Shares of IT major HCLTech slipped over 3% in trade today (April 29) on the back of a disappointing set of Q4 results. The company’s net profit in Q4 declined 8.4% on a QoQ basis to Rs 3,986 crore against Rs 4,350 crore in the previous quarter. HCLTech share price hit an intraday low of Rs 1,399 as of 9:30 AM.
HCLTech’s Q4 revenue came in at Rs 28,499 crore against Rs 28,446 crore, largely flat. The company’s EBIT margin also declined to 17.6% from 19.7% in the previous quarter. The major disappointment was on the guidance front as the company has guided for a 3-5% growth for FY25 against expectations of 5-7%.
Brokerage firm Jefferies has cut its target price for HCLTech shares to Rs 1,390 from Rs 1,500 earlier with a Hold rating. The brokerage believes that weak growth will cap upside for the company. Seperately, Kotak has also cut its target price for HCLTech to Rs 1,600 from Rs 1,730 earlier. Kotak believes that the constant currency revenue growth will be 4.9% in FY25 vs 6.8% earlier.
