BENGALURU, Jan 12 (Reuters) - Indian software services exporter HCLTech narrowed its annual revenue growth forecast on Monday on the back of a growing deal book and after a slight quarterly revenue beat.
The IT firm's revenue rose 13.3% from a year earlier to 338.72 billion rupees ($3.8 billion) in the quarter ending December 31, above analysts' average estimate of 330.46 billion rupees, as per data compiled by LSEG.
New deal bookings during the quarter rose to $3 billion, leading it to change the annual revenue forecast to 4% to 4.5% from 3% to 5% previously.
Non-essential spending by clients is emerging in areas that are enablers to AI, Chief Executive C Vijayakumar said in a post-earnings press conference, adding that HCLTech does not anticipate demand to return to post-pandemic highs.
"While uncertainty persists in the global market leading to slowing growth, the fundamental demand for technology as a driver for business transformation remains structurally intact," Vijayakumar said.
Analysts at Jefferies said the company's forecast offers "stronger visibility for growth in FY27."
The numbers look good despite the third-quarter being a seasonally weak one for IT firms, Centrum Broking analyst Piyush Pandey said. "There were no negative surprises. Overall, the numbers are slightly positive given the apprehension that numbers may be muted in the third quarter," he said.
Firms in India's $283-billion IT industry are grappling with tepid demand in the U.S. as clients hold off on non-essential tech spending due to macroeconomic uncertainties and geopolitical turmoil.
Earlier in the day, India's largest software company Tata Consultancy Services also reported revenue that was slightly above estimates.
Peers Infosys and Wipro, and Tech Mahindra will report this week.
HCLTech's quarterly profit fell 11.2% to 40.76 billion rupees, missing analysts' estimates, as it took a one-time hit of 9.56 billion rupees due to the impact of India's new labour codes.
($1 = 90.1610 Indian rupees)
(Reporting by Haripriya Suresh; Editing by Mrigank Dhaniwala)
