The loss of HCL Infosystems extends to Rs 39.9 cr in the second quarter
New Delhi, November 5 () The IT company HCL Infosystems on Tuesday recorded a broader consolidated loss of Rs 39.92 crore for the quarter of September 2019.
The company had published a consolidated loss of Rs 33 million rupees in the July-September 2018 quarter, according to a regulatory document.
Its revenues from HCL Infosystems operations also decreased by more than 40 percent to Rs 581.77 rupees during the quarter under review of Rs 976.37 rupees in the corresponding quarter of 2018-19, he added.
The company's distribution business revenue was Rs 545 million in the second quarter, of which the business distribution segment was Rs 310 million and consumer distribution was Rs 235 million.
During the quarter, our business business was moderated due to the competitive environment and the market slowdown.
In our systems and solutions integration business, we move forward with our roadmap to focus on the execution of existing contracts and the collection of accounts receivable, said HCL Infosystems managing director Rangarajan Raghavan.
He added that in this quarter, the company did some traction in the collections, including a considerable one from the Ministry of Defense.
The company continues to explore the rationalization and monetization of its businesses and assets, he said.
The global services business in Singapore recorded revenues of Rs 104 million. In August, the company had signed an agreement to sell its reduced subsidiary, HCL Insys Pte Ltd, Singapore, to PCCW Solutions Ltd, Hong Kong, for a consideration of SGD 42 million plus closing cash balances and adjustments to working capital and net debt
The transaction has not yet been completed until the closing precedents are met and, consequently, the commercial operations associated with these transactions have been considered discontinued operations.
The SI and solutions business recorded revenues of Rs 37 million in the quarter of September 2019.
The company said it continues to face excessive delays with certain customer acceptances and payments from them, especially in the electricity sector. We constantly commit to customers to accelerate resolution, but progress has been very slow. During the quarter, we provided Rs 14.6 million rupees because of such accounts receivable, the company said. SR HRS