*HCL Confidential

HCL TechnologiesBusiness Performance

JFM’11

*HCL Confidential2

Revenue Growth IntactAll Businesses continue to deliver positive revenue growth

QoQ Growth AMJ'10 JAS'10 OND'10 JFM'11 4-Qtr CQGR

Revenues 7.7% 9.0% 7.5% 5.8% 7.5%

Service Lines

Enterprise Application Services 11.9% 6.3% 5.5% 6.7% 7.6%

Engineering and R&D Services 10.9% 4.0% 6.3% 1.6% 5.7%

Custom Applications 6.7% 15.0% 9.1% 6.7% 9.3%

Infrastructure Services 8.9% 8.8% 9.5% 8.5% 8.9%

BPO Services -12.5% 5.7% 2.8% 0.8% -1.1%

Verticals

Financial Services 5.5% 10.0% 5.2% 12.6% 8.3%

Manufacturing 9.9% 8.7% 7.2% 6.3% 8.0%

Telecom 1.0% 9.9% 5.8% 1.0% 4.4%

Retail & CPG 17.5% 13.0% 15.5% 0.3% 11.4%

Media Publishing & Entertainment 0.7% 1.9% 6.2% 2.3% 2.8%

Healthcare 18.3% 11.7% 7.5% 1.2% 9.5%

Energy Utilities Public Sector 6.0% 7.9% 13.2% 7.1% 8.6%

Geos

US 11.3% 2.8% 5.8% 0.7% 5.1%

Europe -0.7% 18.2% 7.2% 7.3% 7.8%

Asia Pacific 8.3% 19.8% 14.5% 21.7% 16.0%

Growth engines for the quarter – Infra, Custom Apps, EAS

Custom Apps business crosses $1Bn milestone

Growth engines for the quarter - Financial Services, E&U Public Sector, Manufacturing

Growth engines - Asia Pacific, Europe

Asia Pacific business cross $500 Mn milestone

* Businesses with JFM’11 QoQ or 4-Qtr CQGR >5% marked Green

Q3 Revenues - $915 MnLTM Revenues cross INR

15,000 Crore milestone

*HCL Confidential3

While expanding Profit MarginsOperating and Net Income register double digit growth. Big Turnaround in Profits Margins over last 6 months

Margins AMJ'10 JAS'10 OND'10 JFM'11

Gross Margin 33.1% 31.6% 31.6% 32.0%

EBITDA Margin 18.6% 16.3% 16.3% 17.3%

EBIT Margin 15.3% 12.9% 13.1% 14.4%

Net Margin 10.0% 8.9% 10.3% 11.3%

EBIT Margins expand by 130bps

Operational Parameters AMJ'10 JAS'10 OND'10 JFM'11

SG&A as a % of Total Revenue 14.5% 15.4% 15.2% 14.7%

Days Sales Outstanding (DSO) 66 61 61 55

Utilization Offshore-Including trainees 72.9% 70.1% 70.1% 71.9%

Utilization Offshore-Excluding trainees 77.0% 74.1% 75.0% 76.3%

Utilization Onsite 95.2% 95.7% 95.9% 96.5%

Offshore Realization per man-month ($) 3,545 3,616 3,640 3,692

Onsite Realization per man-month ($) 12,983 13,107 13,274 13,426

Operating efficiencies helping gain of Profit Margins SG&A down. DSO down. Utilization up. Realization up.

HCL recorded lowest DSO in Indian IT Industry.

*HCL Confidential4

Cash Flow Conversion - Net Income to Operating Cash Flow @ 114% for JFM’11

Financial Year Ended…9 months

ended

 US$ Mn June'03 June'04 June'05 June'06 June'07 June'08 June'09 June'10 March’11

                 

Net Income 58.0 171.9 138.0 169.1 293.5 280.0 264.4 280.6 264.0

Operating Cash flow

89.7 123.6 149.8 186.3 268.1 348.7 205.9 383.5 207.4

Operating Cash Flow/ Net Income

For the Period 155% 72% 109% 110% 91% 125% 78% 137% 79%

Two YearsRolling Average

  113% 90% 109% 101% 108% 101% 107% Not Applicable

*HCL Confidential5

Market share momentum demystified..

HCL is the only company to expand market share

33.5 % of all new customer revenue across the above peer group came to HCL – demonstrating the increasing value customers see in engaging with HCL

*HCL Confidential 6

Market Share Momentum… - ~300 bps increase in Market Share in Last 3 Years

*HCL Confidential7

Clients not only giving more business to HCL, but also recognizing Value created by HCL Employees

Number of $10mn+, $20mn+, and $50mn+ clients have more than doubled over last 3 years

Revenue per Employee AMJ'10 JAS'10 OND'10 JFM'11

HCL Revenue per Employee 48,096 47,714 48,515 50,219

HCL Revenue per Employee crosses $50,000 milestone. Highest in the Industry.

*HCL Confidential8

Leading in Client Reference Scores

Source: 2010 N.America Application outsourcing wave

HCL Client Reference Scores are the highest across 10 parameters Survey conducted by independently by Forrester for the North America Application wave HCL positioned above larger peers like Dell, Cognizant, TCS, CSC, Infosys, HP and Capgemini In Forrester’s own words “HCL, which was not included in our prior analysis, has come a long way in the

marketplace in that time frame and is clearly worthy of its Leader status”

*HCL ConfidentialRecent Downgrades

Asia Poll Rankings

Analyst 2010 2009 HCL Infosys TCS Wipro

CLSA 1 1 Under Perform Outperform* Outperform* Outperform*

JP Morgan 2 3 Over Weight Neutral Over Weight Over Weight

CSFB 3 4 Buy Neutral Buy Buy

Kotak 4 2 Reduce Buy Buy Add*

Citi 5 5 Buy Hold Hold Buy

IIFL 6 12 Buy Buy Add* Add*

Morgan Stanley 7 11 Over Weight Over Weight Equal Weight Equal Weight

HSBC 8 7 Over Weight Over Weight Over Weight Neutral

Religare 9 22 Buy Hold Hold Hold

Motilal Oswal 10 19 Buy Buy Neutral Neutral

Analyst Rating Impact …

9

Composite Rating (Top 10) +8 +6 +6 +6

Dip

Flat

Improvement

Change in Ranking in Asia Poll Rankings

Buy / Over Weight Outperform

Neutral / Underperform

/ Reduce / Hold

Sell / Restricted

Legend of Ratings

*HCL Confidential10

HCL has positioned itself as the CIO’s Best Friend

Dec 2010

Finding the right vendor partner for your ITorganization: HCL

*HCL Confidential11

Leadership : Infrastructure Management

March 11, 2011The Forrester Wave™: Global IT Infrastructure Outsourcing, Q1 2011

29 March 2011 Gartner Magic Quadrant for Help Desk Outsourcing, North America

*HCL Confidential12

Leadership : SAP

*HCL Confidential13

Leadership : ADM

*HCL Confidential14

Reported Revenue (US$ Mn)Column1 OND'09 JFM'10 AMJ'10 JAS'10 OND'10 JFM'11

HCL               652               685                738              804                864               915 

TCS            1,635            1,686             1,794           2,004             2,144 

Infosys            1,232            1,296             1,358           1,496             1,585            1,602 

Wipro IT            1,127            1,166             1,204           1,273             1,344 

Reported Incremental Revenue (US$ Mn) OND'09 JFM'10 AMJ'10 JAS'10 OND'10 JFM'11

HCL                   33                   52                66                   60                  50 

TCS                   51                108              210                140   

Infosys                   64                   62              138                   89                  17 

Wipro IT                   39                   38                69                   71   

Reported Revenue Market Share OND'09 JFM'10 AMJ'10 JAS'10 OND'10 JFM'11 HCL 14.0% 14.2% 14.5% 14.4% 14.6%  TCS 35.2% 34.9% 35.2% 35.9% 36.1%  Infosys 26.5% 26.8% 26.7% 26.8% 26.7%  

Wipro IT 24.3% 24.1% 23.6% 22.8% 22.6%  

Reported Incremental Revenue Market Share OND'09 JFM'10 AMJ'10 JAS'10 OND'10 JFM'11 HCL   17.8% 20.1% 13.7% 16.7%  TCS   27.2% 41.5% 43.4% 38.8%  Infosys   34.1% 23.8% 28.6% 24.7%  

Wipro IT   20.8% 14.5% 14.3% 19.8%  

Absolute Numbers