HGS announces Q1 FY2024 Results

Hinduja Global Solutions (HGS or the Company) announced its unaudited first quarter results for FY2024.

Speaking on the results, Partha DeSarkar, Executive Director and Group CEO of HGS said: “The results for the first quarter of the fiscal have been solid and reflect our transformative ability to adapt in a fast-changing macro-business environment.

The BPM business achieved operating revenue growth of 7.0% over Q4 FY2023, along with significant improvement in margins. Our Canadian and UK businesses have performed well in Q1 FY2024 and we are seeing strong demand, especially in Canada and offshore/ nearshore business. In July 2023, we formally launched our CX hub in Barranquilla, Colombia and would shortly be doubling our delivery capacity. While the operational performance has improved, PAT for Q1 FY2024 is lower than Q1 FY2023, primarily due to a reduction in other income.

Teklink, the data and analytics business we acquired in Q4 FY2023, posted a strong performance and delivered revenues of approx. US$ 8.8 million with EBITDA margins of around 22.2%. Our cross-selling efforts have resulted in a robust pipeline, including a couple of wins. The technology solutions business recorded revenues of U$24.3 million in Q1 FY2024 and we hope to soon achieve an annual revenue run-rate of US$ 100 million.

In June 2023, we completed the buyback offer of 60 lakh equity shares at a price of Rs. 1,700/ share aggregating to Rs 1,020 crore. The buyback initiative was part of the overall programme for sharing the value created from the sale of the erstwhile healthcare business with our shareholders.

Looking ahead, though global economic uncertainties persist, we remain cautiously optimistic for the year. We are confident that we can navigate the challenges and seize our opportunities with our technology-led, people-driven approach. We will also continue with our cost optimization initiatives, including further real estate rationalization.”

Vynsley Fernandes, Whole-time Director at HGS and Head of the Digital Media Business said, “We’ve continued to focus on innovation and the launch of our unique OTT aggregator app “NXTPLAY” has been well received. Through partnerships, we offer more than 300,000 hours of global and local content from 25+ OTT platforms. In parallel, we’ve accelerated expanding our pan-India digital infrastructure with the roll-out of our 114^th NXTHUB while initiating a significant investment in building out a National Long Distance Fibre Network in key states.”