HCL Technologies has announced results for Q2 FY2021, for the period ending September 30, 2020.

Q2 FY21

• Revenues were $2,506.7m, up 0.8% y/y, down 0.4% in CC
• Operating income (EBIT) was $641.6m, a margin of 21.6%, up 165bps y/y.

Q2 FY21 revenue share by service line (with estimated revenue) and CC y/y growth is:

• IT and Business Services 70.8% ($1,774m) -1.6% 
• Engineering and R&D services 15.7% ($394m, -6.2%) -6.8%
• Products & Platforms 13.5% ($338m) +16.2%.

Q2 FY21 revenue by Mode 1/2/3 and CC y/y growth is:

• Mode 1, $1,587m, -6.2%
• Mode 2, $524m, +14.7%
• Mode 3,  $39m, +7.6%.

Q2 FY21 EBIT margin by Mode 1/2/3 was:

• Mode 1, 20.9%
• Mode 2, 18.5% (up 450 bps y/y)
• Mode 3, 28.7%.

Q2 FY21 revenue share by region (with estimated revenue) and CC y/y growth is:

• Americas 63.1% ($1,582m) -1.3% 
• Europe 28.4% ($712m), -2.6%
• RoW 8.5% ($213m), +15.3%.

Q2 FY21 revenue share by sector (with estimated revenue) and CC y/y growth is:

• Financial Services 22.1% ($554m) -2.5%  
• Manufacturing 17.7% ($444m) -11.3%  
• Technology & Services 17.3% ($434m) +12.8% 
• Retail & CPG 10.4% ($261m) +3.3% 
• Telecom, Media, Publishing & Entertainment 7.7% ($193m) -8.8%
• Life Sciences & Healthcare 14.1% ($363m) +9.2%
• Public sector 10.7% ($268m) -3.0%. 

LTM key client contribution to revenue (and at end Q1 FY21) was:

• Top 5: 13.7% (13.9%)
• Top 10: 20.9% (20.9%)
• Top 20: 30.6% (30.8%)

The number of large accounts (and y/y change) was:

• $100m+ 14 (+1)
• $50m+ 29 (-1)
• $10m+ 172 (+1)

HCL signed 15 transformational deals in Q2 led by the Life Sciences and Healthcare, Public Services and Manufacturing.

Total headcount at end September 2020 was 153,085, a net increase of 2,798 during the quarter, and a growth of 4.1% y/y. 

LTM attrition in IT services was 12.2%, down from 16.9% in Q1 FY20.