HCL Technologies tanks 7% on margin disappointment in December quarter

EBIT margins for services (IT services+ ER&D) were down 190 bps on a QoQ basis.

Shares of HCL Technologies tanked 7 per cent to Rs 1,244 on the BSE in Monday’s intra-day trade after the company Q3 earnings disappointed on the margins front.

In Q3, HCL Tech reported a net profit of Rs 3,442 crore, down 13.6 per cent year-on-year (YoY). Net profit was, however, up 5.4 per cent on a sequential basis. Revenue for the quarter grew 15.7 per cent YoY to Rs 22,331 crore, and rose 8.1 per cent sequentially. On a constant currency basis, HCL Tech’s revenue was up 7.6 per cent sequentially, one of the best quarters in the last