7/31/2019 Analysis of HCL

1/15

Click to edit Master subtitle style

6/26/12

Analysis of HCL

A project by-Soumil PrakashRoll. No 138.

7/31/2019 Analysis of HCL

2/15

6/26/12

Acknowledgement

No project is complete without the sincerehelp and efforts of the professor. Thus, Iwould like to take this opportunity to thankour Professor Mr. Ganesh.

7/31/2019 Analysis of HCL

3/15

6/26/12

Introduction

Since the inception of Liberalization, Globalizationand Privatization it was known that the IT sectorwill be the one to look forward to.

IT sector has always been synonymous tocompanies like INFOSYS, TCS AND WIPRO.

But one company that has held its own ground isHCL which started its journey 3 decades back.

HCL is the company which has given INDIA its very1st micro computer.

7/31/2019 Analysis of HCL

4/15

6/26/12

Management Hierarchy

7/31/2019 Analysis of HCL

5/15

6/26/12

Timeline of HCL1. 1976 - Hindustan Computer Limited(HCL) is born.

1. 1977 - Forms a partnership with TOSHIBA for distribution ofcopiers and notebooks.

1. 1978 - HCL successfully ships in-house micro computer as thesame time as APPLE.

1. 1986 - HCL becomes INDIAS BIGGEST IT COMPANY.

1. 1990 - DATA QUEST marks HCL NO.1 amongst the TOP 10COMPUTER GIANTS.

1. 1994 - Enters an alliance with NOKIA.

7/31/2019 Analysis of HCL

6/15

6/26/12

8. 2002 - Software business of HCL Infosystems and HCL Technology ismerged.

8. 2006 - HCL ties up with APPLE for IPod distribution.

8. 2006 - HCL Technologies signs LARGEST EVER software deal withDSG.

8. 2007 - HCL Technologies crosses $4 billion mark.

8. 2008 - HCL earmarked as one of BRITANS TOP EMPLOYERS.

8. 2008 - HCL earmarked as the most DEMOCRATIC WORK PLACE.

8. 2009 - HCL partners BSNL for the Broadband PenetrationProgramme.

8. 2011 - Ajai Chowdry one of the co-founder of HCL awarded withPADMA

BHUSHAN.

7/31/2019 Analysis of HCL

7/15

6/26/12

Partners

7/31/2019 Analysis of HCL

8/15

6/26/12

SWOT Analysis

STRENTHGHS Global presence

Tie ups with multinationals

Best value for money offerings

WEAKNESS After sales service

Less promotional activities

Less aggressive

OPPORTUNITIES IT industry booming at a rate of 45%everyyear

Tremendous potential of IT products inINDIA

Increasing usage of IT

THREATS Local assemblers

Entry of MNCS

More established and focusedplayers

7/31/2019 Analysis of HCL

9/15

6/26/12

Key FiguresVariables/Year

2009 - 2010 2007 - 2008 2006 - 2007 2005 - 20062004 -2005

Net revenue 12049 12447 11685 11368 7744

TotalExpenditure

11728 12019 11262 11005 7475

Interest 39 39 10 -1 -3

EBIDTA 346 430 428 385 296

PAT 242 300 315 280 227

Earning pershare (EPS)in Rs.

11 17 18 16 12

EmployeeCost

391 301 227 180 145

7/31/2019 Analysis of HCL

10/15

6/26/12

Comparisons

Name Last Price Market Cap.

(Rs. cr.)

Sales

Turnover

Net Profit Total Assets

Redington 85.50 3,406.69 8,322.73 128.44 1,279.09

CMC 930.55 2,819.57 798.08 155.73 597.11

S Mobility 79.90 1,902.31 945.80 78.20 680.25

HCL Info 45.45 1,012.99 11,979.45 261.55 2,524.58

Moser Baer 19.85 334.09 1,872.87 -406.42 3,482.56

Smartlink Net 48.50 145.52 195.03 16.56 169.73

Compuage Info 81.00 53.91 1,373.91 8.67 164.12

TVS Electronics 18.85 33.31 194.47 -3.43 85.90

Zenith Computer 14.20 21.98 193.18 2.18 128.93

MRO-TEK 10.90 20.37 26.12 -12.89 76.76

EuroMult 6.80 16.18 - - 285.60

http://www.moneycontrol.com/india/stockpricequote/computershardware/redingtonindia/RI37http://www.moneycontrol.com/india/stockpricequote/computershardware/cmc/CMChttp://www.moneycontrol.com/india/stockpricequote/computershardware/smobility/S13http://www.moneycontrol.com/india/stockpricequote/computershardware/hclinfosystems/HCLhttp://www.moneycontrol.com/india/stockpricequote/computershardware/moserbaerindia/MBIhttp://www.moneycontrol.com/india/stockpricequote/computershardware/smartlinknetworksystems/SNS01http://www.moneycontrol.com/india/stockpricequote/computershardware/compuageinfocom/CI29http://www.moneycontrol.com/india/stockpricequote/computershardware/tvselectronics/TVS02http://www.moneycontrol.com/india/stockpricequote/computershardware/zenithcomputers/ZChttp://www.moneycontrol.com/india/stockpricequote/computershardware/mrotek/MROhttp://www.moneycontrol.com/india/stockpricequote/computershardware/euromultivision/EM02http://www.moneycontrol.com/india/stockpricequote/computershardware/euromultivision/EM02http://www.moneycontrol.com/india/stockpricequote/computershardware/mrotek/MROhttp://www.moneycontrol.com/india/stockpricequote/computershardware/zenithcomputers/ZChttp://www.moneycontrol.com/india/stockpricequote/computershardware/tvselectronics/TVS02http://www.moneycontrol.com/india/stockpricequote/computershardware/compuageinfocom/CI29http://www.moneycontrol.com/india/stockpricequote/computershardware/smartlinknetworksystems/SNS01http://www.moneycontrol.com/india/stockpricequote/computershardware/moserbaerindia/MBIhttp://www.moneycontrol.com/india/stockpricequote/computershardware/hclinfosystems/HCLhttp://www.moneycontrol.com/india/stockpricequote/computershardware/smobility/S13http://www.moneycontrol.com/india/stockpricequote/computershardware/cmc/CMChttp://www.moneycontrol.com/india/stockpricequote/computershardware/redingtonindia/RI37

7/31/2019 Analysis of HCL

11/15

6/26/12

Charts

7/31/2019 Analysis of HCL

12/15

6/26/12

7/31/2019 Analysis of HCL

13/15

6/26/12

Conclusion

HCL is one of the most prominent IT companies in the world.

HCL is managed by extremely sound professionals.

It is one of the few companies which does business planning every six

months to analyzeits SWOT.

Even though at present its Profits might be decreasing, HCL has enoughreserves andstrong professionals to make it stand the test of time.

7/31/2019 Analysis of HCL

14/15

6/26/12

Bibliography

7/31/2019 Analysis of HCL

15/15

6/26/12

THANKYOU!!