HCL Tech expects its revenue to grow over 3.5 percent on a quarter-on-quarter (QoQ) basis in constant currency as it sees momentum across all verticals. The company also expects its operating margin to increase and to be between 20.5-21 percent.
This is higher than the 1.5-2.5 percent band the company had given for the quarter ending in June. Operating margin guidance was expected to be between 19.5-20.5 percent for FY21.
In a statement, the company said that this growth has come at the back of good deal bookings led by life sciences and healthcare, telecom and media and financial services verticals. The company said that it has also seen strong execution so far and expect it to continue for the rest of the quarter.
For the quarter ending June, the company registered $2356 million in revenues, down 7.4 percent QoQ. Its products and platforms grew 77 percent on a year-on-year (YoY) basis.
In an interaction with Moneycontrol, C Vijayakumar said that the company expects recovery from fourth quarter or beginning of Q1 FY22 primarily driven by digital.
“Anyone recognizes that technology is the core to reinvent the business. But I think this pandemic has brought so much attention to tech just to enable the survival of the business. Even for the basic, technology has become such a fundamental component. So the interest to know and understand the technology infrastructure at the executive level has gone up,” he said during the interview.
“This obviously means that the propensity to spend, improve, enhance and create resilient technology infrastructure has gone up significantly,” he added.
For the quarter ending in June, the company registered 11 new transformational deals. Vijayakumar pointed out that new bookings were higher compared to the same quarter in FY20.
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