It’s worth considering HCL tech
HCL technologies with its integrated services portfolio and increased focus on infrastructure services sits pretty to cash in big on the IT outsourcing pie that’s on offer. Better positioned to crack large deals also seems quite favourable for the company.
Unlike the other IT majors like Infosys, HCL today is more focused on Infrastructure services and gives it a big lead in this domain. Currently, Infrastructure services are contributing 14 percent of the total revenue. And if one takes a look at the future outlook if Infrastructure services, it seems more thatn bright. The demand for infrastructure services is growing rapidly on the back of companies revambing their remote and low cost infrastructure delivery capabilities.
The Infrastructure services market is supposed to grow at a CAGR of 55 percent during the period 2005-2010. Similarly, company’s integrated service portfolio helps better servicing and mining of clients with 20 percent of the total active client base are currently utilising more than one service offered by the company.
Furthermore, HCL being the only vendor from India bidding for the IT and BPO contracts provides a great opportunity to the company to capitalise on deals estimated worth $500 million. Moreover, HCL’s services are well spread across sectors, which give the company valuable presence and visibility.
The recent result of the company showed an increase of nine percent in its net sales for the quarter ended December 2006 as compared earlier. Based on the quarter ending December 2006 results the earnings per Share of the company was Rs.8.20, up from Rs.6.36 a quarter year.
