HCL Technologies - Marginal beat, retain ACCUMULATE - Emkay

- Mar'13 qtr op performance beat expectations a tad with a 3.2% QoQ US$ revenue growth and margins declining by only ~20 bps QoQ (V/s est of 100 bps decline)

- Growth led again by IMS (+8.6% QoQ, ~75% of incremental revenues). US/Europe drive growth amongst verticals. HC declines for the 3rd qtr in a row, slightly worrying in our view

- Deal wins remains healthy with co announcing US$ 1 bn+ TCV worth deals. Bulk of margin improvement behind in our view

- Raise FY13/14/15E EPS higher by 6/9/9% on Mar'13 qtr beat and better margin assumptions. Retain ACCUMULATE, TP Rs 840. HCLT remains the preferred bet in Tier I space

Source : Equity Bulls

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