Hexaware Tech Q2 net profit surges 25% to Rs 153 cr

Mid-sized IT services firm Hexaware Technologies today said it has posted 25.4 per cent rise in consolidated net profit to Rs 153.6 crore for the quarter ended June 30.

The company's net profit stood at Rs 122.4 crore in the same quarter last year, Hexaware said in a statement.

Its revenues increased 15.6 per cent to Rs 1,136.7 crore in the reported quarter from Rs 983.6 crore in the corresponding period last fiscal.

In dollar terms, the net profit was up 19.5 per cent to USD 22.7 million, while revenue grew 10.3 per cent to USD 168.3 million year-on-year in the quarter under review.

"Hexaware has delivered yet another consistent performance with revenue growth of 3.8 per cent quarter-on-quarter and 4.7 per cent q-o-q in constant currency, which is an evidence of our successful strategy of Automate Everything, Cloudify Everything and Transform Customer Experience," Hexaware Technologies Chairman Atul Nishar said.

The company has also revised its revenue growth forecast from 12 per cent to 13 per cent and expects earnings per share to increase by 14 per cent from the earlier guidance of 13 per cent.

"We continue to consistently deliver robust organic growth and are pleased to increase growth guidance for the year," Hexaware Technologies CEO and Executive Director R Srikrishna said.

Americas led geographic growth with 6.2 per cent sequential growth, while Europe grew 5.4 per cent q-o-q. Americas contributed 77 per cent of the revenues, while Europe and Asia Pacific accounted for 12.7 per cent and 10.3 per cent, respectively.

Infrastructure Management Services (IMS) grew at 37 per cent y-o-y, while Business Process Services (BPS) delivered 11.5 per cent y-o-y growth this quarter.

The company signed four new clients in the second quarter of 2018 with total contract value (TCV) of USD 41 million.

At the end of June 2018, the company's headcount stood at 15,357 with an addition of 738 people during the three-month period. The attrition rate stood at 14.4 per cent.

Cash and cash equivalents at the end of June quarter were at Rs 742 crore. The Board of Directors has declared an interim dividend of Rs 2.50 per share (125 per cent) on equity shares of Rs 2 each.