HCL Jumps 2.5% Before Paring Gains After Q3 Results; Dividend Announcement

Shares of HCL Technologies Limited rose as much as 2.5% to Rs 1,052.85 apiece on BSE on Friday before paring gains.

The movement in shares comes after the company reported a 31.1% increase in its net profit for the December-ended quarter at Rs 3,982 crore when compared to Rs 3,037 crore in the same period a year ago. In comparison to the previous quarter, the company's profit grew by 26.7%.

HCL Technologies revenue for the quarter rose 6.4% year-on-year to Rs 19,302 crore when compared to Rs 18,135 crore a year ago.

The company also said on Friday that its board has approved an interim dividend of Rs 4 per share for the financial year 2020-21. It is the 72nd consecutive quarter of dividend payout by the IT firm.

The company crossed the US$ 10 billion milestone in revenue in the calendar year 2020 delivering 3.6% year-on-year growth in constant currency.

The company's EBITDA (earnings before interest, taxes, depreciation, and amortization) for 2020 was at 26.5% and EBIT at 21.5%.

HCL won 13 transformational deals across industry verticals, including Life Sciences and Healthcare,
Technology and Financial Services, the company said in its stock exchange filing on Friday.