HCLTech, India's no. 3 software services provider, plunged 8% on Tuesday after reporting a smaller-than-expected quarterly revenue and as a slew of brokerages cut their ratings on the shares. The company on Monday reported a 5.

HCL Technologies Q3 results are estimated to be strong with a revenue growth expected to be 4.5% on a sequential basis driven by seasonal tailwinds from renewals in its products business.

HCLTech has revised its revenue growth guidance for FY25, raising the lower end by 100 basis points in constant currency (CC) terms. The company now expects revenue growth of 4.5-5% YoY in CC, up from the previous estimate of 3.5-5%. Additionally, services revenue growth is projected to be in the same 4.5-5% YoY range.

By Sai Ishwarbharath B and Haripriya Suresh BENGALURU/MUMBAI (Reuters) -India's HCLTech narrowed its full-year revenue growth forecast on Monday and reported a smaller-than-expected December quarter revenue on underperformance in its software business.

IT company HCLTech on Monday reported a 5.54 per cent uptick in consolidated net profit to Rs 4,591 crore for the December quarter as the CEO expressed optimism for improvement in the demand environment and discretionary spending and raised the revenue growth guidance.

In profitability and return metrics, HCLTech saw EBIT growing 3.7% to ₹5,821 crore. The company declared a dividend of ₹18/- per share, including a special dividend of ₹6/- per share to celebrate 25 years of HCLTech’s public listing. This represents the 88th consecutive quarter of dividend pay-out.

Shares of HCLTech plunged nearly 10% on Tuesday, set for their worst session since September 2015, after India's No. 3 software services provider missed quarterly revenue estimates and raised only the lower end of its full-year sales outlook.