HCL Chairman Roshni Nadar Malhothra made this observation while addressing AGM
Bengaluru, NFAPost: Admitting the fact that the outbreak of the Covid-19 pandemic has fundamentally changed the way the economies and businesses operate, HCL Technology Chairman Roshni Nadar Malhothra said the company decided to invoke Business Normalcy Plan and Risk Management Framework and it helped the company to manage and mitigate the impact.
While speaking at the AGM of the company, HCL Technology Chairman Roshni Nadar Malhothra highlighted the fact that HCL took early steps to combat the impact of the pandemic and in January.
“We began continuous monitoring of the situation as we invoked our Business Normalcy Plan and Risk Management Framework. Our mandate was clear – to protect the health and welfare of our employees, and the communities we live and work in around the world. Working with governments and health experts, we gained an early advantage and were able to manage and mitigate the impact on our own business operations and those of our clients,” said HCL Technology Chairman Roshni Nadar Malhothra.
During her speech, HCL Technology Chairman Roshni Nadar Malhothra brought the attention to the most unprecedented time in recent history, with once in a generation global pandemic affecting every citizen, nation, government, company and community.
“The impacts of Covid-19 are felt in so many ways – health concerns, societal angst, geopolitical friction, and economic concern. Over the last six months we have all come to understand and acknowledge that there will be new and different ways of normalcy in all aspects of life,” she said.
Embrace technology
HCL Technology Chairman Roshni Nadar Malhothra said this unprecedented time has also inspired individuals, businesses, governments, and non-profit organisations to embrace technology like never before – first to persist and continue day-to-day lives.
“As we quickly adapted, this period of time has showed us that we can transform every manner of life and business, rapidly, with digital technologies that are faster, safer, scalable and more effective, creating significant advantages over ways of the past. What was once viewed as 5 to 10 years away is now possible through focus, ingenuity and innovation. It is with this context that HCL Technologies is squarely positioned as THE leading global technology company, primed to help businesses around the world become resilient, scalable and powerful digital enterprises, ready to redefine their industries and reach their maximum human and technology potential,” said HCL Technology Chairman Roshni Nadar Malhothra.
She hilighted the fact during times like these that organisations are tested at the core where its character, values and ethos define whether a company is headed to greater heights or relegated to the bins of history.
“We firmly believe that HCL’s foundation, built by incredible hearts, minds and passion, has remained true to our core values of innovation, entrepreneurship, humanity, and a people-centric culture. These values have helped us build long-term, deep and trusting relationships with customers and has garnered us a reputation as one of the world’s premier next-generation global technology companies,” said HCL Technology Chairman Roshni Nadar Malhothra.
HCL Technology Chairman Roshni Nadar Malhothra said the mandate of the company was clear – to protect the health and welfare of employees, and the communities and work in around the world.
Mitigate business impact
“Working with governments and health experts, we gained an early advantage and were able to manage and mitigate the impact on our own business operations and those of our clients. This included working with Life Sciences and Healthcare companies around the world, supporting them as they seek to contain and solve the virus. We also provided a helping hand to many who are less fortunate in society. In our Annual Customer Satisfaction Survey, we achieved one of the highest client satisfactions and we are at the top end across industries. This is a testimony of the trust and confidence our clients have in us,” said HCL Technology Chairman Roshni Nadar Malhothra.
As the new world order evolves, HCL Technology Chairman Roshni Nadar Malhothra said the company will continue to be persistent in its vision and nimble in our approach to meet the business and social responsibility goals we have set forth.
“Our business practices will be sustainable and our growth will continue to be inclusive and diverse. Digital transformation for our clients and within our enterprise will continue to drive our business agenda,” said HCL Technology Chairman Roshni Nadar Malhothra.
HCL Technology Chairman Roshni Nadar Malhothra said th company’s consistent industry-leading performance is a testimony to its commitment to maximizing value for our shareholders.
“I take pride in sharing that HCL has been delivering industry leading growth consistently for the last four years. If you look at the top 10 global industry players in technology, we have had the highest growth and highest CAGR over the last four years with an exceptional performance across all metrics in FY20,” said HCL Technology Chairman Roshni Nadar Malhothra.
Operational discipline
The impact of Covid-19 on customer demand has stabilised after the early days of the pandemic. The company managed its business with operational discipline and believes the initial revenue decline has turned the corner to positive good growth trajectory going forward.
HCL Technology Chairman Roshni Nadar Malhothra said the challenges in external environment have created new demand for the company’s products and services and there has seen growth in several areas, including Infrastructure and Cybersecurity services, eCommerce, Digital Marketing, and Digital Experience.
“For instance, Retailers are now looking to accelerate and scale their eCommerce model to quickly move away from remaining brick and mortar structures. Similarly, work from home arrangements have highlighted the need for ensuring Cybersecurity in the last mile between office and home. We are very well positioned to capitalize on these opportunities and continue to work tirelessly to deliver best-in-class products, services, and solutions that our clients and stakeholders have come to expect from HCL,” said HCL Technology Chairman Roshni Nadar Malhothra.
“As I reflect on FY20, it’s a tale of two chapters – wherein the first three quarters we increased the strength of our core business verticals such as Banking and Financial Services, Technology, Lifesciences & Healthcare, Telecommunications, Media, Publishing & Entertainment, Retail & CPG and Public Services. The second chapter, or last quarter is when Covid-19 swept across the world. This was a period of immense learning and testing for us. I am proud that we stood tall – humble yet unwavering, and displayed the agility, vitality, empathy and capabilities to create new ways of working and new opportunities while continuing to be a good corporate citizen. Tough time does not last but tough people do, or I would say battle-tested businesses do. As we look forward to the day that Covid-19 is behind us, the learnings from this time will only help us sharpen our approach for the longer run,” said HCL Technology Chairman Roshni Nadar Malhothra.
Innovate for future
She also took the opportunity to reassure shareholders about one thing that has stayed constant throughout HCL’s journey that it will continue to invest appropriately in enhancing our capabilities, attracting top talent, and innovating for the future.
“We will explore new areas of growth as we address the challenges and opportunities of a new world order,” said HCL Technology Chairman Roshni Nadar Malhothra.
HCL Technology Chairman Roshni Nadar Malhothra highlighted the fact that corporate citizenship is a critical pillar of HCL business strategy.
“The guiding principle of HCL’s Corporate Social Responsibility (CSR) programs is to empower communities to achieve national and international development goals through long-term sustainable programs, enabling people to lead a better life. HCL, through all its entities, has significantly ramped up its efforts to mitigate the impact of the Covid-19 pandemic. With a skilled workforce and a dedicated on-ground team, our strategy encompasses the three pillars of Relief, Restoration, and Build-Back. Under these pillars, we are supporting government action in Uttar Pradesh, Tamil Nadu and Karnataka by establishing and scaling innovative digital solutions, setting up integrated control centers and helplines. Through our wide network of NGO partners, we are reaching the most vulnerable sections of society, ensuring access to relevant information and essentials such as food, dry rations, masks, and sanitizers,” said HCL Technology Chairman Roshni Nadar Malhothra.
In addition, HCL Technology Chairman Roshni Nadar Malhothra said HCL Foundation, the CSR arm of the company, continues to create sustained impact through our flagship programs.
HCL Foundation
“Through the flagship programs of HCL Samuday, HCL Grant, HCL Uday and Power of One, in FY20, HCL Foundation touched the lives of more than 17 million people in both rural and urban areas, achieving our sustainable development goals while continuing to shape our business responsibly. HCL Foundation is also working towards the betterment of the environment and urban living conditions through programs like Harit – The Green Spaces Initiative and Clean NOIDA,” said HCL Technology Chairman Roshni Nadar Malhothra.
She alo highlighted the fact ever since inception, HCL has strived to create a culture that fosters grassroots innovation and provides employees with an equitable, safe, inclusive and diverse work environment.
“We pride ourselves in employing people from 155 nationalities, creating a unique fabric of values and traditions based on humanity and respect. As of March 31, 2020, women represented 26.8% of HCL’s global workforce,” said HCL Technology Chairman Roshni Nadar Malhothra.
HCL’s focus on creating positive impact in smaller cities in India to bring about higher operational resilience, stability, and scalability continues. The company’s talented employees in these centers in India under HCL’s New Vistas program – which focus on Lucknow, Madurai, Nagpur, and Vijayawada – is up by 34% from the last fiscal year.
She also highlighed the fact humanity is part of a tectonic change in the global business environment that happens once in several lifetimes and in such a fluid environment, adaptability and innovation are key to staying relevant.
“As technology becomes a dominant force in all businesses and facets of life, we need to ensure that it is used as a force-for-good and sustainability. The future will belong to those organizations that can predict and make it happen, instead of playing on the catchup curve. I am proud that at HCL, we are working hard with our ecosystem of partners to accelerate the best of future opportunities become reality, today,” said HCL Technology Chairman Roshni Nadar Malhothra.
Financial performance
“Looking at our financial performance, our Mode 1-2-3 Strategy has provided the north star in delivering balanced growth across our service line, vertical and geography businesses and enabled us to perform at the top end of our revenue guidance and exceed the top end of our margin guidance for the year. I would also like to highlight that during this financial year, HCL signed 53 transformational deals and our US$100+ Mn clients increased by 5, moving from 10 to 15 YoY,” said HCL Technology Chairman Roshni Nadar Malhothra.
“Our revenue for the financial year ended 31st March 2020 stood at Rs 70,678 crores, up 17.0% YoY. The revenue growth in Constant Currency terms was up 16.7% YoY. In terms of US Dollar, our revenue stood at $ 9,936 million; up 15.1% YoY. Our Net Income for the financial year was Rs 11,062 crores: up 9.3% YoY. The same translates to $1,554 million; up 7.8% YoY,” said HCL Technology Chairman Roshni Nadar Malhothra.
Based on the financial performance, HCL Technology Chairman Roshni Nadar Malhothra said the Board of Directors has recommended a final dividend of Rs 2 per share on double the number of shares post 1:1 bonus issue.
“This was our 69th consecutive quarter of dividend pay-out. During FY’20, the Board declared and paid 4 interim dividends of Rs. 2/- per share for each of these interim dividends,” said HCL Technology Chairman Roshni Nadar Malhothra.
“As I humbly embark on this new journey as Chairperson of HCL Technologies, I believe that the year 2020 will leave an indelible imprint on the way we view the world and experience life in the coming decade and beyond. There will be large challenges but even larger opportunities in front of us. As a company, we are working towards embracing this new world order where technology will be a driving force and common denominator in shaping individuals’ lives, businesses, societies, economies and nations. As we gear up for this massive transformation, we cannot ignore the power of collaboration with our technology peers, knowledge partners, governments, universities and other key members of our ecosystem,” said HCL Technology Chairman Roshni Nadar Malhothra.
Concluding her speech after taking over the Chairman of the company, Roshni Nadar Malhothra said she is excited for this new chapter in its journey together, fueled by optimism of the human spirit, innovation in how the company works and create, and the fundamental desire to bring about positive change in our world.
“It is truly a journey that we will experience together, supporting and uplifting each other to new heights along the way. Finally, I conclude by reaffirming that Your company – Our company – HCL Technologies – will continue to invent, innovate and lead to create value and wealth for all stakeholders while contributing to a beautiful, healthy planet for generations to come,” said HCL Technology Chairman Roshni Nadar Malhothra.
