Noida-based information technology giant HCL Technology will declare its Q3 results today. The December quarter is expected to be relatively better for the company.
Here are the key expectations:
- Dollar revenue growth of 2.5 percent is expected, while constant currency revenue growth on a quarter-on-quarter basis should be 1.8-1.9 percent.
- Margins will be on the flatter side as a contribution of products business incremental will be offset by the wage hikes.
- Profits should be up 5 percent, according to CNBC-TV18 poll.
- The current guidance by HCL Technologies for FY20 stands at 15-17 percent for revenues, that includes an organic component of 10-11 percent. The street is divided on whether the company will up the guidance or not.
- Ambit and BNP expect the revenue guidance to be raised by 100 basis points at the lower end. So the new guidance could be 16-17 percent.
- Citi expects the organic guidance to be hiked but the overall guidance to remain unchanged, while Morgan Stanley expects no change in the guidance.
- Margin guidance is likely to be maintained at 18.5-19.5 percent.