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HCL Technologies shares slump nearly 9% as Q1 earnings lag estimates

Shares of the IT services major tumbled 8.78 per cent to Rs 1,510.60 on the Bombay Stock Exchange. The company's stock was the biggest loser among the 50-Nifty scrips.

(Photo: Reuters) (Photo: Reuters)

HCL Technologies shares plunged nearly 9 per cent on Friday after the company's consolidated net profit for the first quarter ended September 30, which rose by over 32 per cent, lagged estimates.

The firm follows July-June as the fiscal year.

Shares of the IT services major tumbled 8.78 per cent to Rs 1,510.60 on the Bombay Stock Exchange (BSE).

At the Ntaional Stock Exchange (NSE), HCL Tech's stock plunged 8.74 per cent to Rs 1,511 a piece.

The company's stock was the biggest loser among the 50-Nifty scrips.

The softwars services major's stock witnessed selling pressure, in line with other IT stocks, after the company missed estimates in earnings.

HCL Technologies on Friday reported a consolidated net profit of Rs 1,873 crore for the first quarter on the back of strong growth in Europe and business services.

The company had posted a net profit of Rs 1,416 crore in the same period a year ago, it said in a filing to the BSE.

Consolidated revenues for the IT firm grew 9.7 per cent at Rs 8,735 crore in the July-September quarter of FY15 as against Rs 7,961 crore in the same quarter of the previous fiscal.

In dollar terms, net profits rose by 36.1 per cent to USD 307.2 million in the first quarter of the current fiscal as against USD 225.6 million in the year-ago period.