Hinduja Global Solutions Q3 net profit up nearly 6% to Rs 75.1 crore

CES got a boost from recent client wins and the festive season, the healthcare business saw its growth driven by a strong Open Enrolment season across the US, Jamaica

Hinduja Global Solutions (HGS), the BPO arm of the diversified Hinduja Group, has reported a 5.6 per cent rise in consolidated net profit at Rs 75.1 crore in the December 2020 quarter.

The company had posted a net profit of Rs 71.1 crore in the year-ago period, HGS said in a statement.

Its operating revenue increased 15.2 per cent to Rs 1,456.8 crore in the latest third quarter from Rs 1,264.8 crore in the same period a year ago.

"HGS' results of Q3 FY2021 demonstrate strong revenue growth despite being amid a pandemic. Growth has been driven by the healthcare business as well as our UK business. I am very happy with how we have quickly realigned our operating model to the new normal. These results demonstrate Team HGS' resilience and agility," HGS Whole Time Executive Director and CEO Partha DeSarkar said.

He added that most of the company's business segments, including Healthcare, UK and HGS Digital, did well.

"Healthcare growth was led by the open enrolment season. A key driver of growth has been the number of new logo signings this year and the strong pipeline conversion. We expect sustained demand for our services in coming quarters too. Looking ahead, we are optimistic to close FY2021 on a strong note," he said.

The company has also declared an interim dividend of Rs 6 per share.

As of December 31, 2020, HGS had 244 core BPM clients and 704 HRO/payroll processing clients. Its headcount was at 41,110 at the end of the said quarter.

On like-to-like basis, revenue growth was 11.3 per cent in nine months of FY2021 (excluding pass-through revenues and India Domestic CRM business revenues included in the nine months FY2020 period), the company said.

In November 2019, HGS had announced sale of its India Domestic Customer Relationship Management (CRM) business to Altruist Technologies. The deal was closed in January 2020.