HCL Infosystems declares Its FYQ3 Results

HCL Infosystems has announced its financial results for the third quarter ending March 31st, 2013.The consolidated revenue reported by the company is Rs.2,095 crore as compared to Rs.2,606 crore in the last quarter. The company’s Hardware Products and solutions business generated revenue for the quarter ending March 31, 2013 at Rs.816 crore. Revenue from distribution business for the quarter was at Rs.1,149 crore, whereas the revenue achieved from Service business and the Learning business for the quarter was Rs.47 crore and Rs.18 crore showing an increase of 8% and 33%, respectively.

Harsh Chitale, CEO, HCL Infosystems, said, “The decline in our revenues this quarter was primarily due to a dip in our telecom distribution business as also a stagnant Personal Computer Industry which impacted our revenues in this segment. Enterprise Services grew by 11%; Non-Telecom Distribution grew by 34%; Mobility numbers rose by 50% and Learning by 33% q-o-q. I am happy to note that we have been able to create a leaner organization as there is a significant improvement in terms of efficiency and cost optimization to the tune of around Rs.40 crore on an annualized basis.”

The consolidated net income from ordinary activities before finance cost and provision for doubtful debts grew to Rs.39.3 crore for the quarter ended March 31, 2013 as against Rs.0.4 crore in the last quarter. The IT and DE Distribution revenue grew by a healthy 87% y-o-y, while on the other hand the telecom distribution business registered a decline of 26% q-o-q.

In this quarter, HCL’s Learning division launched EasySchool and also bagged its first international content licensing deal in South Africa.