HCL finishes its year with 15 percent growth, 100 million minutes-a-month Teams usage
- Reference: 1588838373
- News link: https://www.theregister.co.uk/2020/05/07/hcl_q4_19_20/
- Source link:
The company today reported Q4 revenue of US$2.543 billion, with EBIT of $531m and net income of $431m. That translates to 0.8 percent revenue growth in constant currency, 3.2 percent EBIT growth and 1.2 percent income growth. Numbers were rather nicer for the full year with revenue of $9.936bn a 15.1 percent annual jump. EBIT was up 15.3 percent to 1.946bn and net income hit 1.554bn, a 7.8 percent jump.
Execs were chuffed at 33 percent growth in the company’s “Mode 2” digital services business and “Mode 3” business that focuses on IP creation alongside clients.
Headcount cracked the 150,000 mark and 96 percent of those are currently working from home, with just 2.5 percent in-office at present. That’s led to the company achieving 100 million real-time minutes per month on Microsoft Teams, which it says demonstrates its “fluid workplace” philosophy is potent and clever.
The company named its move into smaller Indian cities as a highlight for the year, saying that splashing down in locales like Lucknow, Madurai, Nagpur, and Vijayawada has helped to build scale and resilience. In what reads a lot like a nod to the Trump administration, the company noted that 67.7 percent of US-based staff are now locals.
While the company didn’t offer any guidance on future revenue or margin, President and CEO C Vijayakumar said he thinks the company can navigate the current economic turbulence.
“Looking ahead, we are confident that our capabilities, our balanced portfolio, strong client relationships and financial strength will help us navigate this crisis and emerge stronger," he told investors. ®
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[1] https://go.theregister.co.uk/tl/1936/-8579/choosing-a-low-code-vendor?td=wptl1936
Re: Perhaps everyone else gets their "good" resources...
As does every 'cheap' day rate implementer. It's not cheap when you look at TCO, same as calling a bad plumber back to fix what they fudged the first time. Just pay the people who know what they're doing to sort it properly. How do you know who that is? Same as plumbers, go by reputation and/or eyeball them first... no quick wins on this process
Re: Perhaps everyone else gets their "good" resources...
It's a lot cheaper to just pay for articles like this every so often than fix problems.
I have had relatively good/neutral experiences with other Indian companies, like Infosys, Tech Mahindra etc
But HCL I would not wish on my worst enemies. Sorry, but they are the worst. I have had the misfortune of working with UK companies who were offshoring work to HCL. This would result in HCL "consultants" flown in who contributed absolutely zilch and basically used their time and everyone else's time to upskill and train their people to carry out work that they were being contracted to do in the first place. They would call it "onboarding". Oh, but it gets better. Once the consultants were "onboarded" the average retention time was around 3 months. Either they would be flown back to India to work on more valuable projects or the consultant would take the opportunity to apply for a visa and find a better work in the UK. Rinse and repeat. Simple projects would drag out for years.
Best one was when I was teaching an HCL consultant about basic 3PAR features. He was the guy flown in from Bangalore to lead a project to optimise a financial company's storage estate. My company send me in for free because our support org were overwhelmed with his questions. 10 days into the project, the HCL consultant left the company and joined my company as a TC. He sent me a thank you card for being a good teacher.
Perhaps everyone else gets their "good" resources...
Maybe it's just my misfortune or dumb luck of having had to inherit HCL on two separate ERP programmes for different clients; but my overriding experience of them as a company is that in terms of thought leadership, project/programme management and "feet on the ground" implementation skill and knowledge, that they are absolutely hopeless. Worse even than Wipro - and they have taken some beating.
My overriding view on HCL is that they get their contracts by always bidding low (which the end client accountants love) and then they try to actually make their profits via commercial disputes and by the overzealous issuance of CRs.