Earnings: TCS, Infosys, HCL Technologies

  • Despite the global economic uncertainties leading tech services providers from India continue to win new clients and add staff.

    Infosys Ltd increased 0.8% to ₹1,482.95 in Mumbai trading after the company reported net income increased 13%. 

    Infosys said revenue in the fiscal third quarter ending in December increased 20% to ₹38,318 crore and net profit rose 13.4% to ₹6,586 crore or earnings per share of ₹15.72.

    In New York trading, Infosys Ltd ADR increased 0.6% to $18.23 after the India-based tech services provider reported December quarter revenue increased 9.6% to $4.66 billion. 

    Net income in the quarter increased to $800 million from $774 million and diluted earnings per share rose to 19 cents from 18 cents a year ago. 

    The  company also said it initiated its stock repurchase program on December 7 and as of today acquired 31.3 million or $600 million worth of its stock. 

    The company has acquired 51.5% of total authorization of ₹9,300 crore (about $1.15 billion) at an average price of ₹1,531 per share (or $18.80), compared to maximum buyback price of ₹1,850 per share (or $22.70).

    Infosys said its attrition rate on an annual basis declined to 24.3% at the end of the fiscal third quarter from 27.1% at the end of fiscal second quarter ending in September.  

    Infosys said total headcount increased 54,778 to 292,067.  

    Cognizant Technology Solutions Corp soared 8.1% to $66.44 in New York trading after the company appointed former Infosys president Ravi Kumar as chief executive and a member of the board. 

    The company also raised its estimate for the fourth quarter to $4.8 billion from the previous range between $4.72 billion and $4.77 billion. 

    The company also estimated full-year 2022 adjusted earnings per share between $4.38 and $4.40 from the previous guidance between $4.43 and $4.46. 

    HCL Technologies Ltd increased 1.7% to ₹1,072.50 after the company reported a rise in sales and earnings in its fiscal third quarter ending in December. 

    Revenue increased 19.6% to ₹26,700 crore and net income increased 19% to ₹4,096 crore and diluted earnings per share rose 3.7% to ₹50.94.

    HCL Tech added 5,892 net new employees and increased the total count to 222,270.  

    Tata Consultancy Services Limited rose 0.3% to ₹3,337.55 after the company reported weaker-than-expected earnings in the December quarter. 

    Revenue in the fiscal third quarter ending in December increased 19.1% to ₹58,229 crore and rose 13.5% in constant currency. 

    Net income in the quarter increased 11% from a year ago to ₹10,846 crore. 

    TCS reported operating margin of 24.5% and net margin of 18.6% and the company board announced ₹75 a share dividend, including special dividend of ₹67. 

    TCS said its attrition rate edged lower to 21.3% for the last twelve months at the end of December and headcount declined 2,197 to 613,974. 

Annual Returns

Company Ticker 2023 2022 2021
Infosys Ltd. INFY 5% -20% 70%
Hcl Technologies Ltd. HCLTECH 10% -21% 64%
Tata Consultancy Services Ltd. TCS 6% -13% 42%