HCL Tech shares tumble 10 pc; market valuation erodes by Rs 46,987 cr post earnings announcement

| | New Delhi
  • 0

HCL Tech shares tumble 10 pc; market valuation erodes by Rs 46,987 cr post earnings announcement

Tuesday, 14 January 2025 | PTI | New Delhi

HCL Tech shares tumble 10 pc; market valuation erodes by Rs 46,987 cr post earnings announcement

Shares of IT company HCL Tech on Tuesday slumped nearly 10 per cent after the company's December quarter earnings failed to cheer investors.

The stock tanked 9.41 per cent to Rs 1,798.40 on the BSE.

At the NSE, it dropped 9.63 per cent to Rs 1,797.75.

The stock emerged as the biggest laggard among the BSE Sensex and NSE Nifty firms.

Its market valuation eroded by Rs 46,987.11 crore to Rs 4,91,743.25 crore during the morning trade.

"HCLT's 3Q numbers and 4Q guidance were underwhelming," according to Motilal Oswal Research.

Other IT stock like Tech Mahindra, Infosys and Tata Consultancy Services were also trading lower.

"HCL Tech reported decent revenue growth of 3.8% q-o-q in cc but missed our estimates of 4.8% q-o-q in cc with largely broad performance across geos and verticals," Shaji Nair, Research Analyst, Capital Market Strategy, Mirae Asset Sharekhan, said.

IT company HCL Tech on Monday reported a 5.54 per cent uptick in consolidated net profit to Rs 4,591 crore for the December quarter as the CEO expressed optimism for improvement in the demand environment and discretionary spending and raised the revenue growth guidance.

The Noida-headquartered firm had reported a profit of Rs 4,350 crore in the year-ago period, according to a regulatory filing.

The company raised the lower end of its growth guidance to 4.5-5 per cent, from 3.5-5 per cent earlier.

Revenue from operations for the quarter under review came in at Rs 29,890 crore, 5.07 per cent higher than Rs 28,446 crore in the third quarter of the current fiscal year.

Sequentially, profit and revenue rose 8.4 per cent and 3.56 per cent, respectively.

Sunday Edition

Trump's Second Term: A new dawn for Indo-US relations

09 February 2025 | ANOOP BOSE | Agenda

Dumplings to dragon dance

09 February 2025 | Abhi Singhal | Agenda

Royal Flavours of Mughlai Cuisine

09 February 2025 | Abhi Singhal | Agenda

Swaad-e-dilli

09 February 2025 | SAKSHI PRIYA | Agenda

Serene Retreat in the Aravallis

09 February 2025 | Pawan Soni | Agenda