HCL Technologies, India’s third-largest software exporter, reported a 19% year-on-year (YoY) increase in net profit at Rs 4,096 crore ($547 million) for Q3, compared to Rs 3,442 crore in the same quarter last year. The company’s revenue for the quarter also rose 19.6% YoY to Rs 26,700 crore ($3,569 million), and dollar revenue was $3,244 million, up 5.3% QoQ and 9% YoY. EBIT margin for the quarter was 19.6%, an increase of 165 basis points from the previous quarter.

The company announced an interim dividend of Rs 10 per share, which they stated is the 80th consecutive quarter of dividend payouts for a total of 20 years. The record date for the payment is set for January 20, with the payment date being February 1.

HCL Tech has forecasted a revenue growth of 13.5-14.0% (in constant currency) for FY23. Additionally, the company expects services revenue growth to be in the range of 16-16.5% (in constant currency) for the same fiscal year. EBIT margin guidance has been narrowed to 18-18.5%, as per a press release from the company.

Vijayakumar, the CEO and Managing Director, announced that the company had a strong performance in all key areas such as revenue growth, margin expansion, booking growth, and people metrics. He also added that the company’s revenue growth of 13.1% YoY (in constant currency) was primarily driven by the Services business, which grew by 15.4% YoY (in constant currency) and the strong revenue growth of 5% QoQ (in constant currency) was driven by HCL Software. The company’s margins were at 19.6% this quarter, which is a 60 basis point increase YoY, Vijaykumar added.

Vijaykumar stated that new deals for the quarter amounted to $2.35 billion, a 10% increase YoY. He also mentioned that HCL Tech secured 17 large deals during the quarter, including 7 deals in Services and 10 in Software. He also said that the average contract value increased by 1.9% YoY. He also highlighted that the growth in bookings was driven by IT operating model transformation, cloud adoption, and large vendor consolidation deals. He expressed confidence in delivering industry-leading growth in the medium term due to the company’s positioning, strong propositions, and dedicated employees.