also noted that the company’s low dependence on H1B visas minimizes potential impact from changes in US immigration policy. HCLTech plans to add 1,000 more employees in the March quarter, following the addition of 2,134 employees this past quarter. Future hiring will focus on specialized skills.

To celebrate its 25th anniversary as a publicly listed company, HCLTech declared a dividend of ₹18 per share, including a special dividend of ₹6 per share. The company’s stock price closed slightly down on Monday.

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