HCL Tech PAT seen 6.75% down at Rs 825 crore

MUMBAI: HCL Technologies is likely to report a 6.75 per cent decline in net profit to Rs 825.2 crore for the quarter ended December 2012 compared to a net profit of Rs 885 crore in the previous quarter, says an ET Now poll.

The IT major’s revenues in dollar terms are likely to be $1142.65 million, up 2.6 per cent, against $1113.7 million, quarter-on-quarter (QoQ) while revenues in rupee terms are likely to be at Rs 6201.4 crore, up 1.8 per cent, compared to Rs 6,091 crore, (QoQ).

According to the poll, HCL Tech’s EBITDA is expected to be Rs 1,248 crore, down 7.63 per cent, against Rs 1351.1 crore, (QoQ) and EBIDTA margin is seen at 20.13 per cent vs 22.18 per cent, (QoQ).

Expectations from Q2FY13 results:

5 per cent QoQ growth in IMS business (27 per cent of revenues) to drive growth

BPO likely to grow at 3 per cent

Margins are likely to decrease meaningfully due to salary hikes, increase in sales & marketing investments

Estimate $4.5 million forex loss vs $11 million forex loss in Q1

Management likely to guide for strong demand environment for ‘run-the business’ spending

Factors to watch:

Commentary on deal wins, performance

Comments on operating margins