HCL Technologies sees North Asia, Central America, Eastern Europe and Africa as new geographic areas for the future. In a media briefing held in Mumbai, Roshni Nader Malhotra, chairperson of the company, said that the plan is to expand in these areas as well as the company already has an existing drama.
The epidemic has caused a huge upheaval for Indian IT companies where digital is a big area of focus. According to him, when the time is challenging he sees a demand environment which is strong. HCL Technologies closed FY22 with revenue of .4 11.48 billion, up 12.8 percent from a net profit of $ 1.8 billion, or 4.3 percent. The EBITDA margin for the financial year stood at 24 per cent.
Regarding the rationale for looking at the mentioned geography, the CEO of the company, C Vijayakumar told Business Today that “HCL technology had a decent presence in a market like South Africa and it was time to capitalize on it to take it to the next level.” Global IT spending, he noted, has a scenario where 85 percent of the money belongs to 15 percent of the company. “There is a need to capture any significant addressable market. We are already as big as the United States, the United Kingdom, and Australia.
Regarding the opportunities in Central America, Vijayakumar explained that customers have taken advantage of the global delivery model in India and Eastern Europe. “The next stop is Central America and we need to be there. Similarly, Mexico offers another market and an advantage due to its proximity to the United States, ”he said.
Based on conversations with its clients, Malhotra noted that the response was very clear. “It’s about accelerating the digital transformation program. One of the big concerns is how to dedicate the right talent, ”he said. Regarding what makes HCL Technologies different, his view was that the company was “competent in key areas such as diversified, cloud, digital and engineering, which is a serious barrier to entry into the competition.”