The New Essential

The confluence of technology

and human ingenuity

Annual Report 2021

It’s the best of humanity, bettered by Contents
technology. It’s technology brought Corporate Overview
to life by the best of humanity. Accelerated Growth – $10B & Beyond 4
Message from the Founder 6
It’s “THE NEW ESSENTIAL”. Message from the Chairperson 8
As we emerge from a year that tested Letter from the CEO 10
Board of Directors 13
the limits of our resilience, as we enter Perspectives from the CFO 14
the world of the new normal, what are Perspectives from the CHRO 15
the essential elements of success, for Financial Highlights 16
Leadership Team 18
both business and society?
A Broad Global Reach 20
They revealed themselves during the A Landmark Year 24
Sustainability 26
COVID-19 pandemic – in our potential
Empathy and Collaboration 28
to problem solve at scale and innovate Resilience for a Better Future 30
at speed, in our ability to act, adapt and
advance at a pace never before seen. Business Highlights 36
Cloud Smart 37
Achieving this in the midst of a crisis was
HCL Ecosystems 38
possible because we combined the best IT & Business Services 40
in digital technology with qualities that are Engineering and R&D Services 46
uniquely human. Ingenuity. Collaboration. Products and Platforms 48

Creativity. Agility. Empathy. Management Discussion

and Analysis (MDA) 50
Enterprises about to return to “business as
unprecedented” realize that transformative Directors’ Report 98
digital solutions are now a must-have, not an
option. If we apply them in combination Corporate Governance Report 154

with the intangibles of the human spirit, CEO and CFO Certificates 184
we won’t return to the way things were –
that’s not possible – but will go forward Business Responsibility Report 189
to the way things can be.
Financial Performance
Standalone Financial Statements 207
Consolidated Financial Statements 268
Statement under Section 129 339

1
 If this page were a room, we would be
standing silently together to honor the
members of our HCL family who lost their
lives to COVID-19. As we grieve their passing,
our thoughts and prayers are with their
families, colleagues, friends, and everyone
they touched with their presence.

We reflect on colleagues Though gone, our former colleagues live on in

the legacy they leave behind. The gap in our
lost to COVID-19 lives and our company cannot be filled. But
their example of excellence and commitment
will continue to inspire us. Each of them
played a role in HCL’s success. The dedication
they brought to work each day will motivate
us. We will be driven by what they stood for
and endeavor to continue their good work.

In their memory and guided by their spirit, we

pledge to maintain our determined efforts to
safeguard the health and wellness of everyone
at HCL.

2 3
 Accelerated Growth – $10.17B 168K+ 50 157
$10B and Beyond Revenue ideapreneurs Countries Nationalities

Shareholder return* FY21 (April 2020 – March 2021) Revenue mix

Highest 150%
A differentiated IT and Business
shareholder 138% and integrated
For the resilient
70.8%
HCLTECH Services (ITBS) digital enterprise

return portfolio
delivered in FY21
115% Enabling outcomes
Engineering and To engineer
15.6%
NIFTY IT
Sector Index R&D Services (ERS) “The Next”
among Large Cap for clients across
Technology Companies major industries
76% Products and Focused on
innovation and 13.6%
NIFTY100
Market Index
Platforms (P&P) client value
*Basis indexed share price increase 0%
Apr 2020 Mar 2021
Revenue mix by industry

21.9% 17.9% 17.4% 13.9% 10.8% 10.2% 7.9%

Fastest-
Financial Manufacturing Technology Lifesciences Public Retail Telecom, Media,
Total revenue growth Services and Services and Healthcare Services and CPG Publishing and
in % over five years Entertainment

growing large
technology
company 63.2% 28.5% 15.2%
over five years HCL Average of top Indian Average of other top
25.6% CAGR Sustaining our industry-
Technologies heritage providers global service providers
Mode 1-2-3 for Mode 2 over four years leading momentum

strategy AGILITY, EXPERIENCE AND INSIGHTS

The growth blueprint for a

ITY
Among the 6.64M sustainable, scalable and
Mode

PR
BIL
hours invested in

OD
LIA
employee upskilling
resilient digital enterprise
World’s Best
Mode Mode

UC
RE
1 3
Accelerating

TI
D

NN
new services

AN
Employers 47,000 employees trained

OV
Existing Building new and

CY
in digital skills

AT
core services reimagining mature

IEN

IO
products and platforms
Empowering ideapreneurs

FIC

NS
#30 #1 Digital

EF
to innovate, collaborate and
stay resilient globally out of India 11 countries where HCL
is a top employer
enterprise

4 Accelerated Growth – 10B & Beyond 5

 Shiv Nadar Dear Shareholders,

Founder and Chief Strategy Officer The ongoing COVID-19 pandemic has drastically changed our
world – society at all levels, businesses around the globe, and
our own individual lives, as well as those of families, friends, and
colleagues. In the past year, we have all worked valiantly to
At HCL, we have always respond to the disruption of the pandemic, a testament to
believed that technology the tenacity of the human spirit. It is now time for us, both as
and people working
together can generate individuals and as an organization, to embrace positivity and
positive change that hope for the future.
will advance the world
to the next stage.

At HCL, we have always believed that technology and to help asset-deprived and marginalized communities by
people working together can generate positive change equipping them with tools to transform people’s lives for
that will advance the world to the next stage. In fact, the better.
at HCL we call this partnership of digital technologies
and the human spirit “The New Essential”. It is a matter of great pride for me and all of us at HCL
that, even during these turbulent times, HCL employees
This collaboration was highlighted during the COVID-19 and partners have been working tirelessly at a grassroots
pandemic, particularly in the way that HCL puts humanity level to raise the quality of life in rural communities by
at the core of its business model. As HCL helped its clients alleviating poverty, improving health and wellness, and
transform their businesses, through a resilient and innovative promoting inclusive growth.
response to the pandemic, it was HCLites around the world
who exemplified these qualities. Their ability to problem As the global economy revives and we emerge from the
solve at scale and innovate at pace in a time of crisis crisis of the COVID-19 pandemic, I am sure that HCL will
provided the momentum that carried HCL to a significant be well prepared to meet future challenges. Our strong
milestone – joining the select group of 10 technology financials, growth momentum, and an extraordinary
services organizations that generate over $10B in revenue. executive team focused on executing our business’ digital
The achievement was a direct result of the collaborative strategy set us up for success in an ever-changing business
confluence of people and technology that has been at environment. Armed with our core beliefs of innovation and
the heart of HCL’s philosophy for the last 45 years. collaboration, and driven by a strong faith in humanitarian
values, we will achieve our business goals – goals that are
As we worked to help our clients navigate through these aligned with the socio-economic development of the
turbulent times with our advanced and innovative solutions, communities where we work.
we also worked continuously to help the 168,000+ HCLites
and their family members stay safe and healthy. I’d like to thank all of our shareholders, clients, partners,
and the entire HCL ecosystem for placing their valuable
But it’s not just the well-being of our customers and trust and confidence in the organization. I am confident
employees that shows HCL’s organizational responsibility. that, with their help, we will help define and take a lead
We’re also committed to the well-being of the communities in the brave new world of “The New Essential”.
where we operate. This year, HCL’s social responsibility
arm, HCL Foundation, completes a decade of creative Thank you,
contribution to the development of India and, increasingly,
areas around the world. Powered by a unique source code,
each Foundation program generates innovative measures

Shiv Nadar

6 Message from the Founder 7

 Roshni Nadar Malhotra Dear Shareholders,

Chairperson The world has been dramatically reshaped by the COVID-19

pandemic which has transformed life as we know it.
Technology has been all pervasive; however, it has become the
very epicenter of our lives in the wake of the pandemic. Without
HCL has always been the technology interventions available to humanity today, it is
the partner-of-choice hard to imagine the same accelerated pace of progress and
for leading enterprises
to augment human minimization to the disruption of everyday life.
ingenuity with next-gen
technology solutions –
“The New Essential”.
I am immensely proud to see our HCL family actively A crisis of such magnitude is a great reminder of our
becoming a catalyst of this change and helping global responsibility to give back to society and, at HCL, social
enterprises embrace digital transformation. HCL has responsibility is integral to our core values. While we
always been the partner-of-choice for leading enterprises are extremely focused on our clients, employees, and
to augment human ingenuity with next-gen technology shareholders, we do not take our social responsibility
solutions – “The New Essential”. It is because of the passion lightly and continue to support our communities around
and dedication of 168,000+ HCLites that we achieved the the world. This year, HCL Foundation is celebrating
milestone of becoming a $10B global technology company a decade of stewardship and creating socio-economic-
with a unique portfolio of offerings. As we move forward, environmental impact. Our success is not only reflected in
we are prepared to “Act, Adapt, and Advance” to the attaining our business goals but also in the socio-economic
next phase of our journey, keeping upright the spirit of development of the communities we engage with.
resilience, innovation, and collaboration. As an organization,
our strategy focuses on us being a responsible business, The pandemic has been a sobering reminder to the world
redefining workplaces, renewing ecosystems, and repaying that change can come in unanticipated ways. As the global
to society. economy revives and we emerge from this crisis, we will
continue to meet future challenges armed with our core
Last year, where the circumstances changed by the minute, beliefs of innovation and invention, driven by a strong
attributes like empathy, compassion, and speed helped faith in humanitarian values.
us consistently deliver industry-leading performance.
The trust our clients and partners have shown in us is Together with our employees, clients, and partners, we are
a testimony to this commitment. sowing the seeds of resilience for a stronger and better
tomorrow. I hope the actions that we are implementing
For us at HCL, the top priority has always been the health today will help HCL stakeholders look back at us with
and safety of our employees and business continuity for immense pride.
our clients. In the early days of the COVID-19 pandemic
itself, HCL pushed the pedal to facilitate the transition of I would like to thank and express my humble gratitude to
employees and clients to work remotely and build capacity our shareholders for always believing in us to lead the way
through swift infrastructure scale-up. Our timely COVID-19 on the path of transformation and excellence.
planning led to 96 percent of our employees working from
home. It was made possible due to the commitment of Thank you,
our employees, discipline of the leadership, and our
robust processes.

Roshni Nadar Malhotra

8 Message from the Chairperson 9

 Letter from
the CEO The fiscal saw us surpass many of our previous
financial achievements. We crossed the $10 Billion
Our employees have done a heroic job on
the front lines. It is because of their unstinted
(₹ 75,379 Crores) revenue milestone and exited the
During a year of crisis year with a growth of 6.7% Year-on-Year (YoY), commitment that despite the pandemic-
and outstanding EBIT (Earnings Before Interest induced headwinds at the start of the fiscal,
and upheaval, HCL not and Taxes) performance. We also registered an
we finished FY21 on a very strong note.
all‑time‑high pipeline and the highest ever net new
only served its clients deal booking of $7.3 Billion in FY21 (this does not
include renewals or rate card deals that we have Tailwinds in our favor
and safeguarded its signed, which were also significant throughout the
year). And what’s most promising is that these deals
Driven by this robust all-round performance, we are
very confident of retaining our growth momentum in
employees but also span across verticals and geographies and represent
Fortune/Global 500 companies where there is
near and midterm. At the heart of this optimism is the
acknowledgment of some significant tailwinds which
delivered record results. significant headroom for growth. we are witnessing in favor of our strengths over and
above our existing momentum in all our chosen
This record-breaking booking and broad-based segments and markets:
pipeline augurs very well for our growth in near-term
and is predominantly driven by our Mode 2 services. Unprecedented digital proliferation – experts believe the
Dear Stakeholders, COVID-19 pandemic has put into motion one of the most
This momentum attests our belief that our Mode 2
2020 was an unusual year which tested and Mode 1 service revenue would be equal in the intense periods of digital proliferation in modern history.
human ingenuity and resilience like no other medium term. That is also the aspirational goal that Every sector – from healthcare to education, retail,
span in recent memory. It will also perhaps we are working towards. transport to financial services – is being “techi-fied” and
go down in history as a period which reframed modernized through digital technologies to survive and
a lot of what we thought were “essentials” During the fiscal year, Mode 1 of our businesses thrive in the emerging new economic order. We are,
(whether it be freedom of movement, nature remained steady despite weathering the greater however, still at an early stage of this multi-year
of livelihoods or even the frequency of primal impact of the pandemic-related headwinds. transformation. Currently our industry constitutes
human connections) in the face of a pandemic In Mode 2 and Mode 3 we posted a handsome 5 percent of the GDP of the U.S.A, for example, and it
that has no equivalent precedence. double‑digit YoY performance predominantly led will expand to 10 percent in a decade with similar
by digital transformation acceleration. Our Mode 3 acceleration expected across the globe.
“The New Essential” is a thought that emerged segment stands validated by better-than-expected
as we tried to navigate this journey with our business case performance. We see a lot of new Heightened activity in the cloud space – estimates point
employee and customer family spread across opportunities to grow this business. to a $300 Billion services opportunity in the cloud space.
nearly every industry and country across the To address this swiftly expanding opportunity we launched
globe that was impacted. We realized that the Under the canopy of these spectacular numbers, we #HCLCloudSmart, an overarching offering, that helps
only way to successfully make this journey was also emerged as highest-ranked India headquartered enterprises accelerate and maximize business value
through a combination of the best in digital company in Forbes’ “World’s Best Employers” global from cloud in alignment with industry needs, specific
technology and the best of the human spirit. list and were ranked 30 overall, and received the organizational goals and unique client situations. One of
highest governance quality score of 1st decile from the key enablers of this offering is our strong partnerships
Being a global technology provider placed Institutional Shareholder Services (ISS). Additionally, with leading cloud hyperscalers. We were amongst one
us right at the heart of ground zero where we were recognized as “Company of the Year” by of the first large Global System Integrators (GSI) in the
we were called upon to not only help our India’s leading business newspaper, Business Standard, world to design dedicated ecosystem business units for
customers Act and Adapt to the changed in recognition of our stellar financial performance each cloud hyperscaler, some as far back as two years ago.
circumstances but also to Advance despite coupled with a strong focus on innovation, capability
the challenges posed by this unusual year. building and strong business ethics. Enhanced traction in digital engineering services
and platforms – driven by Industry 4.0, Hyperscale
Our employees have done a heroic job on I am also proud to share that the challenging Platforms, Data Engineering, PLM, and 5G/Edge, we are
the front lines. It is because of their unstinted circumstances of the year did not deter HCLites from witnessing a steadily rising demand in HiTech, Telecom,
commitment that despite the pandemic- giving any less than the best support to our clients Manufacturing, and related industries for full-scale Digital
induced headwinds at the start of the fiscal, despite all the odds. A reflection of which was visible Engineering solutions. Being a world leader in Engineering
we finished FY21 on a very strong note. in the Company achieving yet another all-time high and R&D Services gives us vantage position to leverage
client satisfaction index and Net Promoter Score. this trend in our favor.
C Vijayakumar
Chief Executive Officer

10 Letter from the CEO 11

 Board of Directors
FY22 pressing forth! In adjacency we will further expand our onsite
As we look ahead, we see a significant opportunity to delivery centers in U.S, continental Europe and
take the driving seat on these trends. In the medium term, Australia supported by near-shore centers in Canada,
we will focus on four critical arenas: Mexico, Costa Rica, and Eastern Europe, alongside
“New Vistas” locations in India, Sri Lanka, Vietnam,
• We will continue to invest in new emerging technologies and the Philippines.
like AI, data analytics, hybrid cloud, digital engineering • The year ahead will also see us further accelerating
(Softwareization, IoT, 5G etc), Edge, and cybersecurity. actions on the important agenda of environmental and
A significant part of this investment would focus on social responsibility. We have been working passionately
training our employees on these new technologies on this mission for many years now and recently Shiv Nadar Roshni Nadar Malhotra Shikhar Malhotra
along with enhancing our digital Centers of Excellence (in June 2021) received an important accolade from Founder and Chairperson Director
(CoEs) for deeper capability incubation the leading investment and financial services group, Chief Strategy Officer Non-Executive,
• In terms of geographies, we are witnessing accelerating Edelweiss, ranking us as the No. 1 company in India Non-Independent
demand for a global delivery model in mature economies on environmental and social governance (ESG)
C
like Germany, France, Canada, Australia, and Japan. • Last but not the least, I am convinced that nothing
While we have meaningful presence in these countries, we do is more important than hiring and developing
we will now be doubling down on sales and marketing our people. We have several programs in place to
investments there to capture expanding opportunities. Independent
enable grooming of top-notch talent including hiring
We are also expanding into mid-sized markets like Non-Executive Directors
entry-level college and school graduates (“TechBees”,
Brazil, Mexico, Spain, Portugal, South Korea, Vietnam, as we call them) from local academic institutions across
and Taiwan. the world as well as attracting lateral hires with
distinguishing domain expertise. We have also further
strengthened internal training systems to upskill our
employees on emerging next-gen technologies
Together in pandemic response
We have structured our crisis response team into Robin Ann Abrams R Srinivasan Dr. Sosale Shankara Sastry
Together for a better tomorrow
three layers – at the core is a group of our Executive Director Director Director
We are entering FY22 with great confidence as an
leadership who evaluate and plan rapid response.
organization, but as a community and as a team we C C
The second layer consists of region/country leads
remain deeply humbled and cautioned by a pandemic
who direct the execution at local level, and the third
that is testing our resilience every day.
layer consists of our employee volunteers who are
helping us in ground zero outreach.
Before I end this note, I want to express my deepest
gratitude to the front line and healthcare workers who have
With this multi-layered machinery we have been able
looked after us so tirelessly throughout this tough year.
to provide a range of timely support provisions to
our employees and their families across the globe.
I also want to pay my most heartfelt condolences to
Based on each country’s point-in-time need, our
the families who have lost their loved ones at the hand
support provisions have spanned three arches of Key to Board Committee
of this cruel pandemic. The despair we all feel can never
Policy, Prevention, and Response. On policy we have membership: S Madhavan Thomas Sieber Nishi Vasudeva
be sufficiently expressed in words, so all we can do, and
undertaken timely interventions like WFH enablement, Director Director Director
must do, is honor those dearly departed with our actions.
family assistance program for dependents of deceased Audit
At HCL, we are committed to make all the investments C C C C
employees, and comprehensive pandemic leave.
and embrace all the best practices it will take to end this Corporate Social
pandemic and prepare the world for a better, more Responsibility
With regards to preventive measures, we have been
resilient future.
offering COVID-19 testing assistance, organizing Nomination and
vaccination drives wherever allowed by country Remuneration
The HCL family stands
administrations as well as working on getting our
#StrongerAndTogetherForTomorrow Finance
GDCs (Global Delivery Centers) certified as ready
for “Prevention of Spread of Infection” wherever such Stakeholders’ Relationship
Sincerely,
workplace certifications are available. Our response
Risk Management
measures have also been exhaustive, including
hospitalization support, isolation facility, ambulance ESG & Diversity Deepak Kapoor Dr. Mohan Chellappa Simon John England
service, doctor consultation, medicines delivery, Director Director Director
life coach and mental health support, and tie-up C Vijayakumar C Respective Chair
with food delivery services for those self-isolating. of each Committee

12 Board of Directors 13
 Resilience in the Face of Adversity Empathy in Times of Crisis
Perspectives from the CFO Perspectives from the CHRO
HCL more than weathered a year dominated by the COVID-19 Like all companies, HCL has been through a wrenching 18 months. Chief Human
pandemic crisis, reporting strong and in some cases record financial results. Resources Officer Apparao VV, one of the leaders of HCL’s COVID-19 pandemic
Chief Financial Officer Prateek Aggarwal explains how the company was response, describes the combination of technology and human ingenuity,
able to show such resilience in such a challenging period. of empathy and effectiveness, that has driven that response.
What is your overall assessment of A particularly gratifying aspect of these We didn’t end up tapping the facility, Can you recall a personal ensuring employee safety and The buddies program is about
HCL’s financial performance in FY21? results was our reaching the milestone but the cash was available, had we experience that epitomizes for well-being, minimizing client impact, individual rather than corporate
The numbers speak for themselves. of USD 10B in annual revenue, which we needed it. We further improved our you HCL’s response to the crisis? ensuring business continuity, and caring. What is the source of
In the midst of a pandemic, HCL was marked with the special appreciation invoicing and collection processes, An HCL colleague was hospitalized providing support to communities. this organizational and
able to support clients in the running bonus to employees of 10 days reducing our DSO (daily sales with COVID-19 in a remote town in And while in many companies, the individual empathy?
of their businesses and digitizing and equivalent salary and a special interim outstanding) by four days on a north India at a facility unequipped COVID-19 pandemic response was HCL is a very passionate organization.
modernizing their applications and dividend of ₹ 10 to shareholders. year-on-year basis. We enjoyed good to handle such a critical case. His wife led by functionaries from legal, Caring runs deep in our veins,
operations. This led to record revenue cash generation from our Products was frantic, and after a few days she admin, and security, our team whether its caring for clients or
of ₹ 75,379 Crore (USD 10.17B) To what do you attribute that and Platforms business segment, as reached out to us saying her husband’s included the company’s senior-most caring for one another. COVID-19
representing 6.7 percent year on strong performance? the software business by its nature condition was deteriorating. Within leadership. The group met twice saw every single one of us affected
year growth. EBITDA (Profit before Well, the revenue growth was driven enjoys negative working capital. two hours, we had organized an weekly, sometimes more often, to in one way or the other, be it family,
taxes, finance cost, other income, primarily by our Mode 2 businesses, Finally, we took advantage of the ambulance and moved him to one of proactively manage the evolving friends or colleagues. With pain
depreciation and amortization) in FY21 including next-generation technologies environment created by the pandemic the bigger hospitals in Delhi. Happily, situation. This high-level support comes the need to care, which
was at an all-time high of 27.6 percent, such as digital & analytics, cloud native to go to the international bond markets. he survived. This is just one incident. allowed us to avoid lengthy approvals comes with empathy.
before one-time charge associated services, cybersecurity, and Internet But the speed at which we coordinated and to make decisions quickly.
with a special bonus to employees, of Things, as well as by our Mode 3 What were the circumstances with the hospital, arranged for an
reflecting the quality of the revenue businesses, such as HCL Software surrounding the bond issue? ambulance with a ventilator, and got What are some of HCL’s
stream. Also, our EBIT (Profit before and other products and platforms. We issued bonds of ₹ 3,656 Crores him admitted reflects the type of initiatives aimed at individual
taxes, finance cost and other income) (USD 500M), with a very attractive care HCL has tried to provide to all employee health and well-being?
of 16,165 Crore grew by 16.3 percent And of course, a special shout-out to coupon rate of 1.375 percent and a its employees during the pandemic. There are literally dozens of active
year on year. my fellow HCLites for standing steady yield of 1.58 percent. We were able to programs, both big and small. They
in the face of the COVID-19 pandemic do this because of the strong A- rating Were there broader initiatives range from a 24/7 medical helpline
and delivering customer delight and we had earlier received from S&P. that reflect this kind empathy? staffed with trained nurses and
Prateek Aggarwal great results without missing a beat! This bond issue, the highest-ever rated doctors to setting up vaccination Apparao VV
Our support during the COVID-19
Chief Financial bond issue from India, allowed us to centers at in-premises HCL healthcare Chief Human Resources
pandemic hasn’t only involved HCL
Officer Given the challenges HCL faced in retire most of our outstanding debt, clinics and off-campus locations for Officer
employees. There have been
weathering the crisis, what do you locking in all-time low interest rates numerous initiatives to help the all employees and their families.
find the most surprising metric? for the next five years. We followed communities where we live and work. There’s a Financial Assistance Program
We had strong operating cash flows this with another A- rating from Fitch. One innovative program addressed for families of employees who have
generation of ₹ 19,618 Crores, up the severe shortage of hospital beds died from COVID-19, which includes
47 percent on a year-on-year basis. What were other highlights of with oxygen support. We learned not only immediate financial support
Those are strong results in a year the year? that there were a number of hospitals but also such benefits as five years
when the world faced tremendous Well, year-on-year total shareholder that had the necessary medical staff of school fees for their children. The
economic difficulties. return (TSR) during FY21 hit an and building capacity but lacked deployment of in-house technology –
all-time high of 128 percent. And this beds and equipment. We were able for example, a contract tracing app,
How was HCL able to be so was part of a long-term positive to quickly procure these for these a health status tracking tool and
financially resilient during this trend, 21.2 percent over the past five hospitals, easing the shortage for virtual consultations – has accelerated
challenging year? years and 24.8 percent over the past both HCL employees and those with our response. Under an employee
ten. HCL also declared a healthy no ties to the company. buddy program, employees volunteer
Let’s start with cash flow. We were
dividend of ₹ 26 for the year, including to check up on colleagues affected
probably the first and perhaps the
the special interim dividend of ₹ 10. Both of those examples suggest by COVID-19, ensure they are
only company among our peers
We also improved our internal not only good intentions but also receiving proper care and provide
during the pandemic to preemptively
controls and governance during effective execution. moral support.
set up a significant revolving credit
facility with our banks. This gave us the year, overhauling all of our ICFR In early January 2020, as the world
access to USD 800M, on top of the processes. So, in areas both macro was only just becoming aware of
₹ 10,283 Crores (USD 1.36B) in cash and micro, we made major strides COVID-19, we formed a crisis
we had on hand on 31 March 2020. forward in a challenging environment. management team charged with

14 Perspectives 15
 Financial Highlights
HCL continues to deliver strong growth Revenue from Operations Profit before Taxes, Finance Profit after Tax Operating Cash Flows
(₹ Cr) costs, and other Income (₹ Cr) (₹ Cr)
momentum in FY21. This reflects in (₹ Cr)

the company’s stellar performance

across its service offerings in digital,
14.2% CAGR* 16.1% CAGR* 8.5% CAGR* 33.1% CAGR*
along with an all-time high of large 70,676
75,379 15,437
10,120
11,057 11,145 19,618
13,896
deals TCV (Total Contract Value). 60,427
11,853 8,721

This has enabled highest shareholder 50,569

9,863
13,359

returns during this fiscal. 8,328

8,971

$10.17B ₹ 75,379 Cr
Revenue Revenue FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21
6.7% increase YoY

₹ 15,853 Cr 20.5% Diluted EPS

(₹)
Employee Metrics
(Headcount)
Client category
(Number of clients)
Profit before tax Profit before Taxes,
13.4% increase on YoY Finance costs and,
other Income in FY21 9.7% CAGR* 15 15

10
8
40.8 41.1 17.7% 168,977 35
150,423
36.8 15.5% 30

₹ 19,618 Cr 58
137,965 28 29
31.1 16.3%
120,081
178
Operating cash flow New large deals signed 160 166 171
47% increase YoY
9.9%
308 318
264 283

623 791 809

561

$7.3B 50% FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21
FY18 FY19 FY20 FY21
New Deal TCV Total increase in $100M+
18% increase YoY clients over past two FYs
* 3 year CAGR Attrition (Excludes $100+ M $50+ M $10+ M $5+ M $1+ M
involuntary attrition and
Digital Process Operations)

16 Financial Highlights 17
 Leadership Team

C Vijayakumar Prateek Aggarwal Apparao V V Prahlad Rai Bansal Sanjay Gupta Shrikanth Shetty Srimathi Shivashankar Sukamal Banerjee
President and CEO Chief Financial Officer Chief Human Resources Deputy Chief Financial Officer Corporate Vice President and Corporate Vice President Corporate Vice President and Corporate Vice President
Officer Program Director Life Sciences and Healthcare, Program Director Industry Software Division and
New Vistas Americas New Vistas IoT WoRKS™

Ajit Kumar GH Rao Rahul Singh Anand Birje Swapan Johri Vijay Anand Guntur Ajay Bahl Arthur Filip
Chief Information Officer President President Senior Corporate Vice Corporate Vice President Corporate Vice President Executive Vice President Executive Vice President
Engineering and R&D Services Financial Services President Asia Pacific & Middle East Engineering and R&D Services Manufacturing and Public Sales Transformation &
Head of Digital Business Services, Americas Marketing

Anoop Tiwari Ashish Kumar Gupta Darren Oberst Jagadeshwar Gattu Eric Cohan Kevin McGee Raghu Raman Lakshmanan Stellar Kim Tucker
Senior Corporate Vice Senior Corporate Vice Senior Corporate Vice Senior Corporate Vice Executive Vice President Executive Vice President General Counsel Executive Vice President
President President President President Chief Procurement Officer Chief Risk Officer Corporate Development
Digital Process Operations Europe and Africa, Diversified HCL Software Division Infrastructure Delivery, Americas
Industries

Rajeev Nanda Anil Ganjoo Kalyan Kumar Maninder Singh

Senior Corporate Vice Corporate Vice President Chief Technology Officer Corporate Vice President
President TMT and RCPG, Americas and Head – Ecosystems CyberSecurity & GRC
Infrastructure Delivery,
EMEA and APAC

18 Leadership Team 19
 50 Countries
157 Nationalities
One HCL

The collective ingenuity of over

168,000 ideapreneurs across the
world positions us as the industry’s
partner-of-choice for empowering
“The New Essential”

60+
Innovation labs
100+
Engineering labs
Our innovation labs help ideate, Our engineering labs help design,
develop and deliver futuristic solutions test, and accelerate product
through next-generation technologies development and certification by
for the business transformation leveraging the latest technologies
journeys of our clients. to create immersive customer Global presence Delivery centers Innovation labs
experiences.

215
Canada Florida North Carolina Mexico Middlesbrough Germany Poland Israel China Philippines
Edmonton Boca Raton Cary Guadalajara Preston Eschborn Krakow Herzliya Beijing Pasig
Mississauga Georgia Greensboro Romford Gifhorn Wroclaw Netanya Dalian Taguig
Moncton Atlanta Kings Mountain Guatemala Watford Munich Kunshan
Delivery centers Toronto Illinois Ohio Guatemala City Welwyn Garden City Osnabrück South Africa India Shanghai Japan
Vancouver Peoria Cincinnati Wolfsburg Johannesburg Bengaluru Fukuoka
Our delivery centers support Rockford Cleveland Brazil Spain Chennai Sri Lanka Tokyo
customers and partners globally U.S.A Indiana Oregon Curitiba Madrid Italy Finland Coimbatore Colombo
by providing access to the Alabama West Lafayette Portland São Leopoldo Milan Espoo Gurugram Australia
Huntsville Kansas Redmond São Paulo France Rome Hubli Malaysia Adelaide
latest technology expertise Arizona Olathe Pennsylvania Lyon Romania Hyderabad George Town Brisbane
and business-oriented Scottsdale Massachusetts Horsham Portugal Toulouse Sweden Brasov Kochi Kuala Lumpur Canberra
technology solutions. California Chelmsford Pittston Lisbon Eskilstuna Iasi Kolkata Melbourne
Emeryville Michigan Texas Netherlands Gothenburg Lucknow Vietnam North Sydney
Lake Forest Jackson Arlington Ireland Amsterdam Malmö Lithuania Madurai Hanoi Perth
Sacramento Troy Austin Dublin Skövde Vilnius Mumbai Sydney
Westlake Village Minnesota El Paso Norway Stockholm Nagpur Singapore
Colorado Duluth Frisco U.K Oslo Bulgaria Noida Singapore New Zealand
Denver Minneapolis Virginia Armagh Stavanger Czech Republic Sofia Pune Hamilton
Connecticut New Jersey Vienna Belfast Liberec Varna Vijaywada Hong Kong
Shelton Jersey City Washington Egham Belgium Mladá Boleslav Wanchai
Bellevue London Ghent Prague

20 A Broad Global Reach 21

 Select HCL facilities across the world

Colombo, Sri Lanka

Nagpur, India São Paulo, Brazil Vijaywada, India

Sydney, Australia Guadalajara, Mexico Madurai, India Guatemala City, Guatemala

Lucknow, India Hanoi, Vietnam Gifhorn, Germany

22 A Broad Global Reach 23

 A Landmark Year INVESTING IN GROWTH AND INNOVATION

Recognized as best-in-class by the industry’s best. New innovation Commenced

Committed to not resting on our accolades, with center in Canada operations in Sri
strategic investments across our stakeholder ecosystem. 350-seat facility to deliver Lanka and Vietnam
advanced solutions and Strategic delivery locations
reaffirm decade-plus to create local employment
commitment in Canada opportunities, upskill talent
EMPLOYER Forbes World’s Top Universum Global’s and deliver best-in-class
solutions for clients worldwide
Best Employers Employers Most Attractive The first
2020 Institute Employers Cybersecurity Fusion
Acquisition of
Ranked 30 globally and the No. 1 recognizes HCL as a “Top Ranked 53 among Indian graduates Center in Europe
ranked brand with an India HQ Employer” across 11 countries and young professionals in the
Our state-of-the-art CSFC in
the DWS Group
Engineering/IT domain Acquired the Australian IT,
Gothenburg, Sweden will enable
clients to safeguard their business and management
organizations across data consulting group focused
MEDIA Business Standard’s CNBC TV18’s Winners Forbes Global sovereignty, cyber attack,
threat detection and resolution
on clients across verticals in
Australia and New Zealand
Company of the Year of the Decade 2000
at the BS Annual Awards 2020 Only technology company honored Listed at #809.
for stellar performance, innovation for shareholder wealth creation Featured for the 11th Better Health New frontier
and global impact consecutive year
Hackathon: expansion and
#CodeForCovid19 investments
INDUSTRY Included in Industry-leading First to receive The world’s largest collaboration
and crowd-sourcing platform to
Identification of the next
global growth centers for
ISG’s Big 15 corporate governance Intertek’s “PROTEK” design solutions that addressed
the wide-ranging, systemic
the IT Services market with
targeted expansion focus
Among the top 10 managed
services companies in ISG Global
quality score certification challenges of COVID-19, driven by regional leadership,
talent and partnerships.
received from Institutional organized with top partners
Service & Technology standouts among tech services companies
Shareholder Services across academia, industry, tech, Markets include Brazil, Mexico,
headquartered in India, for South Korea, Vietnam, South
life sciences and healthcare
“Prevention of Spread of Infection” Africa, Spain, and Portugal

BRAND Brand Finance BrandZ Top 75 Brand Finance New Vistas

Choose France –
employee strength
Global 500 Most Valuable India 100 crosses 15K Indian Investment
2021 Indian Brands 2020 Our strategy of expanding to
in France 2020
5th strongest Global Ranked 42. Ranked 9. emerging talent hubs achieved winners
IT Services brand. Top 50 brand since inception 5th consecutive year in the top 10 significant milestone with HCL was recognized by the
Up 72 spots to rank 353 a 43 percent growth in our Indo-French Chamber of
workforce across our New Commerce and Industry
Vistas of Lucknow, Madurai, at its awards organized in
Nagpur, and Vijayawada, cities
LEADERSHIP Shiv Nadar Roshni Nadar Malhotra C Vijayakumar that offer unique competitive
partnership with Business
France and the French Ministry
Founder and Chief Strategy Officer, Chairperson, HCL Technologies, featured in: President and CEO, HCL Technologies, advantages enabling operational of Economy and Finance
HCL Technologies, was honored by CNBC Forbes Asia’s Power Businesswomen 2020; featured in Business Today’s Best CEOs resilience and scalability
TV18 with the “Lifetime Achievement Award” Fortune’s 50 Most Powerful Women at #10 of India 2020, recognized as CEO of
at India Business Leader Awards 2021 the Year in the IT/ITES industry

24 A Landmark Year 25
 Sustainability Women Lead
Launched in 2015, Women Lead is a formal 1:1 mentorship program in which senior industry
leaders mentor aspiring women leaders from across organizations and continue their
relationship through a network known as the “Circle of Influence”. In FY21, the third chapter
Creating harmony between people, planet, and prosperity. of the program was launched in Australia and its inaugural chapter launched in the Nordics.
At HCL, we have always built sustainability principles and actions
into the strategy, culture, and day-to-day operations of our company.

Our sustainability initiatives are based on a combination of how materially important they are to our business Beyond COVID-19 (ESG) goals deliver strong value and NGOs in the areas of environment,
and to our stakeholders and are defined in four main areas: We aim to improve the lives of people nurture the lasting and productive health and education, and
around the planet, encouraging our relationships we have with our HCL Samuday, which provides
employees, clients, stakeholders, and employees, clients, and stakeholders. a range of financial and other
the communities where we live and HCL’s ESG progress is visible in its support to rural communities.
Repay Renew the Redefine the Responsible work to have a higher purpose. adherence to the United Nations
Society Ecosystem Workplace Business Global Compact and is documented Governance
Our initiatives, which focus on the in our Business Responsibility Report. We follow best practices in our
disadvantaged in the areas of health, governance policies, including those
Marginalized Women Green Buildings Global Mobility Benchmarking
education, nutrition and the promotion Environmental dealing with such areas as diversity,
Programs Sustainability
Responsible Supply Chain Supply Chain Diversity of STEM (science, engineering, HCL has aggressively taken steps to bribery and corruption, and executive
Rehabilitation and Bridge Ethical Social Media technology and math) skills, included: combat global warming by cutting compensation. Our policies are
Advocacy Diversity and Inclusion
Schools greenhouse gas emissions and applicable to all employees as well as
Economic Performance
Water Neutrality Industry and Academia • U
 .K: Sponsored “Get Started” reducing our carbon footprint, as our supply chain. We are a member of
NGOs Capacity
Governance programs to aid the young in well as promoting ethical waste the United Nations Global Compact
Environment Certification Career Lifecycle
Mentor Youth developing digital skills such management and energy efficiency. and adhere to its Ten Principles.
Siting Policy
Safe Waste Disposal Employee Experience as application development
Youth Skill Development Some highlights:
Supply Chain Management • F
 rance: Created internships for Accolades
Biodiversity Employee Well-being
Child Rights Advocacy Apprentis d’Auteuil’s “Coders • E
 delweiss, in its annual ESG
Green IT • A
 chieved 55.9 percent reduction
Reduced Paper Usage of Tomorrow” Scorecard & Ratings, gave HCL the
Arts and Culture in per capita carbon footprint
Impact Forums highest overall score (91.9/100)
Green Procurement • S
 outh Africa: Partnered with between 2010 and 2020
Care For Disadvantaged among India’s Top 100 National
Innovation AMANDLA KuLutsha to sponsor • Increased the renewable energy
Energy Management Stock Exchange (NSE) companies
Digital Labs as part of its Safe-Hub portion of our overall energy
program for underprivileged youth • Institutional Shareholder Services
consumption to 10.4 percent in FY20
(ISS) awarded HCL its highest

10 years 2.1M 380K+ 274K+ 52K

• G
 ermany: Supported “German • D
 ecreased per capita water governance quality score, the
Women’s Council” with digital consumption by 23.5 percent 1st decile
school projects to promote since 2013
of supporting lives impacted people supported animals cared for acres of land brought • C
 iti Research Report 2020
gender equality
communities by the over a decade through the during the pandemic under sustainable included HCL among the global
HCL Foundation, pandemic community governance • U
 .S.A: Participated in “Habitat Social
companies enjoying BUY
our CSR arm in 10 years for Humanity” program to build We strongly believe in integrating
recommendations with the
houses for the underprivileged ourselves with the local communities
highest ESG ratings
and contributed to programs we serve, in effect seeking their
promoting STEM-related careers “social license” to operate as a good • S
 ustainalytics awarded HCL a
COVID-19 Response India: U.S: for young women citizen and contribute positively to 2021 ESG Industry Top Rated
Various HCL entities moved swiftly Partnered with District Administrations, Partnered with the University of the overall well-being of the area. Badge and ranked us 15th out
during the pandemic to mitigate the medical departments and hospitals California, Berkeley, to build a health ESG Strategy We monitor metrics related to human of 167 companies in the global
humanitarian crisis: to bolster medical infrastructure technology collaborative laboratory Shaping and strengthening the rights, labor standards in the supply sub-industry IT consulting
and provide crucial equipment to to address needs around telemedicine economic, social and financial future chain, exposure to illegal child labor,
both improve care and increase and telesurgery. Worked with Feeding of communities is at the heart of HCL and adherence to workplace health
hospital capacity. America, the CDC, and the Gates culture. We have seen our focus on and safety guidelines. Programs in
Foundation to raise funding for environmental, social and governance India include HCL Grant, which funds
COVID-19 relief.

26 Sustainability 27
 Empathy + Our approach, while driven by empathy and compassion

Collaboration
was focused on ensuring that all our stakeholders could
remain resilient during the crisis.

COVID-19 presented us with a global humanitarian crisis

Empathy, compassion demanding we secure employees, minimize client impact,
maintain business continuity and provide support to the
and speed helped us communities we serve.
respond to COVID-19
Our response began with making external experts
in an effective manner. available to the Executive Crisis Management team led
by the CEO, CHRO and CRO. We also joined hands with
local governments, providing IT support to strengthen
their response, and making oxygen concentrators/plants
available to different Indian state governments. Most
importantly, HCL has put in place a ₹ 100 Crores program
to have employees and their families vaccinated for free
in the safety of our offices.

Some of the notable measures include:

The new workplace: From the early enablement of

Work from Home we have moved to a hybrid model
with a resilient supply chain of facilities operations,
transport services, etc., in place.

Employee well-being: A 24/7 helpline, medical

consultation, health insurance and mental health
counseling programs are available.

Covenger Buddy program: A volunteering program that

encourages employees to support impacted co‑workers.

Buddies for essential services: Our employee network

arranged medicines, food, oxygen, home-care services,
ambulance, etc., through tie-ups with providers.

Technology support: A range of technological

interventions accelerated our response:

• Contact tracing app

• MobioSafe app
• Chatbot for query management on the intranet
• Safety Check Tool to show containment zone, testing
centers and hospitals
• Better Health Hackathon with 7,500+ innovators from
50+ nations and 1,000+ organizations

24/7 150,000 7,500

Global COVID-19 Employees working Innovators
helpline for remotely participated in
employees #CodeforCovid19
and their families Hackathon

28 Empathy and Collaboration 29

 Global Banking and Financial Services Organization

Resilience for Within the first week of the COVID-19 pandemic, the client was faced with a huge and
urgent challenge of ensuring a 100 percent secure WFH setup for their employees. HCL

a Better Future
successfully managed the situation while maintaining business continuity. Teams were
equipped with client-specific IT assets, upgraded bandwidth, ergonomically designed
WFH furniture and power backup in a matter of days. The globally renowned “Protek”
certification was also secured. Continuous support was provided to the client’s team to
ensure compliance with organizational and government guidelines. A Virtual Induction
The capacity to face any crisis is rooted in resilience. Kit was quickly launched to bring new hires up to speed with the client’s renewed
We worked tirelessly through the year to enable our business needs and technology landscape.

employees, our clients and the communities we serve

remain resilient during this challenging time.

ENABLING EMPLOYEE RESILIENCE BUILDING CLIENT RESILIENCE Client Perspective

“HCL have been an important
partner in AIB’s technology

90% HCL acted with a decisive global

response plan at the earliest stages
of the outbreak in January 2020
impact of COVID-19 through our
“Virtual Situation Room” helped
leaders make real-time decisions.
Global Provider of Professional
Information, Software Solutions
and Services
employee engagement sessions,
Toastmaster workshops and virtual
festival celebrations to maintain the
response to the Covid pandemic,
ensuring continued delivery of key
HCL employees services to the AIB workforce.
“very satisfied” with focused on employee safety and HCL also deployed apps SARAS (Self The client, based in New York City morale of the team. HCL played a pivotal role in the
COVID-19 response well-being, minimizing client impacts Assessment Risk Analytics System) in the U.S, provides services related enablement of remote working
and supporting local communities. and Mobile Safe for employees to to healthcare, legal, business, tax, Multinational Gaming Company and collaboration capabilities.”
assess their health and COVID-19 accounting, finance, audit, risk and The client experienced a sharp
Agility risk status on demand 24/7. compliance. They were severely pandemic-induced decline in revenues. Graham Fagan

99% Through an established Business

Continuity and Crisis Management
Program, we quickly mobilized remote
Resilience
Our pandemic management across
impacted when coronavirus cases in
New York increased. Their healthcare
services were adversely impacted as
Their systems were not ready to work
through the lockdowns. HCL quickly
updated their systems for remote
Director of
Enterprise
Technology and
Of clients rated
our COVID-19 working for 150,000 of our employees. our global offices set an industry forced lockdowns limited their access processes and successfully restored Cloud Engineering,
response as To make them comfortable with their benchmark. From entry into offices to niche skills. HCL assisted the client operational normalcy. With 40+ Allied Irish Bank
“very effective” new work conditions, we deployed our using a mobile app and temperature by conceptualizing, creating and emergency releases in a week, 400+
or “effective” already-established IT capacity for checks at entry and exit, to sanitizing launching an online platform to provide employees began working from home
our Work from Home (WFH) program workstations for employees who information to their B2B clients in the in a secure and agile manner. HCL has
“HCL are always open for
at scale, along with on-demand visited offices on a needs-basis, we areas of clinical decision support, also established 24/7 support for the
exploring new ways of working
employee support. spared no effort to ensure employee nursing education, nursing practice client’s ongoing operations.
and help us accelerate our own
safety. We provided personal solutions, medical research, nursing
transformation. During the
As part of the same program, we protective equipment (PPE) kits, and allied health journal and book Large Auto Lending Company
pandemic especially, HCL
created a robust company-wide supply masks and gloves to employees publishing solutions, and continuous The project team proactively planned
demonstrated strong partnership
chain for critical services including free of cost. And to ensure social medical education. HCL brought to for potential COVID-19 impact by
and stepped up to support on
technology, security, people, facility distancing by employees, clients, bear its best-in-class capabilities and upskilling and cross skilling their
unexpected challenges.”
operations and transportation services, associates and guests, we blocked execution prowess to enable timely resources from different tracks
and invested in additional infrastructure off alternate seats in offices, visiting business continuity for the client. on related technologies. When Nicholas Asplund
to roll this out worldwide. areas, washrooms and cafeterias. approximately 15 percent of the Head of Digital
Fortune 100 Financial Services staff was impacted over a Strategy &
Innovation Organization six‑to‑eight week timeframe and Architecture,
Online Cybersecurity/Digital Workplace In January 2020, at the beginning one specific track had 40 percent Volvo Cars
training modules were set up. A 24/7 Empathy and Collaboration of the COVID-19 pandemic, HCL and of its staff affected by COVID-19,
global helpline provided free healthcare Maintaining exemplary workforce the client swiftly created a Business the pre‑planning efforts enabled
services to employees and their families. morale has been our goal during Continuity Plan (BCP) for a 100 percent the team to bridge the gaps with
A bespoke plan, #TakeCareHCL, the pandemic. COVID-19 meant WFH setup in compliance with the zero SLA (service level agreement)
reinforced our commitment to our employees were multi-tasking at client’s security protocols across all breaches. Team members stepped
employees and clients. An internal home, sharing limited living spaces delivery locations. HCL equipped up for one another, providing moral
COVID-19 microsite was developed with family as they worked, and teams with consistent communication support and optimism as colleagues
in record time to keep employees many had to deal with their and virtual support for smooth dealt with the effects of the
engaged and informed of our pandemic children’s education from home. operations. Agile teams pivoted COVID-19 pandemic.
response. Predictive analytics on the to virtual daily huddles, town halls,

30 Resilience for a Better Future 31

 3,000+ BUILDING COMMUNITY RESILIENCE Committed to collaborating with
stakeholders across the spectrum,
our endeavors scaled wide and
Australia
• H
 CL Australia partnered with the
McGrath Foundation to raise over
• H
 CL Poland drove multiple
initiatives including blood donation
campaigns, collected Christmas
Frontline workers
trained in COVID-19 HCL significantly ramped up its community efforts drilled deep. $3M in funds for 22 McGrath breast goods for hospitalized and isolated
care nurses who will support almost COVID-19 cases, and provided fruit
protocols to mitigate the humanitarian crisis resulting from Americas 2,200 breast cancer patients and deliveries to hospital inpatients
the COVID-19 pandemic. All HCL entities worked • H
 CL U.S.A joined hands with their families in 2021, easing the • H
 CL Portugal provided equipment
Feeding America to raise healthcare impact of COVID-19
with urgency, moving swiftly across geographies to enable remote learning for
260,000 to reach the most at-risk populations.
awareness and funding for
food‑insecure households, and
on communities students, created and shared a
video to motivate and inspire
PPE kits provided supported the Gates Foundation EMEA lonely elderly people, and shared
COVID-19 relief fund to help • T
 he Bulgaria research team their appreciation with a hospital
India • Working with the governments countries and organizations take executed a project with a global for their heroic life-saving efforts
Supporting government action across of Karnataka and Andhra Pradesh, rapid action and fill resource gaps. pharmaceutical company on
43,000 India, HCL established and scaled
innovative digital solutions, setting
HCL helped set up an emergency cell
and a COVID-19 Command Center,
We collaborated with the CDC
Foundation to fight COVID-19,
vaccine development and
data tracking
• H
 CL Romania employees collected
plastic caps for recycling to raise
money for COVID-19 impact relief,
Farmers received up integrated control centers and respectively. For Uttar Pradesh and partnered with the University • E
 mployees in France provided gathered donations to provide
production helplines. Through our wide network government, HCL assisted in of California, Berkeley, to build a food, medicine, and essentials to warm meals for people, assisted
and marketing of NGO partners, we reached out setting up an integrated COVID-19 health technology collaborative students stranded in France due children and schools with online
support to vulnerable communities, ensuring control center, a rapid response laboratory for timely access to to the lockdown, brought joy by learning, and led a “Letters to Santa”
access to relevant information and helpline and an integrated telemedicine and telesurgery distributing gifts and toys to program to send gifts (including
essentials such as food, dry rations, “all‑in‑one” control center • H
 CL Canada supported the children fighting serious illnesses food and clothes) to children in

900,000
masks and sanitizers. Partnering • HCL partnered with authorities and UNICEF SMILE 2020 campaign to in Lyon, and joined hands to fund need at Christmas
with hospitals, we supported the hospitals locally to strengthen their prevent the spread of COVID-19 raise for food for the needy
upgrade of facilities and building • H
 CL Sweden launched an initiative
Hot meals supplied in efforts by providing mobile testing by providing critical hygiene and • T
 he Germany team provided
of infrastructure, bringing the to buy Christmas gifts for children
Noida and Chennai vans, testing kits, swab collection medical supplies to front-line underprivileged children, whose
best possible medical care to in local families, ensuring that
booths, ventilators, ECG machines, healthcare workers and vulnerable families had been affected by the
disadvantaged populations. 40 families, including 84 children,
oxygen cylinders, pulse oximeters, communities, supporting children pandemic, with Christmas gifts received brand new Christmas gifts
thermal imaging centers and other and pregnant and lactating

125+ • P
 rovided COVID-19 knowledge to • H
 CL Italy implemented a digital • H
 CL Netherlands volunteered with
medical supplies women, providing psychological
more than 3,000 frontline workers dashboard to track COVID-19 the Red Cross and the Voedselbank
• C
 ared for the disadvantaged and support to children and families,
and shared expertise with status in Italy food bank in various municipalities
Webinars to share elderly with survival kits, devoted and leading public health
COVID-19 information communities through 125+ rural education and outreach • H
 CL Lithuania partnered with local to ease the impact of COVID-19
time to teaching and engaging
with communities and urban workshops child support and health support upon the communities
children, launched an academic • H
 CL Brazil drove a donation
• Strengthened state and central NGOs to provide equipment for • HCL U.K raised funds for child
helpline for students and child program for face shield production
government systems for disaster remote learning for students, health, education, hunger relief,
protection helplines, provided dry by Tecnosinos and Unisinos and
management provided frontline workers with and the protection of children
rations and hot meals for those in promoted employee donation
essential equipment, and delivered
• A
 pproximately 260,000 PPE kits need, and scaled efforts to include campaigns for socially vulnerable
Ensuring and training and soft skills webinars
were provided to frontline and both big and small creatures with victims of COVID-19
securing livelihoods
essential workers, police personnel round-the-clock food and
The COVID-19 pandemic had
and at-risk populations veterinary care
a devastating impact on the
economy, directly affecting the
livelihood of millions of workers.
We helped farmers, artisans,
migrant laborers, women
self‑help groups (SHGs) and
micro‑entrepreneurs, with
critical investments like seed
capital, skill development and
training, market support
networks and technical support.
These interventions had a direct
impact on 45,000+ farmers,
1,000+ artisans and animal
shelters empowering families and
enabling resilient communities. Caring for animals Mobile healthcare unit Training front-line workers Yoga session for HCL Netherlands Elderly care
employees

32 Resilience for a Better Future 33

 EMPLOYEES GIVING BACK EMPLOYEES GOING ABOVE
TO THEIR COMMUNITIES AND BEYOND FOR CLIENTS
The HCL global community has consistently demonstrated essential human HCL employees showed great
qualities such as resilience and empathy to support our communities and clients. commitment and drive in ensuring that
Here we feature some stories that stand as testimony to the #OneHCL spirit. our clients received all the support they
needed during the COVID-19 pandemic to
Ensuring access to food Supporting Securing much needed Other individual overcome the challenges they were facing.
and essentials NGOs medical equipment stories

Lydia Herrera Ramesh Sethuraman Karin Fofonca Rajarathinam Lakshmanan Rebecca Bauer Aneta Dziedzic Imdad Hussain Ravindran O
U.S.A India Brazil United Kingdom U.S.A Poland India India

“People are coming out “At HCL we don’t just stand “There are no geographical “By helping others, “We are all interconnected “We underestimate the “At HCL, we are spread “HCL provides an element
stronger as communities, for ourselves as individuals. limits to helping others and we help ourselves.” and many of us together power we have to turn across geographies, of togetherness, a very
as we are all in this We stand together as making the world a better can make a difference.” ourselves towards others but we are united by important ingredient that
together.” OneHCL for our community place for all.” and act.” our networking.” is helping us get through
and our world.” this pandemic situation.”

Lydia shops for and Ramesh helps the Karin focuses selflessly on In India’s second wave Rebecca delivered iPads to As the HCL Poland When the Nagpur facility When COVID-19 shut
delivers groceries to the underprivileged in his giving back to communities, catastrophe, Rajarathinam children with disabilities to CSR Council Lead, suddenly shut down due down command center
vulnerable people in her neighborhood, and feeds with campaigns for food led his team to raise funds give them access to remote Aneta inspired her fellow to COVID-19, Imdad quickly facilities, Ravindran
neighborhood. street dogs and cats that aid, driving donations for and volunteer through learning and performs teammates to work with her arranged and delivered prepared his associates
have lost their main food the purchase of respirators online channels, grocery shopping for to serve those impacted by equipment to his team so to work remotely to
source during the COVID-19 and with projects in Africa. coordinating with people elderly neighbors. COVID-19 through several they could work remotely. maintain 100 percent
pandemic as walkers are in India to provide vital community efforts. support for clients.
confined to their homes. medical support.

Hemant Kumar Thakur Brijesh Choudhary Sara Jarpenberg Sridhar Munirajulu Nitin Srivastava Deepak A Ponjayalakshmi Ramachandran K. Kartheek
India India Sweden India France India India India

“HCL is about togetherness “At HCL we have a sense “Everyone cannot do “Human life is more “At HCL I have learned to “Be a light of hope for “Helping others makes “Contributing to client
and brotherhood, stepping of togetherness and strive everything, but everyone valuable than anything be more compassionate others and do your best.” us all stronger.” success is essential to
up for those who are towards the betterment can do something.” else in the world, and I towards others and strive our mutual success.”
in need.” of our communities by want to save human life for a better tomorrow.”
helping those around us.” with humanity.”

Hemant worked with a Early in the COVID-19 Sara volunteers with Giving During the second wave Nitin engaged friends and When Deepak checked When a leading Indian insurance company with more
local restaurant to provide pandemic, Brijesh used People, an organization that in India, the demand for the Indian Embassy to care on a colleague who was than 1,800 offices was hit by the sudden COVID-19
3,000 meal packets a day the kitchen of a closed provides basic necessities oxygen supplies quickly for Indian students who on leave, he found that the lockdown, they could not handle physical payment
to feed out-of-work, restaurant to prepare and for underprivileged children increased. Sridhar donated were stranded by the entire family had COVID-19. collections. Ponjayalakshmi and Kartheek implemented
underprivileged families distribute food to people in Sweden. COVID-19 has his CRED points to cover COVID-19 pandemic in Deepak went into action vital digital payment functionality within 10 days to
during the lockdown, and who were migrating out pushed the number of 20,000 liters of oxygen Lyon, with limited access and leveraged all resources ensure their client’s success.
tirelessly works virtually of his city due to the children in need to beyond and inspired others to to crucial support. to help them get medical
to provide information COVID-19 lockdowns, 200,000, with families’ support the cause. care, including opening his
to those in need of serving 450 to 500 meals economic situations own home so the son of his
critical support. every day for two months. spiraling out of control. colleague could be near his
hospitalized father.
34 Resilience for a Better Future 35
 Cloud Smart Six HCL smart factors play a critical role helping enterprises

Industry IP
Ecosystem Cloud
Intelligent choices for a resilient BUs
Focus on Business Outcomes & Industry
Consulting

and sustainable business Cloud Enablement

Design
Smart
Consumption
Cloud Thinking
& CX-led
& Sourcing Smart Approach
Gartner predicts that, by 2025, cloud computing will shift from Cloud First Cloud Native
a style of computing to become the foundation for intelligent Agile Principles Modularization
Productivity & Service centric Design for Automation
enterprises. It might be apt to say there is no business strategy Scalability & Resilience Scalability & Resilience
without a cloud strategy. Cost-based approach Stateless Architecture

Cloud & Security

as Organization Culture
#HCLCloudSmart is a suite of industry-aligned offerings,
FinOps Cloud Labs
capabilities, products and platforms to help enterprises build
smart and agile businesses. The approach is driven by AIOps

innovative cloud services, intelligent automation, industry-

aligned solutions, and a powerful global partner ecosystem.
World class partnerships
It cuts across HCL’s three business segments – IT and
Business Services, Engineering and R&D Services, and Hyperscalers

Business
Products and Platforms – leveraging our combined
strengths and capabilities.

Highlights Partner Perspective

Tech OEMs

“At AWS, we believe HCL’s in a great position of being both

a large systems integrator and an independent software
vendor, which brings value to our customers by
transforming business processes with AWS services,
coupled with HCL’s product innovations and engineering Differentiation through people, processes,
strength. With HCL’s newly launched Cloud Smart approach, assets and innovations

3,000+ 40,000+
AWS looks forward to helping customers make smart
choices when building scalable and resilient businesses
through their investments in the cloud”.
industry use cases certified professionals

12,000+ 55+
Doug Yeum
Head of Global Partner Organization,
Amazon Web Services cloud assets including Products and Platforms
4,000+ automation across hybrid cloud
artifacts and cloud native

1,000+ Dedicated Cloud

Native labs
patents filed

Delivering Value
European soccer club Global beverage company Global medical
Built a cloud-based platform Built a customized multi-cloud technology company
to digitally connect 1.2B fans platform that enabled business Leveraged multi-cloud to build
globally, for an immersive, growth, agility, and enhanced an IIOPs and automation-led IT
seamless experience customer experience strategy for corporate growth

36 Cloud Smart 37
 HCL Ecosystems: HCL Differentiators
Engines of Innovation
In a collaborative world, the three ecosystems allow us to
piece together knowledge, capabilities, and insights to radically Partnership
reimagine customer journeys and deliver unassailable value. Deep cloud
Cloud Native ISV with the
expertise &
and Scale Cloudification world’s best
engineering
Digital Labs factory CX-driven
talent
Strategic Partner Ecosystem Start-up Ecosystem companies
The combination of our experience, engineering Our in-house start-up accelerator program and open
capabilities, domain expertise, and the diversified innovation platform, eSTiPTM, are at the center of a strategy
expertise of our strategic alliance partners, makes to draw upon a global ecosystem of start‑ups, academic
it easier to solve complex client problems. The researchers, venture capitalists (VCs), trade commissions,
speed, precision, and reliability of the solutions and other industry forums. Together, they provide ways to
created by the ecosystem offer unmatched funnel unique ideas, build prototypes, and commercialize
value to clients. solutions. With 1,000+ start‑ups, 12+ VCs, 16+ innovation
partners, and 6+ academic partners part of the ecosystem,
we are well placed to confidently deliver unique value
to clients. Ecosystem Partner Perspectives
Industry Ecosystem “Our relationship with HCL spans over 12 years and more than “HCL brings an exceptional combination of
HCL’s partnerships with a host of industry forums, business 150 customers. We built this collaboration on a 360˚ approach industry and functional expertise to power
foundations, academic bodies, and technology incubators to solving complex business problems with a suite of jointly business transformation. Together, we have
allow us to access the cutting‑edge thinking across these developed tools, products, and solutions. HCL’s certified Dell helped many customers chart a course in
bodies. We also work with them to develop frameworks professionals have helped customers scale innovative projects becoming intelligent enterprises. I look
and approaches that foster technology adoption and across IT, workforce, security, and digital transformation initiatives. forward to working together with HCL in the
create a productive and sustainable world. HCL’s Cloud Smart strategy allows us to deploy the full depth marketplace to deliver cloud-based solutions
and breadth of our solutions portfolio to help customers realize with greater speed and less disruption
tangible, measurable benefits from their technology investments.” leveraging the RISE with SAP offering.”
Bill Scannell Justin Battles
President Vice President
Global Sales and Customer Operations Head of Global Growth and Technology Partners
Our strategic partner ecosystem operating model Dell Technologies SAP

Ecosystem units
Fullstack aligned by each ecosystem
“As HCL continues to invest in the Microsoft “IBM and HCL have built a strong “Our strategic partnership
Business Unit, we have seen our partnership partnership to help enterprises unlock with HCL is anchored in
IT and Business Services 360 Degree (Sell-to) evolve and grow exponentially. With this the value of an open hybrid cloud driving real business value
Global Systems Integrator | Managed Services Provider • Services and services focused on accelerating digital environment. We’re collaborating on to our mutual customers
• OEM/Products transformation on the Microsoft Cloud. solutions that use IBM technologies via jointly architected
HCL’s industry-aligned strategy not only with Red Hat OpenShift so customers outcome-led solutions.”
Engineering and R&D Services Joint Go-To-Market enriches the customer experience, but also in regulated industries can modernize
Engineering Services Provider | OEM Integrator • Geographies and Industries Nick Holden
positions our partnership to effectively operations, transform mission-critical
Vice President
address shifting market demands.” workloads, and accelerate their journey
Global Strategic
Products and Platforms Cloud Native/Labs/FinOps/Cloud Consulting Marianne Roling
to the cloud.”
Partner Sales
Independent Software Vendor (ISV) GTM | Enabling cross-ecosystem collaboration General Manager GSI Bob Lord Cisco Systems
Marketplace Channels
Microsoft Corp Senior Vice President
Worldwide Ecosystems
Underpinned by our relationship with: and Blockchain
Hyperscalers and Tech OEMs IBM

38 HCL Ecosystems 39
 Analyst Perspective

IT and Business “HCL Technologies offers strength across IT outsourcing and managed cloud services.
HCL Technologies has dedicated cloud ecosystem business units around the leading hyperscalers;

Services
most recently, it has established a partnership with Google. HCL is well known for its strong IT
outsourcing services; the company boasts a vast array of home‑grown best-of-breed tools,
including the MyCloud, Fenix 2.0 platform. Customers speak of an almost unmatched
flexibility and client orientation on the part of the company.”

A comprehensive suite of end-to-end The Forrester Wave™

Multicloud Managed Services Providers, Q4 2020
digital offerings to address the traditional
and transformational needs of large enterprises.

$7.2B BUILDING THE RESILIENT DIGITAL ENTERPRISE Client Perspective

“HCL’s customer-centric approach and strong “HCL shares our vision of saving and improving lives
ITBS revenue engineering capabilities have helped strengthen our by providing leading digital solutions for tomorrow.
relationship with them. During the COVID-19 pandemic, HCL’s commitment and deep IT and digital expertise have
Machines Employees Clients Partners they helped us manage complex transitions across our been key in our journey towards a successful technology-
virtual IT environment while ensuring minimal disruption. enabled enterprise. Our engagement with HCL for over
18.8% Digital Operations We see a synergy between the two companies, one that 15 years is a collaborative relationship that has resulted

Startups
Telcos

Autonomics and unified service management relies on effective collaboration and strong leadership in excellent business outcomes for both companies.”
YoY Mode 2 Integrated IT operations | Security operations | Process operations commitments.”
Strategic Alliance

revenue growth
Tech OEMs

Digital Business
Dave Williams
Rhonda Gass

Industry Forums
EVP and Chief Information
190+
Consulting | Applications and platforms | Data and analytics | IoT
Chief Information Officer & Digital Officer
Stanley Black & Decker Merck & Co.
Hyperscalers

Leadership analyst Digital Foundation

recognitions across Hybrid cloud | Digital workplace | Networks | Cybersecurity and GRC
business segment

85+
“It was important for Fonterra to partner with an “Migrating our infrastructure and business-critical
AI Experience Cloud Talent
organization who could strengthen our critical IT applications is of strategic importance to UD Trucks
foundations and our technology stack. The stability, in our accelerated digitalization journey. HCL’s deep
Leadership analyst
Key Transformational Wins Large Cloud Transformation reliability and security of our operations is absolutely understanding of our existing IT footprint, combined
recognitions across
• A
 European multinational Program critical. HCL was able to successfully transition a very with its leading-edge transformation capabilities, made
digital offerings
telecommunications company HCL’s Cloud Smart offering helped a broad scope of services from the incumbents at go-live it the standout choice. We have full confidence that
selected HCL for end-to-end IT leading North America-based coffee without any disruption to our business. This was a great HCL will help us build a world-class IT environment
services, including digital and beverage client in rapid migration result under normal circumstances, but to do this during to enable us to go the extra mile for our employees

60+ transformation program, cloud,

application and infrastructure
services. This engagement will
towards consumption-led cloud
platforms. This resulted in reduced
IT complexity and an accelerated
the COVID-19 lockdown was even more impressive.” and customers.”

Innovation Satish Rajkumar

labs across enable the client to move journey towards integrated hybrid Senior Vice President,
the globe 85 percent of workload on cloud operations. The client achieved Toby Granwal
Digital Solutions & IT,
cloud by the end of 2021 faster time-to-market, enhanced Chief Information Officer
UD Trucks on digital transformation
• A
 leading global healthcare scalability and flexibility along with Fonterra
and hybrid cloud engagement with
provider has partnered with HCL improved business agility. HCL further

50+
HCL Technologies
to reorient its IT infrastructure, enhanced the client’s disaster recovery
applications and deploy a suite of and business continuity planning
Large digital DRYiCETM software products for architecture ensuring zero business
transformation deals pursuing large-scale modernization disruption and increased resilience.
and digital transformation to enhance
the patient and employee experience

40 IT and Business Services 41

 DIGITAL FOUNDATION DIGITAL BUSINESS
Our Digital Foundation offerings help businesses adopt digital Client Perspective Enterprises are investing in digital transformation to reimagine their Client Perspective
technologies and allow enterprises to maximize the business value “We needed to break away from business models, deliver unique experiences, improve efficiencies and “Coles, as one of the largest retailers
from their digital investments. the historic IT organization we’d adapt to the new normal. in Asia-Pacific, is undergoing one of
inherited, and HCL was the perfect the largest digital transformation
Offerings for Tomorrow’s Businesses strategic partner to help us create Offerings for Tomorrow’s Businesses programs for any Australian
a next-generation operating model. enterprise. Throughout this journey,
Service Description Service Description
We were particularly impressed by Coles is pleased to be able to draw
Hybrid Cloud Our Cloud Smart strategy is designed for enterprises that HCL’s ability to create high quality Digital Consulting With capabilities across experience design, industry capability on HCL’s scale, capability and
Services want adaptive portfolios using innovative cloud services and definition, agile delivery transformation and organizational
and end user-focused solutions efficiency. Additionally, this
intelligent automation. The service leverages a comprehensive for our employees and offer an agility, we help customers re-imagine their value chains with partnership enables us to improve
partner ecosystem to achieve its goals. end-to-end model to ensure user experience at the core. our customer experience and
Digital Workplace Our Fluid Workplace solution delivers a personalized, seamless execution. HCL’s track Applications We help enterprises redefine their business architecture to strengthen our critical IT foundations.
Services on‑demand, resilient and future-ready hybrid workplace. record for bringing a culture of and Platforms increase agility and scalability by adopting modern applications, Together we are well poised to
innovation to service delivery Software-as-a-Service (SaaS), composability and by creating create seamless, unified experiences
NextGen Network We offer an extensive network portfolio encompassing ensures that we will enjoy the that allow our customers to engage
platforms to deliver business.
Services strategy, design, and implementation across long-term and sustainable benefits with us through the method that
software‑defined-WAN, access and data center. of digitalization.” Data and Analytics Our approach to data-driven transformation connects works best for them. At the core
businesses, platforms, customers, employees, and partners, of all this is HCL’s transparency,
Dynamic Our vision is to address a constantly changing threat
Cybersecurity Michael Loechle by integrating data and delivering insights across the global flexibility, and commitment to Coles
landscape. HCL’s Dynamic Cybersecurity Framework enables
and GRC Services Chief Information digital ecosystem which comprises of four key pillars: in such highly dynamic times.”
protection by enforcing end-to-end coverage to create
Officer, adaptive data platform, intelligent data management,
a dynamic enterprise security posture.
Hitachi ABB consumption‑based analytics and applied AI. Sujeet Rana
Power Grids GM – Customer
IoT WoRKS TM
With end-to-end orchestration capabilities across the Internet
Experience
Winning Idea  of Things (IoT) stack, a strong product engineering pedigree,
& Technology,
domain expertise and a robust partner ecosystem, we address
eCommerce,
Cloud Security-as-a-Service (CSaaS) our clients’ needs for “define, build and run” services in the
Coles Group
Multi-cloud models are making enterprise security complex. With each connected ecosystem.
cloud provider offering differing controls, there is loss of consistent Analyst Perspective
security. HCL Cloud Security-as-a-Service (CSaaS) changes that. “Rated among Top 3 GSI’s in
It provides a single source of truth and protects multi-cloud infrastructure Everest Group PEAK Matrix Winning Idea 
across data, workloads, policies, applications and identity. Assessments for SI Capabilities
2021 across AWS, Microsoft FENIX 2.0 Large Digital Transformation
Azure and Google Cloud.” As client demand moves from seeking a partner for operating model Program
Key Transformational Wins and increase their resilience amidst transformation to a partner for end-to-end digital transformation HCL helped a leading global
• A
 European financial services the dynamic business “HCL has demonstrated the ability journeys, the Digital Business team worked closely with various business bank headquartered in Europe to
company selected HCL to support environments to meet the unique requirements units within HCL to evolve the FENIX 2.0 digital execution framework. accelerate their digital transformation
its digital transformation agenda, of different industries by developing This framework allows us to execute scaled digital transformation journey by harmonizing its multi-
• A
 Europe-based global energy
including managing and industry-specific solutions on Azure programs and is the de-facto framework driving digital enablement for country retail banking across five
and utilities company selected
transforming its large and complex and has set up innovation centers a large number of our clients. FENIX 2.0 adoption amongst clients has European countries, on a single
HCL to build a new greenfield
IT infrastructure, building cloud and labs to develop next-generation increased by 30 percent in FY21. borderless, scalable platform.
digital foundation as part of its
capabilities and delivering solutions on Azure. Clients HCL enabled the bank in an
global digital transformation
automation across the IT landscape appreciate its flexibility to work end-to-end implementation of
program. Leveraging HCL’s
with customers, ability to deliver Partner Perspective Key Transformational Win a global platform, through Agile
• A
 U.S-based food and beverage Cloud Smart offerings, the client
solutions during ambiguous “As enterprises increasingly compete  major American telecom company
A BizDevOps squads working in a
company expanded its services will benefit from an adaptive
situations, and aptitude to on customer experience, our Platinum selected HCL to manage and support “Spotify” model. HCL also enabled
with HCL through a new multi-year portfolio with innovative cloud
collaborate with Azure professionals. partnership with HCL plays a key role application development and DevOps a unified customer experience
engagement around hybrid cloud services driven by intelligent
As a result, HCL Technologies has in accelerating digital transformation for its video services. HCL will help across the bank’s web and mobile
services along with next‑generation automation and a powerful
been positioned as a Leader on for our clients. HCL’s ADvantage build and boost new digital channels which resulted in unified
operations and global support. partner ecosystem
Everest Group’s 2021 System Experience platform uses AI and ML broadcasting services on OTT and customer experience, optimized
In addition to this scope, HCL will • A
 large U.S-based oil and gas Integrator Capabilities on Microsoft to enable clients to realize the value IPTV, along with maintenance of banking resources and faster time
provide more flexible and scalable company chose HCL to provide Azure PEAK Matrix® Assessment.” of Adobe Experience quickly at scale, broadcasting operations in web and to market.
Data Center (DC) asset refresh and an end-to-end and globally Everest Group helping them gain a competitive edge.” digital, IoT services, data analytics
cloud foundation, for all of the integrated data center and private
company’s sites globally. This will and advertising
cloud services, supported by Justin Merickel
help the client in its business agility digital products and IPs, or VP, Business Development,
proprietary technology Digital Experience,
Adobe
42 IT and Business Services 43
 DIGITAL OPERATIONS Notable Analyst Recognitions
Changing customer expectations are pressuring operations to orchestrate Client Perspective
processes through digitization for new levels of scalability and an “The evolution of our shared We have been consistently recognized as a global leader for our
experience‑centric operations ecosystem. services represents our culture comprehensive suite of end-to-end offerings for business transformation
of continuous improvement and
Offerings for Tomorrow’s Businesses allows us to more efficiently as well as for our reputation to build the digital enterprise
address customer needs while
Service Description
delivering significant cost savings
Integrated IT This is a new hybrid operating model based on AI Ops, to reinvest in the business. We
Operations cross-skilled teams, operations best practices and cultural selected HCL as our partner for DIGITAL FOUNDATION DIGITAL BUSINESS DIGITAL OPERATIONS
transformation. this strategic initiative due to our
successful track record together • H
 CL positioned as a Leader in • HCL positioned as a Leader • H
 CL Technologies positioned
Security Our Cybersecurity Fusion Centers (CSFC) strengthen
thus far and our shared values.” IDC MarketScape: Worldwide in Avasant’s Digital Masters, as a leader in the ISG Provider
Operations the ability to defend our clients’ digital assets. CSFCs are
Cloud Professional Services 2020 RadarviewTM LensTM. Intelligent Automation –
state-of-the-art security operations and response facilities,
2020 Vendor Assessment, Solutions and Services –
integrating multi-domain security teams, processes and Steve Bandrowczak Apr. 2020 | Doc #US45439120 • H
 CL positioned as a Leader in Intelligent Business Automation,
cutting-edge analytics. President and Chief ISG Provider LensTM Salesforce Nordics, U.S, U.K 2020
Digital Process Our process-first, technology-led digital operations includes Operations Officer, • H
 CL Technologies positioned Ecosystem Partners – U.S 2020
Operations AI/ML based intelligent automation and operational analytics. Xerox as a Leader in IDC MarketScape: – Managed Application Services • H
 CL positioned as a Leader in
Based on this approach, DPO’s “digitalCOLLEAGUE” fosters Worldwide Application Zinnov Zones for RPA Services,
(DPO)
humans-machine co-existence, delivering superior Management Services on the • H
 CL Technologies positioned as 2020
experiences and improved ROI. Cloud 2020 Vendor Assessment, a Leader in the Everest Group’s
Nov. 2020 | Doc #US46924517 Next-generation Application • H
 CL Technologies positioned
Management Services PEAK as a leader in the ISG Provider
Analyst Perspective • H
 CL Technologies positioned Matrix® Assessment 2021 LensTM Intelligent Automation –
Winning Idea  “HCL’s intelligent automation as a Leader in the 2020 Gartner Solutions and Services – Artificial
services covers advisory (process Magic Quadrant for Data Center • HCL positioned at No. 2 in HFS Intelligence for IT Operations
Driving next gen business value through citizen automation excellence and COE), execution Outsourcing and Hybrid Top 10: Agile Software (AIOps), Nordics, U.S, U.K 2020
Envisioning enablement of a human workforce without formal coding (design and bot development), and Infrastructure Managed Services, Development, 2020
skills to advance into application development professionals, we have support (operate and improve).” North America for the tenth time • H
 CL is recognized as a Leader in
partnered with Microsoft to simplify the use of Power Platform through IDC MarketScape consecutively and in the European • HCL positioned as a Leader in Everest Group’s report “Banking
integration with digitalCOLLEAGUE. This democratizes low-code version of the same report for the The Forrester WaveTM. Specialized BPS Services PEAK Matrix®
development across the enterprise and enables non tech employees 5th time consecutively Insights Service Providers, Q2 2020 Assessment with Service Provider
and legacy technical staff to work on cutting edge technology, “As the world experiences a Landscape 2020.”
thereby creating a team of next generation digital professionals. seismic shift and technology • HCL Technologies positioned
adoption is on the rise, the role as a Leader in the 2021 Gartner
of human and digital and their Magic Quadrant for Managed
Key Transformational Wins In this engagement, HCL will coexistence becomes more crucial Workplace Services, North Analyst Perspective
• A
 leading U.S-based global digitize records management than ever. Realizing the need for America and Europe reports “We believe that HCL is at the forefront of thought leadership and
hi-tech company renewed its for the client human-machine collaboration, for the 5th time consecutively technology development and are confident that HCL will remain at
longstanding relationship with • A
 large Europe-based bank HCL’s digitalCOLLEAGUE is a the cutting edge of data, analytics, and AI. References endorse HCL
HCL to support its clients for expanded its relationship with congregation of pre-configured, • H
 CL rated a Leader and overall #2 as ‘innovative’ and ‘forward thinking, knowledgeable of industry
their premium digital advertising HCL across financial controlling ready-to-deploy digital assistants player in Everest PEAK Matrix on data‑specific assets’.”
platform services, group accounting, and not just RPA bots.” IT Managed Security Services 2021
• A
 U.K-based publishing and controlling and policy, and ISG Inc. The Forrester Wave™
education company renewed its regulatory services. Additionally, Specialized Insights Service Providers
relationship with HCL to support HCL will provide an end-to-end
online proctoring and education finance function transformation
and create a round–the-clock covering complex F&A processes,
model as part of its client leveraging robotic process
support strategy automation (RPA) and analytics
• A U.S-based multinational oil
and gas company selected HCL
for providing applications,
infrastructure and client support.

44 IT and Business Services 45

 Engineering Client Perspective
“As a global leader in pioneering technologies and bringing clinical Dr. Deepak Nath

and R&D Services

and workflow excellence to labs of all sizes, our legacy of delivering President
transformative innovation to our customers, combined with HCL’s Laboratory Diagnostics
Engineering and R&D Services capabilities, have forged an extended Siemens Healthineers
partnership. Working with HCL helps expedite key strategic programs
and our digitalization journey, helping us enhance our agility and
HCL ERS partners with global enterprises product life cycle management. We are #InThisTogether.”
in accelerating product development by
leveraging the latest technologies, monetizing
product services and client experiences.

#2 To Engineer “The Next”

Accelerating “time to market” and “time to monetize” products and platforms
Offerings for Tomorrow’s
Businesses
• A multinational healthcare
company selected HCL as a
Analyst Perspective
In Everest Group Engineering “HCL Technologies has established
Services Top 50™, 2021 for global enterprises by adopting digital engineering-led innovations. • HCL’s Digital Engineering Offerings preferred partner for its medical itself as a prominent player
address the full spectrum of product devices’ division in new product experiencing strong growth in the
End-To-End Engineering Services and service transformation needs development, regulatory Industry 4.0 services market on the
– defining the digital strategy and compliance, product management, back of consistent investments in
Top 2 Product Engineering

• New Product
Platform Engineering

• Platform Development,
Operational Technologies

• Manufacturing
roadmap, engineering secure
cloud-ready smart products and
supply chain and manufacturing
• A European consumer goods
necessary capabilities. The firm’s
Xpand 4.0 framework resonates well
Only service provider recognized platforms, and maintaining highly company renewed its partnership with market needs and has enabled
Development Sustenance Engineering Services
amongst top two players in both and Sustenance and Operations
available, scalable, up-to-date with HCL to build a center of the company to build strong
• Digital manufacturing
traditional as well as digital • CyberSecurity
platforms excellence (CoE) for simulation relationships with clients across
• Industry 4.0
engineering segments • HCL’s Data Engineering services services for delivering faster verticals and geographies. The
(Source: Zinnov Zones ER&D 2020 report) help clients instrument, upgrade, time-to-market and prototype company has invested in a suite of IP,
Digital Engineering and build data architectures cost reduction such as CAMWORKS, ROST, DDX,
that create business impact by and RMI, as well as dedicated

300+
accelerating data intelligence into Notable Analyst Recognitions infrastructure across enabling
New Product Development Data Engineering business operations • H
 CL Technologies positioned as a technologies. Additionally, HCL’s
• HCL offers accelerated 5G network Leader in Everest Group’s Software positioning has been augmented
Enterprise clients
Software Product Engineering Network Engineering deployment and operation Product Engineering Services by acquisitions such as Geometric
automation with network analytics, PEAK Matrix® Assessment 2021 Limited, Strong-Bridge Envision, and
test automation, and workload • H
 CL Technologies positioned C2Sis. Clients also appreciate the

100+
Collaboration Services Connected Experiences firm’s talent management strategy
orchestration solution around as a Leader in Everest Group’s
5G CNFs (containerized network Semiconductor Engineering for reskilling and upskilling, which
Engineering labs functions), MEC (multi-access Services PEAK Matrix® has improved its talent pool.”
Our areas of expertise Everest Group
edge computing) and Open RAN Assessment 2021
IoT/IIoT | CLOUD | AI/ML AR/VR | 5G DIGITAL TWIN/THREAD
(radio access network)
Client Awards
60+
• With in-built automation and
analytics, HCL’s Cloud Bridge suite • H
 CL Technologies wins prestigious
helps enterprises move from Quality Award from Cisco
Digital frameworks
Winning Idea  on-premises to cloud in a short • H
 CL Technologies wins Best
and solution
time with minimal risks Performance Award at Bosch
accelerators
Xpand 4.0 Supplier Awards 2020
Realizing Industry 4.0’s tremendous potential isn’t guaranteed, Key Transformational Wins • S
 ankalp Semiconductor receives  CL Technologies wins Supplier
H
HCL’s strategic approach, called Xpand 4.0, gives enterprises a • HCL was selected by a global the 2020 Texas Instruments Achievement Award (SAA) at Intel

20+ blueprint to integrate people, systems and devices across engineering,

manufacturing, after-sales and the digital value chain, resulting in
hi‑tech company as its strategic
product engineering partner to
drive growth and client advocacy.
Supplier Excellence Award,
the company’s highest level of
2020 Supplier Continuous Quality
Improvement Awards
Centers of Excellence enhanced user experiences, optimized operations, and value-creating supplier recognition
(CoEs) focusing business impact. We have used Xpand 4.0 to help our clients achieve HCL’s continued focus on
on niche and emerging business outcomes aligned with their priorities for growth, efficiency 360-ecosystem partnerships is
technologies and risk avoidance – for example, new data-driven revenue streams, one of the key pillars for the win
enhanced operational excellence, and reduced risk because of
improved regulatory compliance.

46 Engineering and R&D Services 47

 Client Perspective 

Products
“This software allows me to target the new market “The best thing about “HCL BigFix enabled
and provides me full information about it and even HCL Commerce is that an effective work from
allows me to customize the experience that is possible it is cloud based, so the home workplace.”

and Platforms
through its API system. HCL has really helped me in console can be accessed
John Brown
handling the digital commerce which does not require on a variety of devices
Information Technology
any technicality. It has enabled me to integrate with and systems.”
United Parcel Service
my other online channels so that from one platform
Josh Johnson
I can run my business from all aspects like marketing,
Information Technology
HCL P&P provides modernized software promotions, selling, personalization etc.”
Comcast
products and IP-led offerings for enterprise Dave Miller
Risk Management
innovation across a broad range. Uber

$1.38B Focus on innovation and client value

HCL DRYiCETM Industry

Key Transformational Wins
• A global semiconductor company
selected HCL as its strategic partner
Key Product Offerings
• Customer Experience: Unica,
HCL Commerce and
Analyst Perspective
“Once a product becomes an intrinsic
part of an enterprises’ processes,
P&P revenue
Software ActianTM Software Software to drive growth, eliminate risk on HCL Digital Experience it is difficult to displace it. This is the
DevOps and ensure optimal function • Digital Solutions: HCL Domino, stickiness that HCL is bringing into
• Automation • Hybrid Cloud • AI Ops • Telecom & 5G of the customer’s R&D process. HCL Domino Volt, HCL Notes, its client relationships by focusing

20.5% • Commerce &

Marketing
Data Warehouse
• Enterprise Data
• Service
Orchestration
• Industry 4.0 &
Manufacturing
HCL will support growth of a
highly complex and innovation-
HCL Connections, HCL Sametime,
HCL Verse, HCL Digital Experience
on Products and Platforms.”
Avasant
YoY revenue growth • Digital Solutions Integration • Business Process • Enterprise Cloud driven business through design and Mainframe Products
• Data • Edge Data Observability and a code management system “HCL leverages its DRYiCETM
• Secure DevOps: HCL AppScan,
Management Management • Digital Workplace • A US-based automotive Autonomics and Orchestration
HCL Accelerate, HCL Launch,
platform to deliver IA-enabled
500+
• Mainframes • Transactional manufacturer engaged HCL for HCL OneTest, HCL Compass,
• Secure DevOps Databases the Commerce, BigFix, Domino integration, development, and
HCL VersionVault and HCL RTist
and Leap portfolios to transact managed services, as well as
Product releases • Security and Automation: BigFix products such as the DRYiCETM
business, manage their endpoint
and HCL Workload Automation Lucy cognitive virtual assistant,
devices, and facilitate application
development • ActianTM: Actian Avalanche, the DRYiCETM iControl business

20+
Over the years, HCL has created thousands of solutions for clients, resulting Actian Zen, Actian DataConnect, process flow monitoring tool, the
• A Europe-based retail company has
in valuable intellectual property (IP), and products and platforms (P&P) that Actian X DRYiCETM iAutomate (intelligent
chosen HCL to orchestrate critical
provide quantifiable client value spanning traditional, emerging and future • DRYiCETM Software: DRYiCETM runbook automation tool), and
Major product projects and manage consumption
technology needs. iAutomate, DRYiCETM Lucy, the DRYiCETM OptiBot (end-user
releases peaks in this unpredictable
DRYiCETM MyCloud, experience and service desk
COVID-19 pandemic environment.
Software Product Framework DRYiCETM Gold BluePrint, automation suite).”
The recent release of HCL
DRYiCETM SX, DRYiCETM iControl, IDC MarketScape
Commerce v9.1 and HCL Workload
Notable Analyst DRYiCETM AEX
End User Computing Automation will enable the client
Recognitions
in their business operations • Industry Software: SON, X-Haul,
• HCL BigFix Received
CAMWorks, DFMPro
Top Score in Gartner Peer Collaboration Enterprise
Insights UEM Capabilities Tools Applications
Rating (December 2020)
• HCL Unica Achieved
Development and Testing Winning Idea 
Gartner Peer Insights Security Service
Customer Choice Award Platforms Management
(December 2020) Automation Hub
Data Management and Analytics HCL took a popular and durable product, HCL Workload Automation, and reimagined its value to complex
• HCL Technologies
enterprises. In FY21, HCL Software released the Automation Hub, a marketplace to expand the automation
positioned as a Leader
capabilities of modern digital enterprises to new domains with a collection of cutting-edge integrations for the
in IDC MarketScape Virtualization Software Workload Automation platform. The Automation Hub provides many significant business and technical benefits,
Worldwide Artificial
including a library of integrations, the chance to submit new integrations and a resource to learn how to better
Intelligence Services 2021
integrate automation. Automation Hub has 60+ jobs, integration and extensions onboarded.
Hardware Management

HCL P&P Offerings Partner Offerings

48 Products and Platforms 49

Management Industry Overview Global organizations are embracing

Discussion and In recent years, the role of technology has shifted from
digital transformation to achieve
cost optimization and process automation to business these more ambitious goals,

Analysis – 2021
model transformation and revenue growth. Global
organizations are embracing digital transformation to
developing and deploying digital
achieve these more ambitious goals, developing and solutions faster, more efficiently
deploying digital solutions faster, more efficiently and
with better outcomes.
and with better outcomes.

The COVID-19 pandemic has compressed the digital

journey for many industries and organizations from
years into months for various reasons. Breaking down Sustainability principles and actions are built into HCL’s
silos, optimizing how teams work together using strategy, culture, and day-to-day operations. Guided by
collaborative tools, engaging creatively across distributed the United Nations Sustainable Development Goals, the
ecosystems, delivering better services more efficiently company views sustainability through three lenses: social,
and cost-effectively, providing user-centric solutions, environmental and economic, referred to as People, Planet
products, and services are just a few of the potential and Prosperity. For example, HCL aims to improve the
benefits driving companies’ digital journeys. lives of people, enabling employees, clients, stakeholders,
and communities to play a significant role in poverty
Industry Overview 51 Such benefits make digital technology – in partnership reduction and quality of life improvements. With an
with human ingenuity and resilience – what HCL calls emphasis on improving standards of living, HCL focuses
“The New Essential”. While technology sits at the core on health, education, technology, jobs, and people who
Environmental, Social,
of a massive digital transformation that is underway, are denied the benefit of, and access to, advances in
and Corporate Governance Strategy 51 it offers global enterprises the most elegant path to science, technology, and innovation.
long-term sustainability. Enterprises that emerge from
Corporate Social Responsibility 52 the pandemic with their digital journeys underway will Environmental, Social and Corporate
be more resilient and agile, equipped for a sustainable
future in the new normal.
Governance Strategy
Business Strategy 55
HCL strongly believes that values drive value and that
Analysts estimate that as much as a trillion dollars
its inherent purpose is to shape and strengthen the social,
Business Segments 57 of incremental enterprise technology spend is likely
environmental, and economic future of the world and
in the next five years. Key themes driving technology
IT and Business Services 58 specifically of the communities where it operates. We take
investments include omnichannel client experience,
Engineering and R&D Services 63 pride in combining the values we nurture and the value
zero touch operations, digital workplace and digital
we deliver to all our stakeholders. The company’s
Products & Platforms 66 product engineering. Cloud consulting, deployment, and
historical and ongoing commitment to this belief and
management services continue to represent opportunities
purpose stands at the core of its ESG strategy and
as hybrid cloud adoption becomes even more pervasive.
Go-To-Market Framework 68 actions. The focus on ESG has delivered strong value,
Rather than managing IT spend internally, clients are
allowing HCL to grow as an organization and build lasting
opting to open their traditional and incremental technology
and productive relationships with its employees, clients,
Key Focus Markets 72 spend to partnership-led digital transformation. “The New
and stakeholders. Today, there is a growing expectation
Essential” adds a dimension of sustainable transformation.
from investors, employees, clients, non-governmental
We strongly believe that values drive value and that
Building the HCL Brand 74 organizations (NGOs), and numerous other stakeholders
sustainability goes way beyond the impact we can bring
to increase transparency with respect to sustainability and
about within our organization. We will lead the narrative
socially responsible practices through public reporting of
Talent Management 75 by crafting a vision for tomorrow for ourselves and our
ESG policies, initiatives and, most importantly, metrics.
ecosystem of shareholders and stakeholders.
While ESG has always been up, front and center from a
Risk Management 77 purpose and culture perspective for companies like HCL,
During the financial year, the technology industry has
it has become one of the key parameters in evaluating
also stepped up to help the world manage a crisis of
performance and reputation today.
Consolidated Results 83 epic proportions. Sector participants have demonstrated
and enabled resilience on a global scale, equipping
To be meaningful from a business perspective, ESG
organizations with the tools, resources, and services they
programs must deploy quantifiable benchmarks to
need as they enter the recovery phase. HCL stands at the
evaluate their own performance and the impact of their
forefront of every one of these capabilities. With 40 years
entire supply chain. Transparency in communicating our
of proven ability to operationalize a future-proof strategy,
vision and our efforts and progress in attaining our vision
it is well positioned to continue on an upward trajectory
keeps us focused and accountable. HCL is committed to
for decades to come.

50 Management Discussion and Analysis 51

reporting its progress in all of the areas of ESG, these are • HCL was awarded a 2021 ESG Industry Top Rated HCL Samuday made headway in Hardoi district in HCL has always strongly integrated
available today in the company’s Business Responsibility Badge by Sustainalytics. It was ranked 15th out of Uttar Pradesh through an immersive approach, drilling
Report. Being a signatory to the United Nations Global 167 companies in the subindustry IT consulting, or deep into the rural communities to build the assets and
with the local communities it
Compact, HCL’s commitments as well as its progress on the 9th percentile, with an ESG Risk Rating score infrastructure needed to galvanize the community to serves, in effect seeking their
key initiatives will be made public. of 16.5 and ESG Rating score of 70. take charge of its future. For example, in FY21:
“social license” to operate as a
• HCL received an “A” ranking by MSCI, positioning
The cost of doing business should include both financial it among the top performers. • 4,628 students and 6,521+ neo-literates accessed good citizen and contribute
and non-financial metrics. As a socially responsible and benefited from education initiatives, while an
company, HCL is constantly monitoring and taking steps
• Citi Research Report 2020 mentioned HCL as being
open educational resource (OER) portal for content
positively to the overall wellbeing
among the companies with the highest ESG ratings
to address its impact on global warming and emissions
(those enjoying BUY Ratings).
distribution was launched across Uttar Pradesh of the area.
while decarbonizing, as much as possible. It tracks and for classes one through five
seeks to reduce the contribution the company makes to • 29,591 outpatient department (OPD) clinics and
climate change through greenhouse gas emissions, its Corporate Social Responsibility diagnostic services were made available through
carbon footprint, while also adopting practices related to telemedicine and mobile health clinics
Corporate Social Responsibility has been a core part of In FY21, despite the COVID-19 pandemic, HCL Uday
ethical waste management and energy efficiency. HCL has
HCL’s business strategy rallying our global employees • Reliable electricity from 32 solar microgrids was made continued to support and stand by the communities,
always strongly integrated with the local communities it
under a common purpose and giving them opportunities available to 3,600+ households and 68 government helping to provide 450,000 people across 11 HCL Uday
serves, in effect seeking their “social license” to operate
to contribute and bring about positive change. The HCL institutions in 41 villages locations with comprehensive care and services,
as a good citizen and contribute positively to the overall
Foundation, responsible for driving the company’s • 3,480+ households received access to toilets and 1,197 including early childhood care and development,
wellbeing of the area. It has made significant contributions
corporate social responsibility agenda, oversees a host households were connected to piped drinking water education, skill development, health, water and sanitation.
to address poverty and hunger through structured urban
of flagship programs and initiatives. Further achievements included planting 183,062 saplings,
and rural development and education and health programs
In its efforts to drive sustainable development, HCL Grant rejuvenating 22 water bodies, and providing protection,
through the HCL Foundation, and diversity and inclusion
The Foundation’s aim is to help break the poverty cycle supports NGOs involved in path-breaking work in three care and treatment of 16,424 animals, as part of HCL’s
through a combination of Human Resources policies and
by building more resilient individuals and communities. areas – environment, education and health. Every year, Green Space Initiative.
practices and its Employees First philosophy.
Its long-term, sustainable programs are ensuring it awards a grant of ₹ 5 Crore (approximately
equitable development and opportunities, resulting USD 680,000) to a single NGO in each of the three Clean Noida represents HCL’s commitment to transform
A well-defined, comprehensive corporate governance
in a lasting positive impact on people and the planet. categories, in support of three to five-year projects Noida into one of the cleanest cities in the world. The aim
system defines a set of rights, rules, principles,
they are undertaking. Each of the six remaining HCL of the program, which is implemented in full partnership
responsibilities, and expectations between different
Through outcome-driven programs and initiatives, Grant finalist NGOs is awarded a grant of INR 25 lakhs with the citizens of Noida and the Noida Development
stakeholders. The system is then used to balance and
the Foundation has yielded remarkable results since its (approximately USD 34,000) for a one-year project, Authority, is to create awareness of suitable waste
align interests between stakeholders as the company
founding 10 years ago. For example, through a network of making a total grant of ₹ 16.5 Crore (approximately $2.5M). management practices and evolve structured, technology-
pursues its long-term strategy. HCL prides itself on the
more than 187 partners, the Foundation has cumulatively driven systems and practices for efficient management
overall transparency in its operations. It complies with
invested more than ₹ 680 Crore, impacting 2.14 million This year the three awardees and their projects were: of waste in the city.
the United Nations 10 Principles, but equally important,
it articulates and showcases policies for industry lives in 21 states and three union territories. The
Foundation’s green initiatives have helped to revitalize • SAAHAS (“courage” in Hindi). Sustainable waste In FY21, program highlights include clearing 2,748 tons
stakeholders including anti-bribery and corruption,
52,000 acres of land, establish sustainable community management through community-owned rural of legacy waste in urban villages, operationalizing
code of conduct, whistle-blower, corporate social
governance, rejuvenate 82 water bodies, and ensure the resource recovery systems in four districts in Karnataka end-to-end waste management processes in eight urban
responsibility, and remuneration policies.
protection and treatment of 18,000+ animals across rural villages, strategically managing waste segregation by type
• CRY (Child Rights and You). Breaking down traditional
and urban geographies. In the process, the Foundation and waste collection sites for 67,000 households, and
The company takes pride in the fact that it has received gender barriers and rebuilding the lives of Bedia girls
has forged deep-seated relationships with communities creating 17,000 square feet of wall art across Noida city.
a number of accolades that validate its commitment to in two districts of Madhya Pradesh
ESG. These include recognition from global assessment that are often excluded from the development process.
• IHAT(India Health Action Trust). Improving maternal, Awards
platforms and investors, such as Sustainalytics, Dow Jones newborn, and child health outcomes in tribal areas
Over the past year, the COVID-19 pandemic has had a Your company’s CSR initiatives in India received
Index, FTSE4Good Index Series, UNGC GRI reporting,
profound impact on the way that the Foundation and numerous recognitions in FY21, including:
EcoVadis, and Institutional Shareholder Services (ISS), Urban Programs
to name a few. other charitable organizations operate. As the global
HCL Foundation is spearheading a bold vision to create • Fabulous Global Smart Cities Leaders, at the 9th
community acted with urgency to battle the pandemic
a future where cities embrace their most vulnerable edition of the World CSR Day Congress and Awards,
• HCL was awarded ISS’ highest governance quality and keep people safe, the Foundation deepened its
citizens and services converge to offer a life of dignity for Project Clean Noida
score, the 1st decile. The score of 1st decile indicates commitment to its mission of addressing socio-economic
and self-respect. To this end, the Foundation is creating
higher quality and relatively lower governance risk. and environmental challenges through a series of • Recognition by the Basic Directorate of Education,
a source code for urban socio-economic and environmental
The score is derived after reviewing four key factors: sustainable programs. Some select achievements Government of Uttar Pradesh, for changing the horizon
development through its urban flagship programs,
board structure, shareholder rights, compensation, from FY21 include rural and urban programs. of the education ecosystem in Uttar Pradesh
HCL Uday and Clean Noida.
and audit and risk oversight. • Global Humanitarian Award, presented by World
Rural Programs Humanitarian Drive, for exemplary humanitarian
• HCL was featured as one of the top 10 “Most HCL Uday leverages the scale of the government, the
Driven by a commitment to create socio-economically response during the coronavirus pandemic
Sustainable Companies” in India by BusinessWorld, expertise of NGO partners, and the volunteering spirit of
self-reliant villages, the Foundation, through two of its
based on an evaluation by Sustain Labs Paris of HCL employees to bridge the access gap and provide the
flagship programs, HCL Samuday and HCL Grant, is
companies’ ESG aspects. city’s poorest residents with quality services. Working
engaging with local communities to seed sustainable
through integrated community development, HCL Uday’s
transformative models and solutions and develop a
convergent approach is creating a comprehensive and
source code for rural transformation.
holistic model of urban development.

52 Management Discussion and Analysis 53

 Business Strategy
Mode 1-2-3
The growth blueprint
AGILITY, EXPERIENCE AND INSIGHTS
for a sustainable,
scalable and resilient
digital enterprise Mode

ITY

PR
Accelerating

BIL
new services

OD
Mode Mode

LIA
1 3

UC
RE
Digital & Analytics

TI
IoT WoRKSTM

NN
AN
Existing Cloud Native Building new and

OV
core services Cybersecurity & GRC reimagining mature

CY
Digital Engineering

AT
products & platforms

IEN

IO
Application Services

FIC

NS
Infrastructure Services

EF
Engineering & R&D Services
Digital Process Operations
Digital
enterprise

Your company’s unique blend of services and products Cloud is a critical part of your company’s Mode 2 offerings.
enables clients to achieve transformation guided by the It is transforming from computing infrastructure to
framework of the company’s Mode 1-2-3 strategy, its becoming the core of business. It is the new way of
signature growth blueprint to ensure organizations delivering infrastructure services, driving engineering,
accelerate their transition into digital enterprises. creating software, managing data, and democratizing
The Mode 1-2-3 strategy gives clients assurance and access to technology. To paraphrase Gartner, “There can
confidence in HCL’s ability to deliver on their vision be no business strategy without cloud strategy”. HCL’s
of sustainable transformation. Cloud Smart approach provides a mix of cloud choices
that modern business strategy demands. HCL unlocks the
HCL’s Mode 1 services aim to offer global clients growth opportunities through Cloud Smart leveraging the
a leadership position and enhance the business HCL Ecosystem Units dedicated to hyperscalers like Google,
competencies for their core business processes, Microsoft, AWS, IBM/RedHat and tech leaders like Cisco,
products, and services through the highest level of Dell, VMware, Intel, and SAP among others. The services
reliability and consistency through maximum automation, offered under the Cloud Smart umbrella are a reflection
efficient delivery, and operational agility. They enable of HCL’s ability to develop capabilities and execute services
clients to become more efficient and agile while helping that are closely aligned with business needs – a fact
them achieve competitive differentiation in their industry. recognized by clients, analysts, experts, and partners.
Mode 1 leverages the current business and IT landscape
by consolidating a firm’s existing core and unearthing Mode 3 offerings are based on a strategy of creating
new ways to enhance that core with new technologies. innovative intellectual property (IP) by leveraging an
These service offerings are comprised of applications, ecosystem model through strategic partnerships,
infrastructure, engineering and Research & Development, carve‑outs, and co-innovation programs. Through both
and Digital Process Operations. internal and external IP creation, HCL’s Mode 3 offerings
help clients target specific next- generation opportunities
HCL’s Mode 2 offerings help enterprises take the next with scalable and ready-to- deploy products and platforms
digital leap using insight-based, experience-centric, that reduce the time to become future-ready. It addresses
and outcome-based integrated services that leverage the various needs of enterprise clients in the area of
next-generation technologies. Mode 2 propositions are technology and domain related intellectual properties.
in the areas of digital transformation, data analytics, IoT, These intellectual properties also enable our Mode 1-2
hybrid cloud migration and management, digital product portfolio by augmenting with automation and AI/ML
engineering and cybersecurity, and they help clients built into our service propositions. A new addition to our
build robust new-age capabilities and pivot to new Mode3 strategy is the establishment of a dedicated
business models. Industry Software Division. This unit will focus on building
next‑generation products in 5G/telecom, manufacturing,
Noida, India and enterprise AI.

54 Management Discussion and Analysis 55

Your company’s success is deep rooted in its ability An aggressive talent identification and career Business Segments In each of the three areas, HCL has proven proficiency
to execute by bringing together a multidimensional team management plan focuses on hiring entry level college and expertise supported by deep investments in talent,
with end-to-end ownership of client business problems. and school graduates (TechBees, as they are known at Your company’s Mode 1-2-3 strategy was well positioned innovation labs, experience centers, centers of excellence,
HCL differentiates itself from other technology consulting HCL) from the local academic institutions and grooming to respond to the uncertainty of the last 12 months. and world-class partnerships. By capitalizing on the
organizations through its people, unique culture, tradition them. Cost efficiency through various initiatives like Mode 1-2-3 was put to the test by the global pandemic. synergies among the three, HCL offers an integrated
of innovation, focus on outcomes, and an IP-led (via automation, talent localization, global delivery It proved itself to be a strong pillar for clients, one that set of capabilities that delivers greater value than the
proprietary technology) approach. It goes beyond the diversification and entry-level hiring and grooming on supported their response to the global crisis by enabling sum of the individual services.
traditional delivery model, leveraging an extensive partner a sustained basis play an integral part in sustaining them to step up digital transformation initiatives and
ecosystem – from hyper-scalers to vertical platforms, from margins. HCL has been increasing its presence in client migrate from traditional to digital technology on Engineering and R&D Services (ERS): With ERS,
start-up incubators to boutique industry consultants – geographies to improve delivery agility and reduce accelerated “pandemic time”. Mode 1-2-3 allowed HCL showcases its deep engineering roots and
across the entire value chain to solve client business work-visa dependency. HCL to quickly respond to its clients’ business needs as competence through its ability to accelerate digital
problems. The company has created an efficient they rapidly shifted their investments to digital channels, product development for clients across engineering,
“onshore-offshore-nearshore-anyshore” model to design The company optimizes its direct and indirect costs by hybrid cloud, autonomics, next-generation network manufacturing, supply chain, and services. ERS leverages
exceptional talent management and training programs; maintaining a good balance of the onsite-offshore mix services, and intelligent and adaptive cybersecurity. more than 50 solution accelerators and next-generation
even as talent goes remote, it’s accessible to the entire and pyramid optimization within its teams. HCL maintains technologies such as IoT, AI, augmented reality and
world on a video conference. In the anywhere, anytime analytical tracking of various cost levers to ensure HCL’s success also resulted from its laser-like focus on virtual reality (AR/VR), and autonomous vehicles.
world of service delivery, HCL continues to invest in outcomes can be achieved through business process three things – employees, execution, and value-centric Leveraging the experience gained working with more
data security and governance as cyber protection and transformation. Productivity-related metrics are regularly delivery. Together, these opened the door to new and than 330 businesses, ERS has helped clients to bring
data privacy becomes ever more critical in the post monitored by intervention of levers such as utilization and emerging business opportunities. Capitalizing on its more than 1,000 products to market successfully.
pandemic era. automation. A strong cost-control mechanism has also next-generation technology portfolio – consisting of
helped to achieve non-linearity in growth in various areas cloud, digital and analytics, Internet of Things (IoT), Products & Platforms (P&P): Over the years, HCL has
HCL’s human resource teams focus on diversity and of execution. cloud native, artificial intelligence (AI) and automation, created thousands of solutions for clients, resulting in
inclusion throughout the employee lifecycle, from and cybersecurity – it successfully boosted engagements valuable intellectual property (IP), and products and
recruitment through to retention. Its talent strategy, As a global organization, your company is poised to make with new and existing clients. platforms that provide quantifiable client value spanning
strong employee engagement mechanism, training huge strides in the technological landscape. Its balanced traditional, emerging, and future technology needs. P&P,
and re-skilling of employees, robust performance review portfolio mix helps maintain business continuity and HCL’s three business segments – IT and Business Services, comprising businesses including HCL Software, DRYiCETM
system, and recognition of top performers helps HCL momentum in both the top and bottom lines. During the Engineering and R&D Services, and Products & Platforms Software, Actian, and Industry Software Division of HCL
minimize employee turnover and attrition across the COVID-19 crisis, HCL followed its hallmark philosophy – were also instrumental in helping the company keep Technologies, boasts more than 500 product releases
organization. As a testament to HCL’s people management of “going beyond the contract” to help clients in every pace with digital demand, maintain forward momentum, and targets Mode 3 revenue. The P&P business unit
practices, Forbes ranked your company No. 30 globally sector as they worked toward recovery and stability – and sustain an upward business trajectory. represents a fundamental differentiator for HCL.
on its list of the World’s Best Employers 2020 and No. 1 an approach much appreciated by clients.
across multinational companies headquartered in India. IT and Business Services (ITBS): The ITBS segment In combination, ITBS, ERS, and P&P enable HCL to deliver
comprises three sets of services that reflect crucial a comprehensive range of capabilities that fulfil the
HCL continues to build on its market-leading localization building blocks of every enterprise adopting traditional, transformational, and future needs of clients
rate – the percentage of employees hired locally – and next‑generation technologies: across the globe.
will strive to lead the market in the next decade as well.
This is supported by initiatives such as New Vistas, which • Digital foundation: hybrid cloud, digital workplace,
helps to create a steady and stable supply of local talent next-generation network, and cybersecurity/
in the medium term by diversifying HCL’s global delivery governance, risk and compliance (GRC) services
capabilities. Establishing “near to client, in-time zone” • Digital business: consulting, applications and platforms,
delivery centers ensures that ready-to-deploy, trained insights (data and analytics), and IoT services
resources are available for client engagements.
• Digital operations: Integrated IT operations, security
operations, and process operations

The disruptive forces created by the coronavirus pandemic

heightened the urgency to leverage these three blocks.
But in a post-pandemic environment, demand in these
three core areas will continue to climb, as global
organizations strive to increase business resilience,
improve operational efficiency, enrich and deepen
customer engagement, and innovate operating models.

56 Management Discussion and Analysis 57

IT and Business Services an enterprise-wide cloud strategy to ensure maximum are used by clients to automate their network lifecycle
returns while smartly avoiding the inherent complexities and future-proof their network ecosystem. HCL adopts
and choices arising with its adoption. industry best practices across its solutions and services,
setting competitive benchmarks in engineering excellence,
HCL’s Cloud Smart approach is designed for enterprises innovation, operational expertise, and delivery capabilities.
Machines Employees Clients Partners that want to build adaptive portfolios with innovative HCL manages networks for more than 250 clients globally.
cloud services, driven by intelligent automation, and a Clients include global services providers, OEMs, and
Digital Operations comprehensive partner ecosystem to address specific Fortune 500 companies.

Startups
Telcos

Autonomics and Unified service management business objectives. HCL’s cloud practice, in the form
Integrated IT operations | Security operations | Process operations
of Cloud Smart, is poised to present the mix of intelligent Cybersecurity and GRC Services
Strategic Alliance

cloud choices that clients need. This is in keeping with Enterprise cybersecurity needs are continually evolving.
HCL’s rich history of delivering smart solutions that With cloud and digital adoption, cyberattacks have
Tech OEMs

Digital Businesss
facilitate growth. Overall, HCL’s hybrid cloud service is become increasingly sophisticated and more frequent.

Industry Forums
Consulting | Applications and Platforms | Data and Analytics | IoT an ideal route for clients wanting to build a resilient With Industry 4.0 initiatives like the automation of
digital enterprise of the future. traditional manufacturing, stringent regulations, and
dependence on supply chain partners, mitigating
Hyperscalers

Digital Foundation Digital Workplace Services cybersecurity risks has become highly challenging across
Hybrid cloud | Digital workplace | Networks | Cybersecurity and GRC HCL’s Digital Workplace Services offering addresses all the widening cyber-physical estate. The existing skills
business-to-employee (B2E) needs. It aims to create scarcity, coupled with the rapid ramp up of distributed
digitized workplaces for clients by transforming traditional workforces, and global digital value chains further
workplaces into dynamic and intuitive business-enabling exacerbated by the COVID-19 pandemic, has exposed
workplaces with a focus on personalized user experience, organizations of every size and sector to additional risks.
AI Experience Cloud Talent
user-machine collaboration, adaptive workplace security,
and employee wellbeing. Digital Workplace Service These challenges create new opportunities to scale up
delivers a boundary-less workplace without compromising security offerings. Such offerings include real-time
A comprehensive suite of end-to-end digital offerings to address the traditional & transformational needs of the on-time and on-demand provisioning. compliance monitoring and measurement, and
resilient digital enterprise. accelerated execution of critical projects like Zero Trust,
The goal of this B2E service is to boost employee software defined security (SDS), secure access service
engagement and productivity through automation Edge (SASE), decentralization of identities, and software
Digital Foundation As a partner in their digital journeys, HCL works with and AI-driven solutions. HCL’s Fluid Workplace solution defined perimeter (SDP). IoT-related imperatives are also
Through 2020, digital experiences have dominated the clients to build a strong foundation, strengthened by combines people and culture with technology to address creating the need for a security layer on top of identity
way people live and transact. With the trend of remote extreme automation and agile delivery. With the help the composite needs that have arisen with the convergence management systems.
working, advanced technologies, including automation, of HCL partnerships and strategic alliances with global of IT, human resources, administration, and facilities
AI, real-time analytics, agile operations and adaptive technology vendors and niche solution providers – management. It enables the end users, the IT function. HCL’s vision is to provide dynamic cybersecurity to
security, are being leveraged for collaboration, enhanced including AWS, Cisco, Dell, Google, IBM, Microsoft, SAP, and business to be productive by being: address an evolving and constantly changing threat
consumer experiences and to secure digital assets. This Arista, Citrix, Cohesity, Docker, HPI, HPE, Intel, NetApp, landscape. HCL’s Dynamic Cybersecurity Framework
has been aided by cloud technologies that provide Nutanix, Pure Storage, Rubrik, and VMware – the company’s • Future-ready: agile workplaces that keep enables protection against threats by enforcing end-to-
companies with limitless scope to maneuver, innovate, clients are transforming and powering their business. up with business end coverage and creating a dynamic enterprise security
scale and grow. • Liberating: ergonomic, safety, and wellbeing posture that includes a technology and tool independent
Within the context of Digital Foundation, HCL offers focused workplaces architecture, a unified, well-integrated next-generation
With the effective use of digital technologies, companies an array of products and services leveraging next- technology and process control, strong governance of
• User-centric: design-thinking led and
can understand their customers better and adapt rapidly to generation technologies. identity, data and third parties, the ability to predict and
hyper-personalized
provide compelling experiences that leave a lasting impact, detect vulnerabilities, and the ability to respond and
even in the face of rapidly changing market dynamics. Hybrid Cloud Services • Intelligent and immersive: ambient and progressive recover quickly.
Profound changes dominate the way businesses operate. technology fabric
HCL’s Digital Foundation offerings help businesses adopt Organizations are adopting hybrid cloud services to • Democratized: fosters diversity and empowers Clients are choosing HCL as a partner because it provide
digital technologies which are at the core of business reinvent themselves and stay relevant in a technology- everyone equally reliable, end-to-end ownership of the security lifecycle
transformation. These offerings are a combination of driven market. Cloud has become a strategic pillar to from strategy, consulting, architecture, proof of concept,
traditional infrastructure services and next-generation build a responsive, scalable, and resilient business. It Next-Generation Network Services implementation, and transformation to integration.
services around hybrid cloud, digital workplace, software has also become the primary accelerator for business Modern enterprises need advanced networks that are It enables organizations to select and implement the
defined networking, cybersecurity, and intelligent transformation – delivering growth, agility, and open yet secure, agile yet scalable, easy to govern, most cost-effective and right-fit solution / technology
operations. Clients have used these services to develop experience to customers, partners, and employees. and yet support quick real-time changes. for their business. It offers enterprise scale solutions and
long-term, enterprise-wide digital transformations to proprietary solutions that include SecIntAl (AI-enabled
address future uncertainty and challenges. HCL is Businesses are also realizing that merely acquiring cloud HCL offers clients an extensive network portfolio security detection and incident response (IR) services)
uniquely positioned to help enterprises extract maximum technology is not enough. Cloud technology must be encompassing strategy, design, and implementation and SAFE (security architecture framework for
business value from their digital investments. deployed in ways that generate tangible business value. across transformative technologies including software- enterprises). Altogether, HCL provides clients with a
HCL works with clients to help them rethink how the defined-WAN, access, and data center. HCL’s IP robust “static to dynamic” cybersecurity posture.
cloud is designed and consumed via the adoption of frameworks for network automation and orchestration

58 Management Discussion and Analysis 59

Digital Business Applications and Platforms 2. Intelligent data management: Decouples the Enterprises across industries
Enterprises across industries have been investing in Enterprises are continuing their shift toward new underlying storage ecosystem from data management
digital transformation to reimagine their business models, operating models, leaving behind function-based silos aspects and focuses on ethical data governance,
have been investing in digital
deliver unique experiences, and improve efficiencies. for value chain-centric and product-centric operations. self-healing data quality, universal metadata transformation to reimagine
Business agility, ability to change, and technology The technology that supports these operations is also management, automated data lifecycle management,
adoption are now central to the new normal. The current being transformed. Enterprises are redefining business and master data management.
their business models, deliver
climate has generated another year of robust growth architecture to increase agility and scalability by adopting 3. Consumption-based analytics: Enables delivery of unique experiences, and
in FY21 for HCL, led by its Mode 2 digital and analytics modern applications, SaaS, composability, and by creating democratized insights through an organized catalog
services. The three prevailing trends in the market are platforms to deliver business.
improve efficiencies.
of all data and analytics assets to promote collaboration,
fast adoption of public cloud IaaS and SaaS, enterprise reuse, self-service infusing predictability, and
reorganizations shifting away from traditional IT-business Your company is a top tier partner with leading enterprise transparency in analytics services.
operating models to agile IT operating models, and hyper applications and SaaS companies including SAP, Salesforce,
4. Applied AI: Delivers AI solutions driven by human
demand for application modernization and data analytics. and Microsoft. Similarly, HCL has deep expertise and capabilities of the IoT stack, a strong product engineering
centricity, design thinking, and experimentation
solution partnerships with integration and low-code pedigree, domain expertise, a robust partner ecosystem,
at scale.
HCL’s differentiation in each of these areas has helped it providers such as MuleSoft, Pega, Workato, and Appian. and high customer satisfaction, IoT WoRKSTM has been
win modernization deals with existing and new clients. HCL also maintains strategic partnerships with marketing continuously rated as “Leader” by analyst firms and has
HCL’s strategic partner network further bolsters its
platform technology providers such as Adobe and Sitecore. become a partner of choice for clients across industries
advanced data analytics and data science capabilities.
Moving into FY22, the company has created a single The new partnership scales the company’s competency such as manufacturing, life sciences and healthcare, and
global digital business, combining digital consulting, Last year’s Annual Report noted significant traction with energy and utilities.
to help enterprises adopt advanced self-service analytics
application services (Mode 1 and Mode 2), and data solutions in the SaaS-based customer relationship
and process automation for faster, more agile service and
analytics services. Together, they accelerate digital management (CRM), human capital management (HCM)
innovation implementations. Digital Operations
transformation initiatives undertaken by clients, enabling and supply chain management (SCM) arenas, with the Changing customer expectations are pressuring
HCL to secure large application services and data expectation that the trend would likely continue. Indeed, operations. Traditionally, operations comprising processes,
IoT
analytics engagements that require the combined the COVID-19 pandemic has accelerated digital management practices, and capabilities have streamlined
Enterprises are moving toward connected ecosystems
capabilities of legacy support with digital consulting, transformation, turbocharging the digitization process business performance. Now, orchestration of processes
with the mainstream adoption of IoT. They are also
application and data value stream modernization. and cutting years off the timeline. through digitization is creating new levels of scalability
diversifying their portfolios from products and traditional
after-market services to digitally enabled services driven and an experience-centric operations ecosystem. It is
HCL has rapidly scaled capabilities using key partnerships In line with how enterprises have scaled their agile IT evident that digitizing operations can facilitate vast
by artificial intelligence/machine learning/deep learning
for cloud with Google Cloud Platform, Microsoft Azure operating models, HCL has re-architected the way it improvements in operational capabilities. HCL’s digital
(AI/ML/DL) to drive new revenue streams and enable
and AWS, and critical application and data platform delivers its application support and managed (ASM) operations offerings, with the building blocks of
outcome-driven models. Pressure to adapt to the global
partnerships with Salesforce, SAP, Oracle, Snowflake, services, combining DevSecOps and scale agile integrated IT operations (IITOPS), Cyber Security Fusion
pandemic quickly has accelerated digital transformation
Pega, and Alteryx. capabilities to create ASM 2.0. The approach defines Centers (CSFC), and process operations, are designed to
journeys, creating innumerable opportunities. As a result,
roadmaps for clients based on the velocity of change provide next-generation digital services that enterprises
the traction across verticals for specific needs – such as
Digital Consulting in application landscapes to adopt a scale agile model. can use to achieve resilience and flexibility.
AR/VR for remote field service and training, remote
People sit at the center of the digital world. To succeed HCL is working with more than 100 global 1,000 clients
monitoring of patients through connected wearables
in that world, businesses must focus on technology and to support and modernize their applications. Autonomics and Unified Service Management
and extended reality (XR) technologies, and real-time
the user who leverages that technology to interact with insights enabled by AI/ML–is gaining speed. As global enterprises continue to deploy smart machines
business processes. As a result, value chains (business Data and Analytics and simplify their operating processes, a key focus area
processes) across industries are being reimagined with Enterprises are becoming data intensive and data driven. will be IT management. With the proliferation of smart
HCL’s IoT WoRKSTM is well-positioned to address this
user experience at the core. In this setting, clients regard Data itself is being treated as a value stream, leading to devices, an expanding remote workforce, and evolving
tremendous opportunity by addressing clients’ end-to-
HCL’s ability to provide multidisciplinary teams to deliver growing investments in modernizing data platforms, enterprise needs, the pressure on IT teams is reaching
end needs for “define, build and run” services in the
in an agile product-centric model as a critical differentiator. building scalable data architecture, and leveraging cloud a breaking point. Sustainable IT practices that are
connected ecosystem. This is supported by a robust
partners such as GCP, Azure, and AWS. In tandem, there contingency proof and not fully reliant on human
portfolio of 50+ products and solutions across industries.
HCL Digital Consulting services include: is a strong focus on data security, data governance, and intervention are emerging as a competitive differentiator.
These productized solutions take an integrated service
data management. Together, they are helping data That is precisely what AI promises to do in the form of
approach of providing seamless orchestration of things,
• Experienced strategy and design to develop analytics quickly evolve from delivering insights to being AI operations (AI Ops).
data, platform, process and people to create enhanced
enterprise-wide experiences that speak to the unmet core to value chain reinvention. Thus, the organizational
user experiences, improved operational efficiency and
needs of clients, employees, and users flow of value has become synonymous with the Service management has expanded beyond IT. Unified
a measurable market differentiation. Investments in two
• Industry capability definition and business process organizational flow of data. service management (USM) solutions extend IT service
IoT CoLLABsTM, in Redmond, WA (U.S) and Noida, bring
optimization aimed at improving performance and management (ITSM) capabilities to address business-
together best-of-breed ideas, tools, technologies, and
top line growth by identifying and defining HCL’s approach to the related services consists of four centric use cases, such as facilities, HR, and customer
resources from a diverse set of technology, consulting,
differentiated capabilities key pillars: service, managing service demand and supply. It is
and platform partners to create a scalable prototype
inevitable that USM solutions intersect with organizational
• Agile delivery transformation through agile operating in a short time frame. The goal is to accelerate the
1. Adaptive data platform: A data-first approach to capabilities, such as enterprise resource planning (ERP),
models that align delivery ecosystems to the performance idea-to-market journey. A proven 3-3-3 Innovation
transform existing data platforms into a future-ready customer relationship planning, business process
among customers, capabilities and features by Design consulting framework enables clients with
and responsive data platform capable of delivering management (BPM), and robotic process automation (RPA).
• Organizational agility to create and execute a structured approach to ideation, building prototypes,
real-time intelligence. USM’s interplay with these will drive business technology
customized plans that ensure employees have the right and determining the scalability and commercial potential
management strategies over the next decade.
level of support, leadership and coaching for change for their solutions. With its end-to-end orchestration

60 Management Discussion and Analysis 61

Autonomics and unified service management will play Gothenburg (Sweden), Noida, Bangalore, and Chennai Engineering and R&D Services
a critical role in creating sustainable and agile IT (India); a seventh CSFC is set to launch soon in Melbourne
ecosystems that are prepared for contingencies as (Australia). End-To-End Engineering Services
new-age enterprises expedite their digital transformation
initiatives in the post-pandemic world. Process Operations Product Engineering Platform Engineering Operational Technologies
The COVID-19 pandemic has triggered fundamental
Integrated IT Operations changes in the business models of various industries, • New Product Development • Platform Development, • Manufacturing
Integrated IT Ops (IITOPS) is a new hybrid operating characterized by new avenues of customer engagement, and Sustenance Sustenance and Operations Engineering Services
model. Based on the pillars of the AI Ops approach, supply chain resilience, adjacent products/services, • CyberSecurity • Digital manufacturing
cross-skilled teams, operations best practices and cultural alternate fulfillment models, and remote workforce • Industry 4.0
transformation, it provides a combined approach of management. This requires agile operations to quickly
classic (ICC, DCOps, AppOps, NetOps) and evolving adapt processes, systems, controls, and customer Digital Engineering
(CloudOps, DevSecOps, SRE/PRE, and FinOps) journeys to evolving business requirements. As a
operations models. IITOPS leverages a common consequence, organizations are betting big on
foundational approach of autonomics and USM across technology-led operations, digital transformation, New Product Development Data Engineering
ITIL/IT4IT/SAFe agile models. HCL brings pragmatic agile operating models, innovative deal constructs,
automation solutions through DRYiCETM iAutomate, virtualization of work, and a globalized talent pool. Software Product Engineering Network Engineering
DRYiCETM NetBot, HCL Software’s Automation Power
Suite, and simplified processes to drive extreme HCL’s Digital Process Operations (DPO) was quick to Collaboration Services Connected Experiences
efficiency and agility into IT operations. respond with an integrated “process first, technology-led
digital operations” model, which re-imagines client
Our areas of expertise
HCL partners with the world’s leading ISVs to deliver operations across three broad stacks – the process tier, the
IoT/IIoT | CLOUD | AI/ML AR/VR | 5G DIGITAL TWIN/THREAD
continuous service assurance for clients’ digital technology tier, and the consumption tier. These stacks
transformation. Key strategic partnerships include determine the velocity and magnitude of business success
Moogsoft, Dynatrace, Splunk, AppDynamics, Broadcom, an organization achieves. The process layer sits in the
Zenoss, which supplement the company’s HCL Software middle stack, enabling process transformation using HCL’s
and DRYiCETM software divisions. proprietary process engineering, golden process blueprints, The COVID-19 pandemic has shrunk global output, HCL accelerates development across the entire product
and orchestration tools. The technology layer, focusing challenging enterprises to contend with supply-chain ecosystem, encompassing engineering, manufacturing,
Security Operations on efficiency and scale, lies at the bottom, leveraging the disruption, data security imperatives, and evolving and services. HCL helps clients improve time-to-profit by
HCL’s security offerings are well placed to effectively meet underlying technology/platform landscape enabled by workforce models. However, against a backdrop of change maximizing return-on-innovation. It is highly regarded as
the most complex needs of global clients. Cybersecurity autonomics. The consumption layer forms the top of the and uncertainty, the global engineering services and a thought leader in digital engineering technologies and
plays a pivotal role in enabling organizations to become stack, focusing on business outcomes and improvements technology sector rallied in the second half of 2020 on offers its clients:
resilient, secure, and ready for the ever-changing threat through omnichannel, smart, and digital interactions. the back of its rapid acceleration in digital transformation.
landscape. HCL’s Cybersecurity Fusion Centers (CSFC) • Technological depth with new-age digital technologies
further strengthen the company’s commitment to Your company’s DPO strength is rooted in its proven Enterprises aiming for leaner structures with more such as IoT, AI, AR/VR, plus solutions and technologies
defending customers’ digital assets. CSFCs are state-of- capability around future-ready engagement models and flexibility, faster adoption of cloud-based products and for autonomous vehicles
the-art security operations and response facilities, fully vested for business-linked commercial constructs. services and new business development opportunities, • A solutions-driven approach across automation,
integrating multi-domain security teams, processes and The company’s custom-created target operating model are likely to trigger a recovery in core sectors such as analytics, platform, and sustenance with patents,
cutting-edge analytics, enabling organizations to detect adopts the right balance of control, cost, flexibility and automotive and manufacturing. In 2021, commercially including patents on IP-based solutions
threats faster and resolve incidents efficiently. Each of the risk, leveraging DPO experience of industrialized shared driven verticals including Medical Devices, Software
• World-class infrastructure and labs for product
global CSFCs provides 24/7 cyber operations services services, geo- rebalancing/right shoring, risk and Internet, and Consumer High-Tech, will emerge
engineering and testing
with more than 60 billion security events tracked daily. management and controls, governance, and continuous as growth markets, generating additional demand for
The CSFCs, built on HCL’s SecIntAI framework, help improvement. Breadth of experience enables HCL to HCL’s Engineering and R&D services.
ERS has a strong innovation culture, resulting in IP and
integrate different components of cyber operations to underwrite integrated service level agreements (SLAs)
strategic innovations while leveraging alliances, start-ups,
operationalize a comprehensive cybersecurity lifecycle and business outcomes, commit to underwriting savings HCL’s ERS practice is amongst the most valued global
and key academic research for co-creation with clients.
delivered via the company’s Fusion Platform. cases and provide the ability to bring complete variability engineering service providers (ESPs). With more than
HCL is investing heavily in developing solutions that help
in spend. With extensive expertise across rebadging four decades of experience in operating under complex
clients quickly influence the overall product ecosystem.
HCL’s CSFC Fusion Platform ingests the telemetry talent pools, workforce diversity in a hybrid location multi-vendor environments and client value chains, it
Investments in more than 100 engineering labs
collected from the entire IT stack to deliver proactive model, digital skills academy and flexible employment possesses the capacity and know-how to seamlessly
(environmental compliance, certification, and
threat monitoring and comprehensive protection. arrangements, DPO has successfully enabled a highly integrate with, and complement, the product engineering
benchmarking), more than 100 client development
This helps the security teams share information and differentiated and distributed workforce globally. and research and development (ER&D) efforts of clients.
centres and Centres of Excellence (in niche areas such
collaborate closely with clients, and heighten their
as industrial design, high-performance computing,
operational security posture so that they are better DPO provides services to more than 100 clients across HCL clients include leaders across several asset-heavy
automation, imaging, big data and analytics, and others)
prepared for any eventual incident. Through a combination industries that include Fortune 500 and Global 2000 engineering industries, such as Aerospace and Defense,
have resulted in a complete ecosystem of comprehensive
of an expert team and two decades of mature security organizations. With state-of-the-art delivery centers Automotive, Industrial Manufacturing, Medical Devices
digital engineering services from concept to market for
process automation, the CSFCs help HCL customers across India, Europe, Ireland, Latin America, the and Office Automation, and asset-light industries, such
client products & platforms across domains.
detect and respond to security threats swiftly and protect Philippines, the United States and the United Kingdom, as Telecommunications, Consumer High-Tech,
and manage their security technologies comprehensively. DPO leverages its integrated global delivery model Semiconductor, and Software & Internet.
HCL has six CSFCs strategically located in Texas (U.S), (IGDM) to provide clients with best-in-class services.

62 Management Discussion and Analysis 63

We provide end-to-end Engineering Services across Key digital themes such as product and platform
Product Engineering, Platform Engineering, and engineering, design thinking, connected ecosystem,
Operational Technology Services. as-a-Service models, and Industry 4.0 are becoming
pervasive across the industry spectrum. Enterprises
Product Engineering are investing heavily in new-age digital engineering
We combine deep domain and technology expertise to technologies such as 5G, Cloud, AI/ML, AR/VR, Internet
provide our customers with Product Lifecycle services of Things (IoT), and Blockchain. Businesses realize that
for existing and new products – solutions designed for the investments made today in digitalized products that
the connected world and which help our customers tap are personalized, intelligent, connected and cloudified,
the full potential of their product portfolios. and in digitalized processes that use automation,
simulation, traceability, and AI will deliver big dividends
Platform Engineering down the line. The result has been a growing demand
HCL’s end-to-end Platform Engineering services help across industries for strategic engineering service
our customers in achieving the best value from their providers like HCL.
engineering investments in building, running, and
maintaining their high-performance, secure, and highly The accelerated demand for digital engineering has led
scalable platforms. We support our customers at to the development of HCL’s next-generation services.
different stages of their digital transformation journey, These will continue to be a key growth driver for HCL in
from building to continuously improving their digital FY22 as it focuses on 5G, Industry 4.0, data engineering,
platforms and services using the latest technology. and platform engineering. The company will continue to
capitalize on the digital wave, focusing on key industries,
Operational Technologies and leveraging innovative IP-led partnerships as the core
HCL’s Operational Technology services are aligned tenets of a buoyant growth strategy.
to address key industry requirements – right from
effectively translating design intent from virtual world With the trend of large-scale digital transformation,
to manufacturing floor, simulation and optimization HCL sees a growing demand for engineering services
of complex manufacturing processes, concurrent outsourcing as organizations look for strategic
engineering to compress time, improve productivity partnerships with ESPs to provide critical solutions and
and flexibility to handle variance and volume. services such as:

Digital Engineering • In-depth domain-centric product engineering solutions

HCL’s Digital Engineering Services cater to the full • Robust engineering talent and collaboration with
spectrum of digital transformation from defining to start-up and global capability centres (GCC) ecosystem
realizing digital strategy and roadmap. HCL ERS has
• Capability to execute large, complex, end-to-end
developed many service accelerators to facilitate the
engineering programs
adoption of next-gen technologies like IoT/IIoT, Cloud,
AI/ML, AR/VR, 5G, Digital Twin/Thread, and emerging • Intellectual property creation and carve-outs
areas like High-Performance Computing, Edge
Computing, Industry 4.0, etc. HCL is poised to take advantage of the digital
engineering led ERS growth. The company’s strong
HCL Engineering Services span the entire spectrum and long-standing relationship with 65 of the top 100
of product and platform go-to-market across New companies worldwide that spend the most on R&D helps
Product Development, Software Product Engineering, it to remain the strategic partner supporting their digital
Collaboration Services, Data Engineering, Network initiatives. HCL’s commitment to sharing ownership and
Engineering, Connected Experiences. This helps us engineering responsibility for product and platform
optimize time-to-monetize and accelerate go-to-market development fully complements its clients’ ambitions.
for our customers.

Frisco, United States of America

64 Management Discussion and Analysis 65

Products & Platforms As clients achieve greater success leveraging additional DRYiCETM Software Division
products and solutions, even more opportunities DRYiCETM Software, established in 2018, is HCL’s foray into
Software Product Framework to improve and enrich the client journey will emerge. the emerging world of artificial intelligence (AI), automation,
HCL will rise to the challenge, continuing to help clients and business observability. AI and automation will be the
navigate the road to recovery by working at pace, key elements of a digital enterprise. DRYiCETM brings
End User Computing
attracting and retaining talented professionals, and these enterprise initiatives to life and currently develops
continuing to make strategic investment choices while and sells more than a dozen products and platforms in
Collaboration Enterprise anticipating, and staying ahead of client demand. AI Ops, service orchestration, and business observability.
Tools Applications
Since HCL Software’s inception, its ambition and vision HCL operates in some of the fastest-growing market
has been to become a top 10 enterprise software vendor. segments, including AI Ops, at 37 percent compound
Development and Testing It aims to bring enduring value to clients’ mission-critical annual growth rate (CAGR); enterprise service orchestration,
Security Service
IT investments and drive new capabilities through sustained at 20 percent CAGR; and operational intelligence, at
Platforms Management
innovation. Its operating model follows principles that 31 percent CAGR. DRYiCETM Software, since inception,
Data Management and Analytics guide the business toward success, placing clients at the has grown threefold with a global base of more than
heart of every action. These principles include enduring 250 customers. HCL’s AI Ops product portfolio continues
value, client success, pragmatic innovations, market to outpace the market, growing at more than 40 percent
Virtualization Software leadership, employee-first, cloud native, and trust and CAGR. The growth is led by iAutomate (AI-powered
security in every decision made. runbook automation), Lucy (industry leading cognitive
virtual assistant) and MTaaS (an industry only managed
Hardware Management Investing and improving its products is the cornerstone Tools-as-a-Service offering). The iControl software catering
of HCL Software. In FY21, it announced 22 major to the operational intelligence market grew 50 percent
product releases and nearly 400 product releases overall. year over year (YoY) given the high demand in the
HCL P&P Offerings Partner Offerings
It delivered 10 new modules within its products and more enterprise market to drive real time business observability.
than 1,000 enhancements. More than 85 percent of HCL’s
Products & Platforms (P&P) business is thriving and now HCL Software Division products, initially conceived as tried-and-true on-premise Your company continues to invest in its products, catering
accounts for a significant portion of your company’s Despite the coronavirus pandemic, FY21 was highly products, are now cloud-native with a robust pipeline of to the fast-changing markets in which it operates. In FY21,
Mode 3 revenue. Three factors driving P&P growth are: successful for HCL Software. The pandemic underlined further cloud native products already set for release this DRYiCETM had more than 25 successful product releases
the importance of clients’ IT infrastructure – and the year. With 21 new patents filed, the culture of innovation and more than 100 product enhancements. The company
• Enterprises are equally concerned about applications mission-critical enterprise software running their businesses. underpins the business’s ability to help clients fully takes pride in the fact that its products continue to make
and the IT infrastructure on which their applications run From customer-facing applications such as HCL Commerce leverage technology for good. a difference in how enterprises adopt AI at scale.
• Having seen good results with HCL’s management of (that transacts sales orders) and HCL DX (that supports
their infrastructure, clients are trusting HCL with their business-critical digital experiences) to development Cloud native and API first are the foundations of HCL’s Industry Software Division of HCL Technologies
applications, giving the company latitude to play platforms like Domino (that runs 10 million applications architectural modernization strategy, providing the ability Connectivity, data, and automated decision making are
in a $400B global enterprise software market at 15,000 organizations) and security software like to rapidly innovate new capabilities and components revolutionizing industries. Telecom operators are transforming
AppScan and BigFix, along with many other critical around them. The company plans to introduce new business by leveraging cloud to build a scalable, cost-
• HCL’s product engineering DNA has already helped
products in HCL’s portfolio, HCL serves as the backbone products and services around cloud native that will efficient network infrastructure. The convergence of
create thousands of products for clients, and P&P
to the world’s most successful organizations. offer clients flexibility, speed, and cost savings in the cloud, hyperscale data centers, Edge computing, and
brings this rich engineering experience under one roof
management and ownership of their IT infrastructure. mobile network technologies is driving a revolution in
For example, when people have been sheltered at home, the way telecommunication services are delivered.
Clients can now expect HCL to meet their needs around
and online commerce becomes the primary channel of Clients have partnered with HCL Software primarily due
end user computing, collaboration, enterprise applications,
business, it is HCL Commerce that has helped several to the investments and innovations put into its products. Within enterprises, AI and ML technologies enable
development and testing, virtualization management,
B2C and B2B companies thrive. Under immense pressure There have been numerous new releases and functional groups to deliver superior experiences to
hardware management, security and service management
to perform in demanding conditions, HCL Commerce enhancements delivered already, many of which were stakeholders and customers using cognitive search
through its umbrella P&P business. The demand for P&P
has proven itself to be among the most scalable and developed for, and in collaboration with, clients. HCL and augmented analytics. Additionally, manufacturing
expertise from clients has been steadily growing and HCL
reliable e-commerce platforms. Similarly, when people clients contribute directly to the product roadmaps; their is being reinvented as new analysis and optimization
has met this demand through a series of in-house innovations,
have to work from home, BigFix endpoint management input and feedback is vital to sustaining long-lasting capabilities reduce the time-to-market and cost of
development, acquisitions, and strategic partnerships.
secures corporate devices, protecting them from data relationships with the clients that invest in these products. building new products.
Clients can now take advantage of the company’s IP-led
loss and corruption.
offerings and expertise around automation, e-commerce,
Your company’s success in the past year – measured by As part of HCL’s Mode 3 strategy for investing in
digital solutions, data management, mainframes, Secure
HCL expects to see similar dynamics play out in FY22 the sales transactions across 15,000 unique customers products and platforms, Industry Software Division
DevOps, multi-cloud support, AIOps, service orchestration,
and beyond. The critical importance of clients’ IT and onboarding 1,500 new business partners – is linked of HCL Technologies is chartered with building next-
and business flow intelligence. Each of these offerings has
infrastructure will continue to magnify the need for to HCL clients finding the company easy to work with generation products in 5G/telecom, manufacturing,
an uncompromising customer-focus, quick time-to-value,
more agile, resilient, and optimized operating models. as a partner and a pricing model that is simple and and enterprise AI. Over the last year, it has assembled
and clear roadmaps. Comprising HCL Software, DRYiCETM,
An expansive install base provides tremendous scope transparent. HCL’s tech support team is world class and a world-class team across engineering, product
Industry Software Division of HCL Technologies, and
to introduce clients to different parts of the HCL portfolio. has resolved more than 400,000 client cases. Helping management, sales, marketing, and customer support
Actian – P&P is the go-to answer for clients that have
clients succeed is HCL’s ultimate goal, which is reflected with the mandate to bring innovative products to market.
developed a high level of comfort with HCL’s consulting,
in HCL’s Net Promoter Score (NPS) improving by more
management, and integration services over the years.
than 70 percent in the last year.

66 Management Discussion and Analysis 67

As part of the telecom/5G portfolio, Industry Software Go-To-Market Framework Your company has emerged as a strong business and HCL’s LSH business is investing in helping clients through
Division of HCL Technologies has products for technology partner for financial services organizations a number of initiatives including:
self‑organizing networks (SON), device management, Today’s business world is in a flux. Although the coronavirus to address these challenges. Its digital-at-scale offering
network function virtualization (NFV) acceleration and pandemic is partly responsible for this, numerous forces is helping clients adopt digital technologies to meet • Strengthening the digital foundation, which drives
modem IP for front/mid/backhaul of 5G traffic. It serves are creating challenges in every industry. Such challenges changing consumer behavior. Its digital foundation infrastructure modernization and cloud adoption
some of the largest telecom operators in the world and can most effectively be addressed by a combination of services are helping clients move to the cloud while • Modernizing the digital core, which helps clients
provides technology to OEMs that make the components digital technology and human ingenuity, a partnership modernizing their landscape. With its strong domain modernize applications to build a robust data backbone
of telecom networks. HCL’s key products include SON, that HCL calls “The New Essential”. Successfully navigating proficiency and technological expertise, combined with
• Enabling the digital frontier, which facilitates the
acquired from Cisco in 2020, and X-Haul, which offers and overcoming these challenges requires seasoned delivery and automation capability, the company is
adoption of next-generation technology in workflows
OEMs a complete modern IP suite for millimeter wave domain expertise, dynamic technology architecture, helping clients transform their cost base and deliver
– for example, intelligent automation to improve patient
and microwave radios. and resilient go-to-market strategies. features at a higher velocity. HCL’s offerings have been
engagement, and new business models
bolstered by investments in key proprietary solutions
As part of the manufacturing portfolio, Industry Software This is the very strength of HCL’s vertical market-led sales such as the HCL API Hub, which integrates and
Manufacturing
Division of HCL Technologies offers a rich set of tools organization, which comprises accomplished solution standardizes account information and payment initiation
The major disruption in the global supply chain
and technologies spanning design, manufacturing architects, industry-specific consultants, and business APIs offered by multiple banks. This solution helps banks
ecosystem caused by the coronavirus pandemic,
and visualization to enable next-generation product development leaders with deep-rooted experience. save time and effort and reduces the cost of building
not only reshaped the proliferation of Industry 4.0 but
development. With a track record of delivering business diverse API ingestion facilities.
has also pushed industry to decentralize their supply
value, this portfolio is leveraged by leading global Your company works closely with clients to implement
chain operations out of a handful of geographies.
manufacturers across automotive, aerospace, industrial, its service offerings, products and platforms to resolve To help clients accelerate their digital journeys and
Manufacturers have started seeing the importance of
high-tech, medical devices, consumer packaged goods technological challenges in each industry. The following deliver positive business outcomes, HCL is investing in
digitally strong and connected value chains by adopting
industries, and OEM partners. Two key products include description explains how this approach has contributed vertical solutions in select high-spend areas, drawing
and investing in the key drivers of Industry 4.0 such as
CAMworks and DFMPro. significantly to the company’s industry-leading financial on its proprietary solutions and commercial off-the-shelf
additive manufacturing, smart factories and assembly
performance over the last five years in crucial products to deliver digital business platforms of choice.
lines enabled by AR/VR/MR and IIOT (industrial Internet
Actian vertical markets. These include open and contextual banking, payments,
of Things) driven frameworks, and systems built on deep
Actian, a leading vendor of hybrid data management and and next-generation claims. We’re seeing signs of a
analytics to turn disruption into opportunities.
analytics products based in Palo Alto, CA (U.S.A), was In response to the COVID-19 pandemic, organizations significant market for these solutions, based on wins
acquired by HCL in FY19. Actian enhances HCL’s Mode 3 across sectors had to fast-track the adoption of digital in verticalized services and in leadership rankings
HCL’s Xpand 4.0 framework helps global manufacturers
offerings in data management products and platforms. and cloud-led technologies. The vertical market-led sales by analysts.
get the best out of their Industry 4.0 initiatives. It helps
organization for HCL’s IT and Business Services business,
manufacturers expand into newer areas of growth by
As part of its services, Actian is working with clients to plan, and Engineering and R&D Services has excelled at building Life Sciences and Healthcare
delivering phenomenal, connected experiences, powered
prioritize and deploy transformations to next- generation expertise through a team of industry consultants, pre-sales Your company’s Life Sciences and Healthcare (LSH)
by agile and smart digital ecosystems and convergence
cloud data warehousing technologies, and Actian’s solution architects, and industry business development industry unit is well-positioned to cater to the surge in
of data, process and insights. Xpand 4.0 enables
capabilities are central to achieving this ambition. The leaders. This structure has contributed significantly to demand for digital transformation and modernization
immediate and tangible benefits of adopting Industry
platform creates end-to-end hybrid data solutions for all the company’s industry-leading financial performance requirements by life sciences companies and healthcare
4.0 by harnessing the power of existing industrial and
industry business units including HCL Software, through in recent years. enterprises, especially the healthcare provider and
enterprise data. By cutting through the four data silos
which some of Actian’s offerings are being resold. pharmaceutical segments. The demand is driven by
– customer, product, operations, and ecosystem – the
Financial Services virtual care needs, vendor consolidation, artificial
framework delivers insights and experiences that have
During FY21, Actian announced multi-cloud support for The financial services industry is at an exciting inflection intelligence/machine learning-driven decision making,
a direct and significant impact on business and helps to
Avalanche cloud data warehouse on the AWS, Azure, and point, as technology redefines priorities and improves and initiatives to convert internal products and services
achieve sustained competitive advantage. Xpand 4.0
Google Cloud platforms. A highlight of this effort is the outcomes. Banks, insurers, and other financial institutions to marketed products.
is the company’s umbrella offering, encompassing
impending launch in Spring 2021 of the managed service are currently in the midst of a profound transformation.
Connected Design, Connected Factory and Connected
in Google’s Cloud marketplace. The innovative hybrid As they rush to expand and deepen digital channels in HCL continues to support LSH clients with coronavirus
Products and Services, in addition to its IP-based
solution delivers industry-leading scalability and price the next major coronavirus-accelerated phase of digital pandemic-related activities, including those involved in
solutions portfolio.
performance. It is also the first cloud data warehouse to transformation, they must also navigate a competitive vaccine R&D, testing, reporting, and post market support.
offer native enterprise integration features, a capability environment of lower interest rates and rising cost Last year, the company launched a series of solutions and
The industry is undergoing a thorough examination of
that allows enterprises to rapidly and inexpensively pressures. They face significant challenges in terms of propositions targeted at helping its LSH clients under the
technical debt and many other problems caused by aging
harness their diverse data sources for high performance technology investments, technical debt, and digital talent theme “transcend today to thrive tomorrow”.
technology. The cost of obsolescence makes the need for
analytics, both in the cloud, and on-premise. During FY21, availability and are under intense pressure to come up
digital transformation all the more clear. HCL is helping
Actian also delivered a comprehensive set of industry with a game plan to address competitive threats from HCL also expanded its solution portfolios in virtual care
many of its clients through this journey using frameworks,
reference accelerators for solutions such as Customer new entrants and established players. The only way and remote health monitoring, decentralized clinical trials,
methodologies, and solution accelerators. The company
360, supply chain, and healthcare analytics. forward is a program of constant modernization of digital workplace adoption, supply chain monitoring,
designed and formulated the FENIX 2.0 framework that
technology to digitize both front and back offices. cybersecurity, patient concierge services, and fast
helps clients look at their digital roadmap and applications
healthcare interoperability resource (FHIR), a standard
that make up the value chain in a new perspective. It has
for data formats that enables the exchange of electronic
developed an SAP digital acceleration solution through
health records.
its own version of model companies called “Base 90”
powered through “Rise with SAP” and “Move with
SAP” outliners.

68 Management Discussion and Analysis 69

Your company has developed a number of industry-specific clients leverage cloud transformation, data and insight- The top areas of investment by HCL’s Retail and CPG HCL’s technology and services
solutions helping clients fast track on the transformation driven operations, multi-channel customer engagement, vertical are:
journey in areas such as IT/OT (operational technology) and an integrated information technology/ operational
industry vertical works with most
collaboration at the plant level using HCL’s Plant Workblaze, technology model based on business outcomes to keep up • Data and analytics-led solutions for insight-based of the world’s leading technology
which integrates IT and OT operations in manufacturing with and stay ahead of rapid changes in their environment. decision-making, to drive hyper-personalized customer
plants. It also developed solutions to exploit the experiences across value chains, leverage data related
companies to help them capitalize
tremendous amount of data collected in the plants In the post-coronavirus era, travel, transportation, to customer lifetime value, and improve recommendations on business opportunities and
through a Real Time Manufacturing Insights (RMI) logistics, and hospitality companies are emerging from for retailers/CPG companies on their brand perception
solution to help organizations anchor, analyze and act travel and supply chain disruptions against a backdrop
navigate operating model challenges.
• Driving higher sales and post-sales processes through
on the insights derived from the various data points. of unprecedented acceleration in e-commerce adoption unified omni-channel commerce experiences and order
and severe stress on asset utilization. As HCL’s clients management solutions
Public Services build an array of differentiated digital experiences across
• Delivering innovative, business process-led digital
HCL’s Public Services business helps clients across the value chain, it is helping them establish optimized • System integration and next-generation operating
transformation enabled by SaaS, PaaS and hybrid
numerous industry groups that provide various types supply chain platforms that scale to support HCL models: HCL enables system integration and new
cloud-based technologies to deliver results faster,
of critical societal infrastructure: oil, gas and natural solutions like Connected Fleet, Warehouse of the Future, operating models for companies with new age
better, and with cost effectiveness
resources; utilities; and travel, transportation, logistics Advanced Control Towers, Cold-Chain Custody, and offerings for edge computing/5G enabled use cases
and hospitality, among others. Hyper-Personalization. It is also strengthening its business • Streamline supply chains through technology-led,
Technology and Services
consulting and transformation capabilities across the supply digital interventions: HCL helps global enterprises
The coronavirus crisis and the resulting market
The oil and gas industry is facing uncertainty due to chain and e-commerce through a team of seasoned transform themselves through projects that span
opportunities have strengthened the business
supply and demand volatility. Oil was the worst performing industry architects in the areas of data and cloud. transformation roadmap evaluation, business process
fundamentals of the technology sector over the past
commodity in 2020, lower than even coal. Taken with the re-engineering, continuous business process improvement,
year. Today, many technology companies are more
underinvestment in the sector, the industry could face Retail and Consumer Packaged Goods process optimization and automation and more
prominent and enjoy a stronger network effect than ever
supply issues over a five-year horizon. To tackle these The COVID-19 pandemic precipitated not only a global
before. Enhanced customer experience and accelerated • Use of intelligent automation: HCL’s intelligent automation
issues, companies will focus on variabilizing costs by health and humanitarian crisis but an economic one as
innovation are at the center of many current and future offering, available across business functions such as
accelerating digital transformation to reduce OPEX; well. And the retail and consumer packaged goods (CPG)
digital initiatives and capabilities and are top priorities for manufacturing management, supply chain/planning,
this means having a platform-based approach to reduce sectors were among the affected, in ways both positive
technology and services companies. procurement, and quality, can help reduce costs by
custom solutions. Adoption of cloud, moving from and negative. The sector experienced: skyrocketing
25–30 percent
full-time equivalent (FTE) to managed service provider demands for groceries, prescription drugs, and healthcare
HCL’s technology and services industry vertical works • Divesting non-core aspects of businesses: Technology
(MSP) models, and adopting IT-as-a- Service models are and other essential consumer products; unprecedented
with most of the world’s leading technology companies and services companies are using mergers and
key enablers. and unpredictable supply chain disruptions that forced
to help them capitalize on business opportunities and acquisitions to sustain profitability, create new sources
companies to build resilience into their systems to meet
navigate operating model challenges. It orchestrates core of revenue and build a diversified portfolio of products.
HCL is working with clients on modernization and current and present crises; government-enforced closures
applications, infrastructure, engineering, and business HCL helps software and other technology companies
digitalization of customer facing internal systems and of retail outlets in non-essential sectors, forcing retailers
services to enable desired outcomes for its clients. divest non-core business areas, such as back office
processes. The company’s Business Process-as-a-Service to make tough choices about such issues as furloughing
solution, specifically focused on Order to Cash within the employees and optimizing the number of stores; sharp operations and customer-facing functions, to improve
HCL’s industry service offerings are designed to help EBIT margins and raise their Net Promoter Scores
downstream sector, is hinged on technology transformation declines in discretionary consumer spending that
clients improve productivity and efficiencies; offer through structured carve-out deals
driven by HCL Commerce to create an intuitive customer crippled non-essential retail outlets; increased concerns
products as-a-service; effectively monetize user-
engagement platform. for the health and safety of the workforce, and the need • Enhance and scale SaaS operations: HCL enables
generated content; build and support a digital front office
for retraining resulting from attrition; remote workforce infrastructure reliance and stability for SaaS operations.
to enable sales across lead-to-cash areas; and enable
Utilities enablement, coronavirus-safe practices, and associated It is sharply focused on building hyper-scaled operations
sales across both sides of their platforms with users and
In the utilities sector, the deep recession resulting from cybersecurity concerns. capabilities to help cloud/SaaS organizations build and
developers to build strong communities.
the coronavirus pandemic is only the latest disruption operate scalable architectures
affecting the industry. Following decades of turmoil All these challenges led to fast-paced digital transformation
The company also uses its engineering expertise to
caused by deregulation, utilities now face growing programs, accelerated business processes, and adoption Telecommunication, Media, Publishing,
build and maintain products for technology clients – for
pressure from governments and environmentalists to of emerging technologies to help organizations: reprioritize and Entertainment
example, product/platform engineering, sustenance, and
decarbonize their portfolios, by prioritizing areas such their investments, redesign their strategy, rethink client The telecommunications, media, publishing, and
testing for technology enterprises including implementation
as clean gas, water conservation, and renewable energy. touchpoints, invest in data-led decision making, enable entertainment industries are undergoing disruptive
of Industry 4.0 practices within product development
The decentralization and democratization of energy and train employees to work digitally in fulfilment centers, transformation fueled by a series of mergers and
and original equipment manufacturing (OEM) lifecycles.
generation, with consumers not only buying but also and deploy a resilient approach toward cybersecurity. acquisitions; the convergence of telecom and media;
selling electricity to the grid, is beginning to have an adoption of 5G/multi-access edge computing; growth
The top areas of focus and investment in this vertical are
impact on the industry. HCL has ready-to-deploy digital architectures to redefine in direct-to-consumer businesses; and an explosion in
designed to enable clients to make significant positive
business models based on industry experience in streaming media (especially during the COVID-19
changes in their businesses.
Over the last two years, HCL has helped utility clients transforming business processes to achieve digital pandemic). Overall, a new telecom, media, and
address these challenges. With its “resilience at the edge” transformation. In the last 24 months, specifically during entertainment ecosystem is emerging. Globally,
• Help enable and redefine go-to-market strategies to
approach, it has built an extensive ecosystem of alliances the onset of the COVID-19 pandemic, the company has technology players, including global service providers like
offer everything as a service: This trend has helped
and partners to deliver greater adaptability and help delivered cutting-edge transformation to clients, leading HCL, are partnering with telecom companies to improve
HCL launch a new service offering that enables
utilities on their transformation journeys. It is helping to increased revenue, better client retention, and overall access to market, grow enterprise revenues, and build
product companies to self-fund transformation
client satisfaction. marketplace platforms. Industry 4.0 promises to reshape
initiatives to offer products as a service
sectors ranging from automotive to healthcare, enabling

70 Management Discussion and Analysis 71

an array of benefits such as predictive monitoring, waste as markets poised to play a significant role in its growth the creation of a digital delivery center in Lyon that and flexible suite of services including human-centered
elimination, and enhanced customer experience – all on strategy. Plans for these regions include creating new delivers innovative industry solutions for clients. design and digital transformation, program and project
the backbone of a telecom infrastructure that is being onshore/nearshore delivery capabilities, engaging with management, business analytics and data, customer-
transformed by 5G. Evolving industry trends are forcing the local communities, and building efficient and The COVID-19 pandemic increased the growing ambition driven innovation, strategic advisory and productivity
cable companies to create new revenue via high-speed seamless ecosystems of clients, partners, and employees. of French companies to invest in the digital transformation services, application services, and robotics process
broadband and home gateway services. Media is focused of their organizations to support greater resilience, agility automation. DWS is headquartered in Melbourne with
on improving collaboration, from content creation to Germany and new ways of working though cloud, digitization, and offices across the country.
distribution of content. New content formats, streaming Germany is Europe’s largest economy and ranks fourth IoT. HCL France has always focused on large French
direct to home, contextual advertising, and new digital in the world by nominal GDP. Driven by industrial multinational companies seeking a partner that can HCL employs more than 2,200 experienced, talented and
products will become enablers of growth. E-sports is leadership, Germany is evolving to become a leading service them locally and globally in growth markets. culturally diverse professionals throughout Australia and
revolutionizing the gaming industry. digital transformation hub. After the initial business A strategy based on this helped win some significant is increasing local hiring and talent with the acquisition
reaction to the COVID-19 pandemic, a second digital brands and global organizations. HCL France was ranked of the DWS Group. The acquisition boosts HCL’s local
HCL’s sharp focus on “convergence” of industries within optimization wave is opening up new business opportunities. first for Cloud Integration Capability and second overall digital capability and enriches the local talent pool while
the telecom ecosystem like gaming, manufacturing, That wave is characterized by a more strategic approach in Whitelane’s 2020 French IT Sourcing Study. expanding the company’s portfolio.
healthcare, retail, finance and media is accelerating towards make-or-buy decisions, sourcing and outsourcing
new revenue and cross-industry play for clients. With preferences, and cloud-first strategies. Recruiting local talent has been crucial. Several key HCL is also taking a lead on diversity and inclusion, ensuring
a heritage in device/product/platform engineering and leadership positions, including country manager, client existing and future workforces represent the entire
excellence in operations and automation, the company HCL has invested heavily in the German market through partners and head of marketing, have been filled in the community. To this end, the company launched its flagship
is successfully scaling the business objectives across acquisitions, including Geometrics and Hönigsberg & past two years by local hires. HCL’s local talent in the Women Lead Australia program in 2015. The one-to-one
the communication service providers. mentorship program has helped advance the careers of
Düvel (H&D). The company has significantly grown its region now stands at 85 percent. For the second year
local talent, broadening its expertise and footprint in the in a row, the company was recognized as a Top Employer more than 90 women across the HCL ecosystem of
Core to the company’s growth strategy has been a deep
manufacturing and automotive industries. A strengthened in France by the Top Employers Institute. partners and employees. HCL is committed to developing
industry focus; acceleration of innovation via investment in
local leadership team has helped expand the company’s a robust ecosystem to support Australia’s current and
industry solutions, proprietary solutions, labs, partnerships;
business partnerships with several large German- As a global organization, HCL understands the importance emerging business needs for the decades ahead.
and acquiring, renewing, and retaining long‑term strategic
headquartered organizations across multiple sectors. of investing in the communities where it operates, and over
clients for technology-led business transformation.
the past year it has partnered with Apprentis D’Auteuil to Canada
Despite the impact of the global health crisis, HCL support the Coders of Tomorrow program for disadvantaged Canada represents a strategic market for HCL for
This strategy has been supported with a number of key
Germany witnessed its most successful year on record. students. HCL was also the winner of the Choose France business growth and creating onshore and nearshore
investments. To help clients accelerate 5G modernization
and network transformation, HCL acquired Cisco SON Services such as Digital Workplace, Hybrid Cloud – Indian Investment in France Award 2020, presented delivery capabilities. As a multicultural region with
technology, which optimizes performance of the radio Transformation and Operation, Digital Transformation at an event organized by the Indo-French Chamber of 145 spoken languages and a diverse global population,
access network (RAN) portion of mobile solutions. To (including SAP S/4HANA), enabled critical digital Commerce and Industry in partnership with Business Canada offers HCL a high-quality talent pool with an
capitalize on industry discontinuities such as over-the-top business transformation, next generation application France and the French Ministry of Economy and Finance. abundance of skills.
media services, the Internet of Things, content monetization, management, and cybersecurity initiatives. HCL France has also established a local corporate social
online education, and technology-infused “smart spaces,” responsibility (CSR) council that helps employees set up The coronavirus pandemic has compelled Canadian
HCL is establishing 360-degree partnerships (in which Clients choose HCL as a trusted partner because of its projects in support of causes they are passionate about. organizations to rethink their business and operational
partners, for example, service each other’s customers) industry-leading functional and technical expertise, strategies, pivot to new strategies, embrace new ways
with hyper-scalers, original equipment manufacturers highly collaborative communication and working style, Australia of working, and accelerate digital transformation.
(OEMs), and independent software vendors (ISVs), to and commitment toward total cost of ownership (TCO) Your company began its journey in Australia in 1999 with
generate new joint revenues. optimization. The company offers an optimal mix of the opening of regional offices in Sydney. Since then, Canadian organizations continue to invest heavily in
onsite-nearshore-offshore delivery capabilities and the it has created a remarkable ecosystem of employees, cybersecurity from the data center to the cloud to better
willingness to assume risks and accountability. partners, customers and communities, transforming the support remote work and adopt innovative models, such
Key Focus Markets business landscape. The company has earned the trust as screen recording, for highly regulated deliveries in
As Germany emerges from the global health crisis, HCL of more than 50 clients in Australia through its unwavering financial services and healthcare.
Your company continues to explore additional growth
is well prepared to work with German companies as they focus on customer-centricity, disruptive thinking and
opportunities across geographies. As a $10B global
reset their business and operating models in the new next- generation IT delivery. The pace of cloud adoption in Canada is increasing,
enterprise, the organization’s business development
post-pandemic reality. with initial project delivery timelines compressed from
ambitions extend beyond large geographies, into growth
HCL is emerging as the partner of choice for leading 12 to 15 months to six to eight weeks. Cloud native
and frontier geographies for the next wave of growth.
Beyond the larger markets where HCL is well present –
France firms in Australia, including financial enterprises, solutions accelerate digital transformation and enable
France is the seventh largest global economy and the supermarket chains, telecommunications companies, businesses to offer an optimized digital pathway toward
United States, United Kingdom, Nordics etc, it is evident
third largest IT services market in Europe, one with a high and Australia’s largest city council. Strong business market relevance, business agility, and customer-centricity.
that organizations in Continental Europe and Asia Pacific
propensity to outsource IT services, traditionally to local capabilities, differentiated market and growth strategy,
are looking for partners to help them develop and
French companies. Global players, especially those from and commitment to the local communities have helped Customers are turning to HCL as a trusted partner that
implement a digital roadmap for the future. Some of these
India, have found it difficult to establish a presence at HCL foster trusted and deep-rooted relationships with offers differentiated value and ease of doing business.
markets for HCL are largely untapped by Indian IT
scale in France, as they have done in the U.K, the Nordics Australia’s leading brands. HCL’s core values – trust, transparency, value centricity,
outsourcing companies and represent significant growth
and other European countries. and flexibility – equal relationships that extend beyond
opportunities.
On 5 January 2021, HCL confirmed the official completion the contract. HCL, featured as a Leader in the IDC
France is a high-priority growth opportunity for HCL. of its acquisition of the DWS Group. Established in 1991, Cloudscape report for the Canadian market, boasts
The company has identified certain geographies,
Over the last few years, HCL has significantly grown its DWS is an Australian IT, business and management pedigree, maturity, and capability in both the cloud
including Germany, Australia, Canada, France and Japan,
French team and invested in operations there, including consulting services company. DWS provides a wide-ranging and digital arenas.

72 Management Discussion and Analysis 73

The company has increased its investment in Canada, HCL’s four decades of experience Women technology executives are another important globe. The ISG IndexTM is recognized as the authoritative
scaling the organization to more than 1,200 people with stakeholder group, and HCL runs or sponsors various source for marketplace intelligence on the global
plans to continue to expand the local workforce by an
helping clients grow, innovate, and programs built around their interests and designed to technology and business services industry
additional 2,000 people over the next three years. It is reimagine their businesses for the increase the number of women technology leaders. Building • HCL Technologies was given the highest governance
creating global development centers in multiple cities on HCL’s successful Women Lead Australia program, a quality score of 1st decile from Institutional Shareholder
across Canada, including a 350-employee center in
digital age kicked into overdrive one-to-one mentorship program for women technology Services (ISS). The score of 1st decile indicates higher
Mississauga, just outside Toronto, with more centers in 2020. executives begun in 2015, Nordic countries launched their quality and relatively lower governance risk. The score
opening in other key cities. own Women Lead program, with 18 up-and-coming is derived after reviewing four key tenets of board
women leaders graduating in November 2020. The structure, shareholder rights, compensation, and audit
Japan company also partnered with International Women’s Day and risk oversight
Japan is the world’s third largest economy and is among Building the HCL Brand to host a high-profile series of global panel discussions,
• Your company’s customer satisfaction (CSAT) scores
the top three countries in R&D spending. Japan is hailed Tweetchats and interviews.
are at an all-time high with Experience Index at 74.9.
for its manufacturing leadership and efficiency, as well as Engagement in the New Normal
This performance, even in the toughest of times,
its hardware product excellence. However, in the context Your company’s four decades of experience helping Employees have always been a key stakeholder for
reflects the confidence clients have in the company
of an increasingly digital world, software platforms are clients grow, innovate, and reimagine their businesses HCL, with its philosophy of putting employees first
and the depth of its partnership with them in their
dominating the market. In response, Japanese organizations for the digital age kicked into overdrive in 2020 as the and fostering grassroots innovation by its 168,000+
digital transformation journey. HCL passed the 70 mark
are transforming their business models into software- coronavirus pandemic accelerated clients’ digital “ideapreneurs”. The company demonstrated this
on Experience Index (EX) across all service lines and
defined and platform-centric enterprises. New talent and transformation timetables. This allowed the company commitment and built a deeper connection with
three out of four customers polled are delighted in
capabilities are needed to support this transformation, to showcase its ability to help clients quickly solve their employees through programs to communicate with
each of the services provided by HCL
and businesses are augmenting their existing workforces most vexing and important problems with innovative and support them during the COVID-19 pandemic
by sourcing skills externally. solutions. The tumultuous year was also marked by HCL (see the Talent section).
Taken together, these marketing and sales enablement
reaching the milestone of $10B in annualized revenue, as
initiatives help further HCL’s aim of being a partner of
HCL’s focus on digital engineering and platform it continued its industry-leading growth. Such business Whatever the stakeholder group, external or internal,
choice and an employer of choice worldwide.
engineering makes it an ideal partner to support highlights were among the key messages communicated HCL’s engagement with them was often digital and
Japanese companies as they transition into digital to highlight the quality and value of the work HCL does. virtual during the past year. Among the initiatives:
entities surrounded by a platform ecosystem. In support But HCL also positions itself in a more holistic manner Talent Management
of Japan’s service delivery requirements, HCL has opened that reaches beyond the goal of generating new business • Branded interactions for virtual client and lab visits,
a Vietnam-based delivery center, which represents a to tell the larger story. Its marketing programs also analyst day presentations, and employee onboarding In calendar 2020, your company’s revenue exceeded
critical achievement that advances its ability to provide increase HCL’s brand value; enable its sales professionals and town halls $10B, making the company one of the top 10 technology
the expertise and capability needed to support digital to improve their skills and maximize their potential; and services companies in the world and capping off a
• Virtual events, including the launch of HCL’s first
transformation in the region. deepen relationships with stakeholders, including clients, momentous year for the company. What brought HCL
European Cybersecurity Fusion Center in Sweden,
ecosystem partners, industry analysts, employees and to this significant milestone little more than two decades
the opening of new delivery centers in Sri Lanka and
HCL is the largest India-oriented global engineering prospective employees, and the communities where the after HCL’s Stock Exchange listing in December 1999?
Vietnam, and a series of six live events in collaboration
service provider in Japan. With its cost advantage, company operates. The answer is simple: HCL employees’ collective passion,
with Cricket Australia with 600 clients participating
next-generation engineering and technology, and energy, and efforts.
• The HCL BetterHealth Hackathon, the world’s largest
signature “Relationship Beyond the Contract” culture, A number of HCL general brand initiatives have been
crowd-sourced event around COVID-19 pandemic In grateful acknowledgement of this, all employees with
it is an ideal partner to support Japanese companies directed at furthering these goals including: a refresh
(#CodeforCovid19), in which more than 40 client one year of service or greater received in February a
throughout their digital transformation journeys. of brand assets, a mergers and acquisitions (M&A) driven
stakeholders and 7,500+ innovators from 1,000+ one-time monetary bonus that was the equivalent of
brand integration framework, a crisis management
organizations and academic institutions in 50+ nations 10 days of their monthly salary.
New Frontier markets framework and policies, and the development of new
generated more than 250 ideas to address problems
Apart from the above focus geographies, your company social media policies. In response to the COVID-19
resulting from the pandemic Employees’ continuous contributions to HCL’s success
has identified the next set of countries for investment in pandemic, under the #OneHCL banner, the company
the near term to take advantage of their growth in the executed additional brand programs to communicate • Sales training initiatives, involving more than 600 HCL made it natural for their health and safety to be the
medium term. These countries have been chosen on a its priorities and plans, reassuring clients and other sales and pre-sales professionals, to increase virtual centerpiece of HCL’s response to the coronavirus
variety of criteria including IT services market size and stakeholders of its ability to achieve business continuity marketing and social selling capabilities and to enhance pandemic. The #TakeCareHCL initiative has consistently
growth, propensity to partner and transform digitally with minimal disruption. understanding of next-generation technologies shared information about the pandemic among HCL’s
and long-term socio-economic stability. The first set • Nineteen HCL Straight Talk Tweet chats – focusing 168,000+ employees to educate them about prevention
of countries identified include Brazil and Mexico in the Among those stakeholders are the industry analysts and on various business topics related to the coronavirus strategies and numerous specific initiatives to support
Americas, South Korea, Vietnam, and Taiwan in Asia advisors who provide third-party assessments of HCL pandemic, and featuring HCL clients, executives and employees and their families. A dedicated coronavirus
Pacific, South Africa and UAE in Africa and Middle East, and its competitors and advise clients and prospects on industry thought leaders – garnered an average of portal provides consolidated information about topics
and Italy, Spain and Portugal in Europe. This growth their choices of service provider. During the year, HCL 47 million Twitter impressions per Tweet chat such as testing and one-point access for families facing a
strategy would be driven by local geographic leadership successfully engaged with more than 450 analysts and health emergency. In partnership with HCL Healthcare, an
coordinating the ongoing effort of the vertical sales, advisors through various platforms, including its first Awards and Recognition extensive employee outreach program in India continues
technology practice and service-led delivery virtual Analysts and Advisors Day. HCL was the subject • Your company has been recognized as part of the to track employees’ health status and provide additional
organizations. This would be well supported through of 16 dedicated analyst reports and was positioned as Top15 leaders in the outsourcing marketplace by the support to them and their families.
various other initiatives including local delivery centers, leader in more than 190 competitive assessments. leading global technology research and advisory firm,
talent localization and local market partnerships with ISG. This recognition positions HCL for further growth The world continues to witness a staggered and uncertain
consultants and other service providers. and confidence in its ability to deliver excellent value post pandemic recovery pattern. The secondary wave of
and service to both existing and new clients around the the COVID-19 pandemic in the U.S and Europe, as well as

74 Management Discussion and Analysis 75

recent localized spikes in infection in India, have led HCL believes that diversity and These targeted initiatives have helped HCL make • The Stevie® Awards
to regular re-evaluations of a return-to-office strategy, tremendous progress over the years in fostering gender › Most Innovative Work from Home Plan–All Other
which includes a calibrated plan based on vaccine
inclusion in the workplace is an diversity and inclusion. As noted above, women now Nations: Gold
availability and local government guidelines in each asset for both businesses and account for more than one-quarter – 27.2 percent – of the
› Most Valuable Employer–Asia Pacific: Silver
geographic location. global workforce, while 12.6 percent of senior leaders at
their employees. the company are women. › Most Valuable HR Team (recognizing an organization’s
In recognition of what it calls a duty of care commitment work during COVID-19) – Asia Pacific: Silver
to employee health and safety, HCL has become the first Your company hired 55 persons with disabilities as
India-based IT company to achieve the PROTEK employees in current FY. In FY21, Pride@HCL has Risk Management
certification from Intertek, the global quality assurance For example, the need to work in a virtually connected expanded its footprint to four new geographies and with
leader. The PROTEK certification program has been mode because of the COVID-19 pandemic has led the a steady increase in enrolments of self-identified LGBT+ Integrated risk management combines strategic and
designed based on the POSI – prevention of spread of Talent Development COE to develop training in new employees and their employee allies to the Employee operational practices to support risk-enabled decision-
infection – approach and offers audits along with training, competencies that have become an integral part of the Resource Group (ERG). making that is intrinsic to HCL’s culture. The company’s
inspection, verification and certification solutions. portfolio of learning solutions being deployed globally. Enterprise Risk Management framework uses a top-down
Training in these new skills was also translated into But these diversity initiatives are only a start. The approach to categorize risk in order to shape organizational
Talent by the Numbers micro-learning nuggets to engage HCL staff and provide company’s near term goal is to improve gender diversity strategy and achieve key business objectives, including
Your company had a workforce of 168,000+ from them the necessary leadership perspective during these by five percent through targeted talent acquisition over distilling insights and providing clarity on the key risks
157 nationalities at the end of the financial year. trying times. the next three years, and increase the percentage of shaping company performance; supporting risk-informed
Women comprise 27.2 percent of this global workforce. women in senior leadership roles by one percent decisions at the board of director (Board), executive
38,400+ employees participated in various talent year-on-year. More broadly, there will be a focus on management, and operational management levels;
A commitment to talent localization continues. HCL segment-based learning journeys in professional, underrepresented ethnicities and other groups, including ensuring a risk dialogue among the management team;
believes this strategy provides a competitive advantage behavioral, cultural, and leadership skills development persons with disabilities and those who identify as and enabling proper risk oversight by the Board.
in a tightening regulatory environment that sometimes worth 140,000+ learning hours during the year. LGBTQ+ groups, for all new positions to be filled.
limits workforce mobility. For example, in the United Supply Side Risks
States, the localization rate is 70.4 percent of the total During the fiscal year, 120,652 employees availed Talent and HR Awards Clients rely on technology players to drive their business
workforce in the country. themselves of 6.64 million hours of training for enhancing To reinforce the alignment of HCL’s core beliefs and outcomes from transformation initiatives to expand
their current skills and learning new skills. 47,232 unique actions, the company continues to transform its policies, revenue and optimize cost. On the supply side, the
Your company is also in the process of expanding employees also trained in digital skills during this period. processes and practices. Its distinctive people practices technology players have become part of a fragmented
its offshore delivery centers globally. The company continue to win accolades across the globe. market, with a few large players and the arrival of many
announced the commencement of its operations in Talent Diversity and Inclusion boutique players, resulting in tighter SLAs and
Sri Lanka in June 2020. Within the first 18 months of Your company is committed to hire talent from diverse • HCL has been recognized as a Top Employer 2021 for competitive pricing. Failure to meet these standards
kick-starting its operations in Colombo, HCL plans to backgrounds across the globe to create a unique culture its exemplary HR performance by Top Employers by technology players may result in loss of market share
create more than 1,500 new local employment opportunities based on a variety of values and traditions. Institute. HCL has been awarded this status in France, and lead to reduced growth across the top-line and
for both early career hires and experienced professionals Germany, the Netherlands, Australia, New Zealand, bottom-line.
in Sri Lanka’s capital. Based on four decades of experience building and scaling Philippines, Poland, Singapore, South Africa, Sweden,
a multinational enterprise, HCL believes that diversity and and the United Kingdom – in the U.K, for the 15th HCL has robust governance in place to continuously
Your company announced its entry into Vietnam in inclusion in the workplace is an asset for both businesses straight year assess clients’ expectations and work on proactive
December 2020. A local entity, HCL Vietnam Company and their employees. Diversity helps foster innovation, • HCL has been ranked No. 30 in Forbes’ fourth-annual measures to deliver committed value. Its sales and
Ltd., plans to work with local IT and engineering creativity and empathy in ways that homogeneous list of the World’s Best Employers 2020 and ranked No. 1 delivery teams engage on a regular basis with clients
institutions to foster economic growth and provide new environments seldom do. among multinational companies headquartered in India to ensure seamless execution of engagements, within
skills for the nation’s talent pool, with a goal of hiring the SLAs. And its delivery capabilities are equipped
• HCL’s efforts in recognizing diversity have received with a set of rich frameworks, IP, and accelerators to
more than 3,000 local university graduates and However, creating a diverse and inclusive environment
several awards and recognitions: enable this execution.
experienced professionals over the next three years. takes careful nurturing and conscious orchestration.
HCL has crafted multiple initiatives for its diverse › Brandon Hall Gold Award for Best Inclusion and
Your company continues to focus on tapping the unique employees to realize their potential, while striking a good Diversity Strategy To address future demand, HCL continuously invests
advantages of Tier 2 cities in India, which enable enhanced work-life balance. The company is consciously dedicated › Brandon Hall Gold Award for Best Unique or in next-generation technology and skill development
operational resilience, stability and scalability. Employee to creating and sustaining a culture of equality, self- Innovative Learning and Development Program to stay relevant to clients’ ecosystems. Product and
headcount in the cities under the company’s New Vistas awareness, authenticity, and accountability in the realms › Bloomberg Gender-Equality Index platform roadmaps are created and constantly updated
category (Lucknow, Madurai, Nagpur, and Vijayawada) of gender, ethnicity multiculturalism, disabilities and based on feedback from clients, market trends, emerging
› 2020 Working Mother & Avtar 100 Best Company technologies, and other parameters. Differentiated
is up nearly 43 percent from the last fiscal year. LGBTQ+ inclusion.
for Women in India recognitions: full-stack offerings help maintain and enhance
Talent Development Efforts toward creating an inclusive environment should – One of the Top 100 Best Companies for Women customer mindshare.
Your company’s Talent Development Center of translate into people feeling valued, being treated equally in India
Excellence (COE) seeks to create a culture of continuous and with respect, being able to safely express their – Exemplar of Inclusion award in the Working
learning through business-focused education solutions, opinions, and feeling empowered to make decisions and Mother & Avtar Most Inclusive Companies Index
with the aim of helping to realize the vision of building do their best. An Inclusion Lab and an Inclusion at Scale (MICI)
a leading global organization. The key emphasis is on initiative have been launched for all employees to foster
developing current and future business competency inclusive work environments.
requirements within a rapidly changing landscape.

76 Management Discussion and Analysis 77

Pandemic and Infectious Disease Risks helpline provided free well-being services for employees
The ongoing Coronavirus pandemic or the outbreak of and their families. An empathetic and bespoke
new variants and other infectious diseases could impact communication plan named #TakeCareHCL reinforced
HCL’s service delivery and business execution across the company’s commitment to people. A Coronavirus
geographies. The specific risks related to various parts resource hub on the intranet kept employees advised
of the organization are listed below: on safety, remote working risks and policies, and
strengthened communal bonds to restore confidence.
1. Service Delivery and Client Commitments: HCL could Virtual events and well-being programs fostered
experience disruptions in operations and service delivery meaningful connections between leaders and teams,
due to subsequent waves of Coronavirus or other employees and families in the era of social distancing.
infectious diseases leading to government lockdowns, Predictive analytics on the impact of the pandemic,
restricted mobility, and reduced availability of the discussed and analyzed in a virtual situation room,
workforce. As a result, service level agreements with helped leaders make real-time decisions.
clients could be impacted causing clients to impose
penalties in their contracts with HCL. More than 90 percent of HCL’s employees said they were
2. Future Business Prospects and Sales: HCL could “very satisfied” with the company’s initiatives to care for
possibly see a decline in sales due to the global them. HCL enabled 3.5 million client employees to work
economic slowdown, especially from sectors remotely and 99 percent of the clients polled across
significantly impacted by the Coronavirus pandemic, 600+ key engagements rated HCL’s pandemic response
such as oil and gas, travel and hospitality, high-end as “very effective” or “effective”.
retail, and manufacturing.
The world continues to witness a staggered pattern of
3. Employee Health and Wellness: The Coronavirus
returning to offices, due to secondary waves of infection
pandemic may produce long-term consequences
in India, the United States, and Europe. In line with HCL’s
on mental and physical health leading to loss in
strategy to ensure a safe return to office, a calibrated plan
productivity and emotional availability among HCL
based on vaccine availability and government guidelines by
employees. As the economic downturn continues,
geography is being evaluated. This strategy is supported
further tangential effects stemming from the pandemic
by innovative technology solutions to ensure safe and
may arise.
secure workplaces in line with global best practices and
4. Adapting to New Operating Models: With 90 percent emerging Coronavirus guidelines.
of HCL’s workforce working remotely for the past year,
the Coronavirus pandemic is shaping a long-term shift Business Continuity Risks
in operating models. Inability to manage timely structural HCL’s reputation as a leading technology company is
and cultural transformations to transform its operating measured by its threat resilience and how effectively
model may inhibit HCL’s ability to unlock new value it can respond to disruptive events in a complex and
in a post-Coronavirus world. fast-changing global risk landscape. The company faces
business continuity risk if the organization is unable to
As part of business continuity management, HCL has ensure continuity of its operations across clients, delivery
established a pandemic response policy and plan to locations, and enabling functions.
oversee its global response and to monitor pandemic
situations in locations in which it operates. The pandemic has drastically changed the paradigm
of crisis and resilience planning. This has resulted in
The company initiated its pandemic response plan on organizations transforming Crisis and Resilience (C&R)
26 January 2020, one of the earliest across the globe, into a Board-level concern. This development has
to oversee its response around five key focus areas: prompted HCL to re-imagine its program in line with the
safeguarding employees, minimizing impact to clients, new normal, in which multiple large-scale global events
reducing financial impact to HCL, maintaining supply which last for extended periods of time are to be expected.
chain resilience, and providing support to communities
in which it operates. Crisis governance under the In line with its philosophy of continual improvement, HCL
company’s executive crisis management team, guidance is upgrading its C&R program to become a more robust,
from the Board, and engagement with external experts comprehensive, and future-focused C&R program that
enabled a timely and effective response. will help it respond to the evolving threat landscape.
The company continues to focus on integrating resilience
Very early in the outbreak, 150,000 employees were as an intrinsic part of its business operating model and
seamlessly enabled to work remotely. Appropriate steps seeks to embed resilience by design across the
were taken to ensure secure work from home procedures dimensions of work, workforce, workplace, business
and environments for employees. As lockdowns eased, operations, technology, supply chain, and leadership.
the transition back to office was made voluntary and
implemented in a secure, staggered way. A 24/7 global Chennai, India

78 Management Discussion and Analysis 79

Information and Cybersecurity Risks Regulatory Compliance Risks Talent Management Risks Tax-Related Risks
With the ever-evolving technology landscape, there HCL operates in a continuously expanding list of countries As HCL continues its growth journey, talent management HCL is subject to taxes in numerous jurisdictions
is continuous risk to the confidentiality, integrity and and industry sectors, resulting in an increased risk of and meeting the ever increasing demand for new talent worldwide and enjoys tax benefits in India on its software
availability of HCL client and company data which, non-compliance with regulatory requirements that are poses a significant continuing risk. The company’s strategy exports under the Special Economic Zone scheme of the
if adversely affected, has the potential to impact relevant to its business. To mitigate this risk, HCL has is to focus on building the workplace of tomorrow, one Government of India. Any changes in tax laws in India
HCL’s corporate mission. established dedicated functions that review and monitor which promotes a collaborative and transparent culture. and other countries where HCL has significant presence
regulatory requirements across geographies and industries. HCL deploys a robust training strategy designed to meet can have adverse impacts on the effective tax rate of
HCL places high importance on information and cyber HCL’s comprehensive global regulatory compliance the development needs of employees across leadership the company. Since HCL operates in several jurisdictions,
security by implementing a comprehensive governance framework is designed to identify, assess, mitigate, and levels. This includes professional, functional, technical, transfer pricing arrangements among legal entities in
program across the company and 3rd party partners. monitor regulatory risks impacting HCL. The framework and leadership development learning solutions. The HR these jurisdictions are always subject to review by various
The program includes proactive detection and response prevents not only the violation of laws and regulations, team continuously aims to reach every employee to tax authorities. HCL’s strategy for tax- related risk is to
to incidents that are managed through resolution and but also protects the company’s reputation, employees, support their growth and provide employees with employ specialized tax teams that keep abreast of latest
reported to management, as well as continuous and clients. Regulatory assessments are carried out and progressive career paths through internal opportunities. tax developments in different countries and implement
awareness training to increase effective cybersecurity detailed checklists are maintained to ensure compliance. This allows them to fulfill their aspirations through appropriate tax planning strategies based on changes
skills for all staff. The Information and Cybersecurity Where required, mitigation plans are put in place to comprehensive career development and skill development in tax laws. HCL also makes advance transfer pricing
program ensures a strong security posture for HCL and address any identified non-compliances. In addition to plans. The Career Connect program helps guide arrangements in several countries and has the transfer
its clients. HCL’s security posture has been validated by this, quarterly compliance certificates are presented to succession planning strategies through both vertical pricing arrangements reviewed by external
independent, industry-recognized certifications including the Board by the respective functions with responsibility and horizontal advancements. consultants periodically.
quarterly oversight by the Board. HCL also has cyber for such compliance.
insurance that covers different types of breaches and Acquisition-Related Risks Foreign Exchange Risks
cyber events. The company has not experienced any Privacy Risks From time to time, HCL acquires other companies or HCL derives the majority of its revenues from clients based
material cyber breaches in the past three years. HCL’s scope of processing personal data of individuals, businesses, and the success of these acquisitions depends outside India and accordingly more than 97 percent of its
enterprises, vendors, and contractors has further upon several factors. These include the effective integration revenues is realized in foreign currencies. Its delivery teams
Geopolitical Risks increased with the response to the Coronavirus pandemic. of acquired employees with the rest of the company and are also based across various countries, and more than
Instability and uneven growth in the global economy has Most countries have stringent and dynamic privacy laws, the optimum realization of synergies between acquired 72 percent of the company’s costs are denominated in
had an adverse impact on the growth of the IT industry especially in regard to health and medical data, and the business and the company. Such transactions expose the foreign currencies. This exposes the company to any
in the past and may continue to impact it in the future. privacy landscape is continually shifting as further case company to the risk of impairment of goodwill and other adverse movement in foreign currency exchange rates.
Any future global economic or political uncertainties may law or privacy actions are brought by individuals. intangibles. HCL has pioneered a strategy to successfully HCL manages this risk by using foreign exchange forward
result in the reduction, postponement, or consolidation An example is the recent Schrems II decision that has gain significant value from acquisitions through a unique contracts and options to mitigate the risk of movements
of IT spending, contract terminations, deferrals of projects, tested most organizations’ privacy programs. This further inorganic growth model which identifies value assets that in foreign exchange rates associated with receivables and
or delays in purchases by clients. Such uncertainties can increases the risk of non-compliance with privacy and can be enhanced through creative synergies. Following forecast transactions in certain foreign currencies. This is
impact industries that drive a substantial portion of HCL’s data protection laws and regulations. an acquisition, there is an ongoing integration and governed by policy and processes determined by the
revenue, such as financial services, manufacturing, life performance management program to enable acquired Board, which defines the period of hedges, the percentage
sciences and healthcare, and public services. Heightened HCL has an established framework in place that includes businesses and HCL to get the maximum returns on of risk to be covered, and the counterparty risk to be taken.
geopolitical situations among the major economies may global oversight by way of governance, policies and these investments. Board committees periodically review
also impact HCL’s ability to grow holistically across regions. procedures, training and awareness programs, global the performance of acquired businesses, and take
privacy impact assessments, privacy by design, data corrective action when needed. Impairment of goodwill
HCL has set up a geopolitical framework to assess mapping, third-party contractual oversight, incident and other intangibles are evaluated at least once at the
geopolitical risks on an ongoing basis. The program management, and a mechanism for monitoring end of the year.
continuously assesses and improves HCL’s brand regulatory compliance for every geography. This ensures
narrative for clients and employees worldwide. The capabilities exists to support global privacy compliance
company has been expanding its business across various in a dynamically evolving space requiring support of
countries to minimize dependence on any single country regional privacy compliance variances. HCL is further
for revenue growth and service delivery. HCL also supported by industry-recognized certifications and
continues with the strategy of hiring local talent through accreditations as well as oversight from an external
various internal programs to avoid adverse impact on global data protection officer who has accountability
business due to various restrictions on free mobility of and reports directly to the Board.
staff. HCL strategically invests in a flexible workforce
model of onsite, onshore, near shore, and offshore
resources to address these concerns and empower
the best talent to solve client business challenges.

80 Management Discussion and Analysis 81

 Consolidated Results
This part of the Management Discussion and Analysis refers to the consolidated financial statements of HCL
(“the Company” or “the Parent Company”) and its subsidiaries referred to as “the Group”. The discussion should be
read in conjunction with the financial statements and related notes to the consolidated accounts of HCL for the year
ended 31 March 2021, prepared in accordance with the Indian Accounting Standard (referred to as “Ind AS”), prescribed
under Section 133 of the Companies Act, 2013, read with the Companies (Indian Accounting Standard) rules as amended
from time to time.

Performance Trends
Revenue has increased from ₹ 50,569 Crores in FY18 The net worth of the Company has increased from
to ₹ 75,379 Crores in FY21, with a compounded annual ₹ 36,386 Crores in FY18 to ₹ 59,913 Crores in FY21, with a
growth rate (CAGR) of 14.2 percent over the last compounded annual growth rate (CAGR) of 18.1 percent
three years. over the last three years.

Revenue (₹ Crores) Net Worth (₹ Crores)

80,000 65,000
75,379
59,913
70,676
55,000
65,000 51,267
60,427

45,000
50,569 41,366
50,000
36,386
35,000

35,000
25,000

20,000 15,000
FY17-18 FY18-19 FY19-20 FY20-21 FY17-18 FY18-19 FY19-20 FY20-21

Profit before tax has increased from ₹ 11,024 Crores in Operating cash flows of the Company has increased
FY18 to ₹ 15,853 Crores in FY21, with a compounded from ₹ 8,328 Crores in FY18 to ₹ 19,618 Crores in FY21,
annual growth rate (CAGR) of 12.9 percent over the with a compounded annual growth rate (CAGR) of
last three years. 33.1 percent over the last three years.

Profit Before Tax (₹ Crores) Operating Cash Flows (₹ Crores)

18,000 21,000
19,618
15,853
16,000

13,980 17,000
14,000
12,622
12,000 13,359
11,024
13,000
10,000

8,000 8,971
9,000 8,328

6,000

4,000 5,000
FY17-18 FY18-19 FY19-20 FY20-21 FY17-18 FY18-19 FY19-20 FY20-21

Krakow, Poland

82 Management Discussion and Analysis 83

 Financial Performance Income
Revenues from operations
Results of Operations (Consolidated): Comprises revenue from sale of services and the sale of hardware and software.
(in ₹ Crores)
Revenue from operations in the year ended 31 March 2021 increased by 6.7 percent to ₹ 75,379 Crores from
Year Ended ₹ 70,676 Crores in the year ended 31 March 2020. This increase is mainly due to business growth in the IT and Business
31 March 2021 31 March 2020 Services (ITBS) segment and Products & Platforms (P&P) segment. The growth of our ITBS business was strong in
Amount % Revenue Amount % Revenue % Increase
a post-pandemic world due to accelerated global enterprise demand for digital transformation programs, including
Particulars
zero-touch client interactions and remote workforce management solutions like digital workplace, cybersecurity etc.
Revenues from operations 75,379 100.0% 70,676 100.0% 6.7% The growth also resulted from ongoing technology programs like hybrid cloud adoption, cost optimization initiatives,
Other income 927 1.2% 589 0.8% 57.4% and tail vendor consolidation programs. The growth in the P&P segment was primarily due to the full-year impact of
the acquisition of select IBM software products, which was consummated on 30 June 2019.
Total income 76,306 101.2% 71,265 100.8% 7.1%

Expenses: The following table sets forth the revenue generated from each of our business segments and their respective
percentage of our total revenue for the year indicated:
Purchase of stock-in-trade 1,698 2.3% 1,536 2.2% 10.5%
Changes in inventories of stock-in-trade (3) 0.0% – 0.0%
(in ₹ Crores)
Employee benefit expense 38,853 51.5% 34,928 49.4% 11.2%
Year Ended
Finance costs 511 0.7% 505 0.7% 1.2% 31 March 2021 31 March 2020
Depreciation, amortization and Amount % of total Amount % of total % Increase
4,611 6.1% 3,420 4.8% 34.8% Particulars
impairment expense
IT and Business Services 53,401 70.8% 50,742 71.8% 5.2%
Outsourcing costs 10,158 13.5% 10,700 15.1% (5.1%)
Engineering and R&D services 11,745 15.6% 11,819 16.7% (0.6%)
Other expenses 4,625 6.1% 6,196 8.8% (25.4%)
Products & Platforms 10,233 13.6% 8,115 11.5% 26.1%
Total expenses 60,453 80.2% 57,285 81.0% 5.5%
Total Revenue 75,379 100.0% 70,676 100.0% 6.7%
Profit before tax 15,853 21.0% 13,980 19.8% 13.4%
Tax expense: Geographic breakup of revenues
Current tax 3,719 4.9% 2,821 4.0% The Group also reviews its business on a geographic basis. The following table classifies total revenue by
geographic areas:
Deferred tax charge 965 1.3% 102 0.1%
(in ₹ Crores)
Total tax expense 4,684 6.2% 2,923 4.1% 60.2%
Year Ended
Profit after tax 11,169 14.7% 11,057 15.7% 1.0%
31 March 2021 31 March 2020
Non-controlling interest (24) 0.0% – –
Geographical Mix Amount % of total Amount % of total % Increase
Profit for the year 11,145 14.7% 11,057 15.7% 0.8%
America 42,468 56.4% 40,798 57.8% 4.1%

Europe 20,884 27.7% 19,397 27.4% 7.7%

India* 2,297 3.0% 2,354 3.3% (2.4%)

Rest of the world 9,730 12.9% 8,127 11.5% 19.7%

Total Service Revenue 75,379 100.0% 70,676 100.0%

* includes revenue billed to India based captive of global customers

84 Management Discussion and Analysis 85

 Other Income Finance costs
The details of Other Income are as follows: “Finance costs” comprises interest on loans from banks, interest on a loan from senior notes issued on the Singapore
stock exchange, interest on lease liabilities, interest on direct taxes, other interest, fair value changes on liabilities
(in ₹ Crores)
carried at fair value through profit and loss, and bank charges.
Year Ended
Finance costs marginally increased by 1.2 percent to ₹ 511 Crores in the year ended 31 March 2021 from ₹ 505 Crores
Other Income 31 March 2021 31 March 2020 % Increase in the year ended 31 March 2020.
Interest Income 648 466
Depreciation, amortization, and impairment expenses
Profit on sale of investments carried at fair value through other Depreciation, amortization, and impairment expenses increased by 34.8 percent to ₹ 4,611 Crores in the year ended
3 16
comprehensive income 31 March 2021 from ₹ 3,420 Crores in the year ended 31 March 2020. This increase is mainly due to (a) increase in
Income on investments carried at fair value through profit and loss depreciation by ₹ 213 Crores on computers and networking equipment and (b) amortization by ₹ 617 Crores on
customer relationship, ₹ 191 Crores on licensed IPRs (including impairment of ₹ 116 Crores), and ₹ 79 Crores on
– Income from mutual funds 92 123
technology. The higher charge on customer relationship and technology is due to the full year impact of acquisitions
– Share of profit in limited liability partnership 10 1 consummated during the previous year; the higher amortization charge on licensed IPRs is due to new licensed IPRs
acquired during the year.
– Fair value changes on equity instruments (5) (30)

Profit on sale of property, plant and equipment 102 – Outsourcing expenses

“Outsourcing expenses” include (a) outsourcing of several customer-related activities such as hosting services,
Exchange differences (net) 46 –
facilities management, disaster recovery, maintenance and break fix services and (b) hiring of third-party consultants
Others 31 13 from time to time to supplement the in-house teams.
Total 927 589 57.2%
Outsourcing expenses decreased by 5.1 percent to ₹ 10,158 Crores in the year ended 31 March 2021 from ₹ 10,700 Crores
in the year ended 31 March 2020. This decrease is mainly due to rebadging of certain customer employees, which
Other income increased by 57.2 percent to ₹ 927 Crores in the year ended 31 March 2021 from ₹ 589 Crores in the
resulted in the transfer of such customer employees from our customers’ payroll to our payroll which in turn resulted
year ended 31 March 2020. This increase is mainly due to (a) profit on the sale of property, plant and equipment of
in the shifting of costs from outsourcing costs to employee benefit expenses.
₹ 102 Crores and (b) an increase in interest income of ₹ 182 Crores due to additional investments made during the year
from the cash flows generated by operations.
Other expenses
Expenses (in ₹ Crores)
Purchases of stock-in-trade Year Ended
Purchases of stock-in-trade increased by 10.5 percent to ₹ 1,698 Crores in the year ended 31 March 2021 from
31 March 2021 31 March 2020
₹ 1,536 Crores in the year ended 31 March 2020. This increase is mainly due to higher sale of hardware and software.
Particulars Amount % Revenue Amount % Revenue % Increase

Employee benefits expense and outsourcing costs Software license fee 1,071 1.4% 902 1.3% 18.7%
“Employee benefit expense” includes salaries, which have fixed and variable components, and contributions to Repairs and maintenance 722 1.0% (10.8%)
644 0.9%
retirement and pension schemes. It also includes expenses incurred on staff welfare.
Legal and professional charges 597 0.8% 553 0.8% 8.0%

(in ₹ Crores) Communication costs 457 0.6% 364 0.5% 25.5%

Year Ended Travel and conveyance 362 0.5% 1,849 2.6% (80.4%)
31 March 2021 31 March 2020
Power and fuel 275 0.4% 307 0.4% (10.4%)
Particulars Amount % Revenue Amount % Revenue % Increase
Expenditure toward corporate social
Salaries, wages and bonus 34,090 45.1% 30,599 43.3% 11.4% 197 0.3% 178 0.3% 10.7%
responsibility activities
Contribution to provident fund and
4,574 6.1% 4,185 5.9% 9.3% Insurance 105 0.1% 85 0.1% 23.5%
other employee benefits
Rent 83 0.1% 99 0.1% (16.2%)
Staff welfare expenses 189 0.3% 144 0.2% 31.3%
Others 834 1.1% 1,137 1.6% (26.6%)
Total 38,853 51.5% 34,928 49.4% 11.2%
Total 4,625 6.1% 6,196 8.8% (25.4%)
Employee benefits expense has increased by 11.2 percent to ₹ 38,853 Crores in the year ended 31 March 2021 from
₹ 34,928 Crores in the year ended 31 March 2020. The increase is mainly due to (a) a one time special bonus of Other expenses decreased by 25.4 percent to ₹ 4,625 Crores in the year ended 31 March 2021 from ₹ 6,196 Crores
₹ 728 Crores paid to employees in recognition of the Group achieving the $10B revenue mark in 2020, (b) an increase in the year ended 31 March 2020. Reduction in costs is primarily due to lower travel and conveyance expenditures
in the number of employees (168,977 as at 31 March 2021 as compared to 150,423 as at 31 March 2020) and (c) an incurred by the Company during the current year, which was impacted by the spread of the COVID-19 pandemic.
increase in the average cost per employee due to normal salary revisions.

86 Management Discussion and Analysis 87

 Tax expenses Property, plant and equipment and capital work in progress
“Tax expenses” comprises current tax and deferred tax. Property, plant and equipment net of depreciation as at year ended 31 March 2021 was ₹ 5,642 Crores (compared with
₹ 5,494 Crores as at 31 March 2020). The increase was primarily due to addition of ₹ 1,610 Crores (mainly computer and
(in ₹ Crores)
networking equipment is ₹ 1,227 Crores, and balance other assets) offset by depreciation for the year of ₹ 1,419 Crores.
Particulars 31 March 2021 31 March 2020

Profit before tax 15,853 13,980 Capital work in progress as at year ended 31 March 2021 is ₹ 312 Crores (compared with ₹ 400 Crores as at the year
ended 31 March 2020).
Total tax expense 4,684 2,923
Right-of-use assets
Effective tax rate 29.5% 20.9%
Right-of-use assets as at year ended 31 March 2021 is ₹ 2,410 Crores (compared with ₹ 2,648 Crores as at 31 March 2020).

Tax expenses include current tax and deferred tax expense. The effective tax rate (“ETR”) for the year ended Goodwill and intangible assets
31 March 2021 has increased mainly due to deferred tax expense of ₹ 1,222 Crores, being the deferred tax liabilities Goodwill as at year ended 31 March 2021 is ₹ 17,192 Crores (compared with ₹ 16,154 Crores as at 31 March 2020). The
recognized by the Company on the difference between book basis and tax basis of goodwill consequent upon increase was primarily due to addition of ₹ 1,034 Crores for acquisitions consummated during the year (for details
enactment of new tax provision discontinuing the amortization of goodwill for tax purposes w.e.f. 1 April 2020. refer to Note 2 to the consolidated financial statement).

Financial position Intangible assets as at year ended 31 March 2021 is ₹ 11,901 Crores (compared with ₹ 13,194 Crores as at 31 March 2020).
(in ₹ Crores) The decrease was primarily due to amortization of ₹ 2,504 Crores, offset by the addition of licensed IPRs of ₹ 769 Crores
Particulars 31 March 2021 31 March 2020
and other intangible assets of ₹ 456 Crores acquired through acquisitions consummated during the year.

Assets Treasury investments

(a) Property, plant and equipment 5,642 5,494 The guiding principles of the Group’s treasury investments are safety, liquidity and return. The Group has efficiently
managed its surplus funds through careful treasury operations.
(b) Capital work in progress 312 400

(c) Right-of-use assets 2,410 2,648 The Group deploys its surplus funds in fixed deposits with banks, inter-corporate deposits, and investments in debt
mutual funds and debt securities, with a limit on investments in any individual bank/fund.
(d) Goodwill 17,192 16,154

(e) Other intangible assets 11,901 13,194 Breakup of treasury investments is given below

(f) Other non-current assets 6,596 (in ₹ Crores)

5,686
Particulars 31 March 2021 31 March 2020
(g) Current assets 43,051 38,420
Debt Mutual Funds 1,024 3,298
Total assets 86,194 82,906
Debt Securities 5,749 3,691

Deposits with Banks 5,277 968

Equity
Deposits with HDFC Limited, Bajaj Finance and LIC Housing Finance 4,841 3,420
(a) Equity share capital 543 543
Total 16,891 11,377
(b) Other equity 59,539 50,878
Total equity 60,082 51,421

Liabilities

(a) Non-current liabilities 8,729 7,755

(b) Current liabilities 17,383 23,730
Total equity and liabilities 86,194 82,906

“Other equity” comprises other equity attributable to shareholders of the Company and non-controlling interest.

88 Management Discussion and Analysis 89

 Current and other non-current assets excluding Treasury investments Borrowings
“Other non-current assets” comprises deferred tax assets (net), and non-current financial and other assets.
(in ₹ Crores)
“Current assets” comprises inventories, current tax assets (net), and current financial and other current assets.
Particulars 31 March 2021 31 March 2020

(in ₹ Crores) Long‑term borrowings

Particulars 31 March 2021 31 March 2020 – From banks 207 2,848

Other non-current assets 5,686 6,596 – From senior notes 3,621 –

Current assets 43,051 38,420 Short-term borrowings – 1,845

Total 48,737 45,016 Current maturities of long‑term borrowings 79 399

Less: Treasury investments 16,891 11,377 Total 3,907 5,092

Total 31,846 33,639

Borrowing of the Group has decreased by ₹ 1,185 Crores to ₹ 3,907 Crores in the year ended 31 March 2021 from
₹ 5,092 Crores in the year ended 31 March 2020.
Current and other non-current assets, excluding treasury investments, decreased by ₹ 1,793 Crores to ₹ 31,846 Crores
in the year ended 31 March 2021 from ₹ 33,639 Crores in the year ended 31 March 2020. The decrease is primarily due
On 10 March 2021, the Group issued USD 500 million in unsecured senior notes due 2026 (the ‘Notes’) for ₹ 3,656 Crores.
to decrease in deferred tax assets of ₹ 1,136 Crores. This decrease was primarily due to Deferred Tax Liabilities of
The Notes will bear interest at a rate of 1.375 percent per annum and will mature on 10 March 2026. Interest on the
₹ 1,222 Crores recognized by the Company on the difference between book basis and tax basis of goodwill consequent
Notes will be paid semi-annually on 10 March and 10 September of each year, commencing 10 September 2021.
upon enactment of new tax provision discontinuing the amortization of goodwill for tax purposes w.e.f. 1 April 2020;
The Notes are listed on Singapore Exchange Securities Trading Limited (SGX-ST). The Notes are issued at a price of
and a decrease in other receivables of ₹ 777 Crores and trade receivables of ₹ 468 Crores, which was partly offset by
99.510 percent and have an effective interest rate of 1.58 percent per annum after considering the issue expenses and
an increase in finance lease receivables of ₹ 579 Crores, deferred contract cost of ₹ 239 Crores, and unbilled
discount of ₹ 35 Crores. A significant portion of these funds has been used for repayment of long‑term and short‑term
receivables of ₹ 136 Crores.
borrowings from banks.
Shareholders’ Fund
Non-current and current liabilities
During the financial year, pursuant to the Scheme of Amalgamation effective 13 July 2020 between the Company and
“Non-current liabilities” comprises non-current provisions, deferred tax liabilities (net), non-current financial and
its four wholly owned subsidiaries, the authorized share capital of the erstwhile Transferor Companies aggregating to
other liabilities.
₹3,40,00,000/- has been clubbed with the authorized share capital of the Company. Consequently, as on 31 March 2021,
the authorized share capital of the Company was ₹603 Crores divided into 3,01,70,00,000 equity shares of face value
“Current liabilities” comprises current provisions, current tax liabilities (net), current financial and other liabilities.
of ₹2 each.
(in ₹ Crores)
The equity attributable to shareholders of the Company was ₹ 59,913 Crores as of the year ended 31 March 2021 Particulars 31 March 2021 31 March 2020
(compared with ₹ 51,267 Crores as of the year ended 31 March 2020). The increase is primarily due to profit during
the year of ₹ 11,169 Crores, partly netted off by payment of a dividend of ₹ 3,257 Crores. Non-current liabilities 8,729 7,755

Current liabilities 17,383 23,730

Less : Borrowings 3,907 5,092
Total 22,205 26,393

Current and non-current liabilities, excluding borrowings, decreased by ₹ 4,188 Crores to ₹ 22,205 Crores in the year
ended 31 March 2021 from ₹ 26,393 Crores in the year ended 31 March 2020. The decrease is primarily due to payment
of Deferred consideration of ₹ 6,488 Crores related to acquisition of select IBM Software products partly offset by
an increase in trade payables of ₹ 560 Crores, provision for employee benefits of ₹ 542 Crores, contract liabilities
of ₹ 522 Crores, employee accrued cost of ₹ 532 Crores and capital account payable of ₹ 374 Crores.

90 Management Discussion and Analysis 91

 Cash Flows Net cash flow used in financing activities
A summary of the cash flow statement is given below: Net cash used in financing activities was ₹ 11,180 Crores for the year ended 31 March 2021, primarily consisting of
the payment of deferred and contingent consideration of ₹ 6,518 Crores, payment of dividends including corporate
dividend tax of ₹ 3,256 Crores as well as payment of lease liabilities including interest of ₹ 1,016 Crores.
(in ₹ Crores)
Year Ended
Net cash used in financing activities was ₹ 3,168 Crores for the year ended 31 March 2020, primarily consisting of
31 March 2021 31 March 2020 the payment of dividends including corporate dividend tax of ₹ 1,625 Crores as well as payment of lease liabilities
Net cash generated from operating activities (A) 19,618 13,359 including interest of ₹ 866 Crores.

Net cash used in investing activities (B) (5,742) (12,374) Key Financial Ratio
Net cash flows used in financing activities (C) (11,180) (3,168) Year Ended

Net increase (decrease) in cash and cash equivalents (A+B+C) 2,696 (2,183) Units 31 March 2021 31 March 2020

Cash and cash equivalents at the end of the year (see note below) 6,521 3,760 Profitability Ratios

– Operating Profit Margin % 20.5 19.7

Note: “Cash and cash equivalents at the end of the year” consists of the following for the purpose of the cash
flow statement: – Net Profit Margin % 14.7 15.7

– Return on Net Worth % 20.1 23.9

(in ₹ Crores) Liquidity Ratio
Year Ended
– Current Ratio Times 2.5 1.6
31 March 2021 31 March 2020
Management Efficiency Ratio
Cash and cash equivalents 6,521 4,848
– Debtors Turnover Ratio Times 5.4 5.5
Bank overdraft – (1,088)
– Inventory Turnover Ratio Times 18.2 16.9
Cash and cash equivalents as per cash flow statements 6,521 3,760
Leverage Ratio
Net cash flow from operating activities – Interest Coverage Ratio – Borrowings Times 128.8 106.1
Net cash generated from operating activities was ₹ 19,618 Crores during the year ended 31 March 2021, consisting of
– Debt Equity Ratio Times 0.1 0.1
profit before tax of ₹ 15,853 Crores, adjusted for (a) non-cash and non-operating items, which are mainly depreciation,
amortization and impairment expenses of ₹ 4,611 Crores, and interest income of ₹ (645) Crores, and (b) cash flow from
net working capital of ₹ 3,041 Crores, which was primarily driven by movement in financial and other assets and In addition to return on net worth, variations have been explained for ratios with significant variations.
liabilities; and cash used to pay taxes (net of refund) of ₹ 3,445 Crores.
Return on Net Worth
Net cash generated from operating activities was ₹ 13,359 Crores during the year ended 31 March 2020, consisting Return on net worth is at 20.1 percent in FY21 as compared to 23.9 percent in FY20. Finance Bill 2021 was enacted
of profit before tax of ₹ 13,980 Crores, adjusted for (a) non-cash and non-operating items which are mainly depreciation in March 2021, whereby goodwill was taken out from depreciable assets w.e.f. 1 April 2020. This change has required
and amortization of ₹ 3,420 Crores, and interest income of ₹ (441) Crores, and (b) cash used in net working capital of the Company to record a one-time non-cash deferred tax of ₹ 1,222 Crores. Also during the current year, the Company
₹ 1,560 Crores which was primarily driven by movement in financial and other assets and liabilities; and cash used to has paid a one-time special bonus amounting to ₹ 728 Crores (net of tax ₹ 575 Crores) to employees in recognition of
pay taxes (net of refund) was ₹ 2,558 Crores. the Group achieving the $10B revenue mark in 2020. Both these one-time costs had an adverse impact of 2.9 percent
points on Return on Net Worth.
Net cash flows used in investing activities
Net cash used in investing activities was ₹ 5,742 Crores for the year ended 31 March 2021. This primarily consisted of Current Ratio
the net amount of placement and maturity/redemption of bank and corporate deposits of ₹ 3,661 Crores, payment Current ratio has increased from 1.6 times in FY20 to 2.5 times in FY21 primarily due to payment of deferred
for business acquisitions of ₹ 1,211 Crores, and net amount of purchase and sale of property, plant and equipment consideration on the acquisition of select IBM software products during the year.
and intangibles of ₹ 1,753 Crores, partially offset by proceeds from the sale and purchase of mutual funds and debt
securities of ₹ 317 Crores (net).

Net cash used in investing activities was ₹ 12,374 Crores for the year ended 31 March 2020. This primarily consisted
of payment for business acquisitions of ₹ 6,091 Crores, net amount of purchase and sale of mutual funds and debt
securities of ₹ 4,635 Crores, and net amount of purchase and sale of property, plant and equipment and intangibles
of ₹ 1,829 Crores, partially offset by proceeds from bank and corporate deposits on maturity/redemption of ₹ 55 Crores.

92 Management Discussion and Analysis 93

 Standalone Results Financial Position (Standalone)
Standalone results of HCL excludes the performance of its subsidiaries.
(in ₹ Crores)
The discussion in the paragraphs which follow should be read in conjunction with the financial statements and related
notes relevant to the standalone results of HCL Technologies Limited (herein referred to as “HCL” or “the Company”) 31 March 2021 31 March 2020
for the year ended 31 March 2021, prepared in accordance with the Indian Accounting Standard (referred to as “Ind Assets
AS”), prescribed under Section 133 of the Companies Act, 2013, read with the Companies (Indian Accounting
Standard) rules as amended from time to time. (a) Property, plant and equipment 3,608 3,549

(b) Capital work in progress 245 311

The Hon’ble National Company Law Tribunal (NCLT) of New Delhi and Bengaluru have approved the Scheme of
(c) Right-of-use assets 894 1,036
Amalgamation providing for the merger of four direct/step-down wholly-owned subsidiaries engaged in providing
IT and IT related services viz. HCL Eagle Limited, HCL Comnet Limited, HCL Technologies Solutions Limited and (d) Goodwill 6,549 6,418
Concept2Silicon Systems Private Limited (the “Transferor companies”) with and into HCL Technologies Limited
(e) Other intangible assets 9,854 11,640
(the “Transferee company”) with effect from 01 April 2019, the appointed date. The scheme has become effective on
13 July 2020 on filing of the certified true copy of the Orders of the Delhi and the Bengaluru NCLT with the Registrar (f) Other non-current assets 6,497 7,040
of Companies on 13 March 2020 and 13 July 2020, respectively. Since the Transferor Companies are the wholly-owned
(g) Current assets 27,714 23,844
subsidiaries of the Transferee Company, there will be no issue and allotment of shares as consideration. The difference
between the amounts recorded as investments of the Company (Transferee Company) and the amount of share Total assets 55,361 53,838
capital of the aforesaid amalgamating subsidiaries (Transferor Companies) has been adjusted in the Common Control
Transaction Capital Reserve. The comparative results have been restated for all periods presented as per guidance
under Appendix C of Ind AS 103 “Business Combinations”. Equity

(a) Equity share capital 543 543

The impact of the scheme is not material on the standalone financial results of the company.
(b) Other equity 43,010 37,003
Results of Operations (Standalone) Total equity 43,553 37,546
(in ₹ Crores)
Year Ended
Liabilities
31 March 2021 31 March 2020
Particulars Amount % Revenue Amount % Revenue % Growth
(a) Non-current liabilities 1,789 2,287

Revenue from operations 35,673 100.0% 32,666 100.0% 9.2% (b) Current liabilities 10,019 14,005

Other income 965 2.7% 613 1.9% 57.4% Total equity and liabilities 55,361 53,838

Total income 36,638 102.7% 33,279 101.9% 10.1%

Current and other non-current assets excluding Treasury investments
Expenses : “Other non-current assets” comprises deferred tax assets (net), non-current financial and other assets.
Purchase of stock-in-trade 142 0.4% 151 0.5% (6.0%)
“Current assets” comprises inventories, current tax assets (net), current financial and other current assets.
Change in inventories of stock-in-trade (3) 0.0% 3 0.0%
(in ₹ Crores)
Employee benefit expense 11,749 32.9% 9,955 30.5% 18.0% Particulars 31 March 2021 31 March 2020
Finance cost 177 0.5% 240 0.7% (26.3%) Other non-current assets 6,497 7,040
Depreciation, amortisation and Current assets 27,714 23,844
2,813 7.9% 1,959 6.0% 43.6%
impairment expense
Total 34,211 30,884
Outsourcing costs 7,515 21.1% 7,215 22.1% 4.2%
Less: Treasury investments 16,334 11,053
Other expenses 1,835 5.1% 2,578 7.9% (28.8%)
Total 17,877 19,831
Total Expenditure 24,228 67.9% 22,101 67.7% 9.6%
Profit before tax 12,410 34.8% 11,178 34.2% 11.0% Current and other non–current assets, excluding treasury assets, decreased by ₹ 1,954 Crores to ₹ 17,877 Crores in
the year ended 31 March 2021 from ₹ 19,831 Crores in the year ended 31 March 2020; the decrease is primarily due to
Tax expense:
decrease in trade receivables of ₹ 2,308 Crores, deferred tax assets (net) of ₹ 1,362 Crores (primarily due to Deferred
Current tax 2,480 7.0% 1,968 6.0% 26.0% Tax Liabilities of ₹ 1,222 Crores recognized by the Company on the difference between book basis and tax basis of
goodwill consequent upon enactment of new tax provision discontinuing the amortization of goodwill for tax
Deferred tax charge 1,187 3.3% 241 0.7%
purposes w.e.f. 1 April 2020), partly offset by increase in unbilled receivable by ₹ 2,072 Crores.
Total tax expense 3,667 10.3% 2,209 6.7% 66.0%

Profit after tax 8,743 24.5% 8,969 27.5% (2.5%)

94 Management Discussion and Analysis 95

 Non-current and current liabilities Net cash flow used in financing activities
“Non-current liabilities” comprises of non-current provisions, deferred tax liabilities (net), and non-current financial Net cash used in financing activities was ₹ 9,649 Crores for the year ended 31 March 2021, primarily consisting of the
and other liabilities. payment of deferred consideration of ₹ 6,216 Crores, payment of dividends of ₹ 3,256 Crores, as well as the payment
of lease liabilities, including interest of ₹ 217 Crores.
“Current liabilities” comprises of current provisions, current tax liabilities (net), and current financial and
other liabilities. Net cash used in financing activities was ₹ 1,997 Crores for the year ended 31 March 2020, primarily consisting of
the payment of dividends, including corporate dividend tax of ₹ 1,625 Crores as well as payment of lease liabilities
(in ₹ Crores)
including interest of ₹ 198 Crores.
Particulars 31 March 2021 31 March 2020

Non-current liabilities 1,789 2,287 Key Financial Ratio (Standalone)

Current liabilities 14,005 Year Ended
10,019
Units 31 March 2021 31 March 2020
Less: Borrowings 225 181
Profitability Ratios
Total 11,583 16,111
– Operating Profit Margin % 32.6 33.1
Current and non-current liabilities, excluding borrowings, decreased by ₹ 4,528 Crores to ₹ 11,583 Crores in the year – Net Profit Margin % 24.5 27.5
ended 31 March 2021 from ₹ 16,111 Crores in the year ended 31 March 2020; the decrease is primarily due to payment
of Deferred consideration of ₹ 6,197 Crores related to acquisition of select IBM Software products, partly offset by an – Return on Net Worth % 21.6 26.3
increase in Contract liabilities of ₹ 860 Crores, liabilities for expenses of ₹ 648 Crores and trade payables of ₹ 435 Crores. Liquidity Ratio

Cash Flows (Standalone) – Current Ratio Times 2.8 1.7

A summary of the cash flow statement is given below: Management Efficiency Ratio
(in ₹ Crores) – Debtors Turnover Ratio Times 4.7
5.6
Year Ended
– Inventory Turnover Ratio Times 8.7 9.6
31 March 2021 31 March 2020
Leverage Ratio
Net cash generated from operating activities (A) 15,765 9,911
– Interest Coverage Ratio – Borrowings Times 3,103.5 932.5
Net cash flows used in investing activities (B) (4,548) (11,140)
– Debt Equity Ratio Times 0.0 0.0
Net cash flows used in financing activities (C) (9,649) (1,997)

Net increase / (decrease) in cash and cash equivalents (A+B+C) 1,568 (3,226) In addition to return on net worth, variations have been explained for ratios with significant variations.
Cash and cash equivalents at the end of the year 2,876 1,294
Return on Net Worth
Return on Net Worth is at 21.6 percent in FY21 as compared to 26.3 percent in FY20. Finance Bill 2021 was enacted
Net cash flow from operating activities in March 21, whereby goodwill was taken out from depreciable assets w.e.f. 1 April 2020. This change has required the
Net cash generated from operating activities was ₹ 15,765 Crores during the year ended 31 March 2021, consisting of Company to record a one-time non-cash deferred tax of ₹ 1,222 Crores. Also during the current year, the Company
profit before tax of ₹ 12,410 Crores, adjusted for (a) non-cash and non-operating items, which are mainly depreciation has paid one-time special bonus amounting to ₹ 243 Crores (net of tax ₹ 192 Crores) to employees in recognition of
and amortization expenses of ₹ 2,813 Crores, and interest income of ₹ (551) Crores, and (b) cash flow from net working the Group achieving the $10B revenue mark in 2020. Both these one-time costs had an adverse impact of 3.0 percent
capital of ₹ 3,530 Crores, which was primarily driven by movement in financial and other assets and liabilities; and points on Return on Net Worth.
cash used to pay taxes (net of refund) of ₹ 2,350 Crores.
Current Ratio
Net cash generated from operating activities was ₹ 9,911 Crores during the year ended 31 March 2020, consisting of Current ratio has increased from 1.7 times in FY20 to 2.8 times in FY21 primarily due to payment of deferred
profit before tax of ₹ 11,178 Crores, adjusted for (a) non-cash and non-operating items, which are mainly depreciation consideration on the acquisition of select IBM software products during the year.
and amortization of ₹ 1,959 Crores, and interest income of ₹ (426) Crores, and (b) cash used in net working capital of
₹ 1,205 Crores, which was primarily driven by movement in financial and other assets and liabilities; and cash used to Interest Coverage Ratio
pay taxes (net of refund) of ₹ 1,705 Crores. Interest coverage ratio has increased during the year mainly due to reduction in interest cost.

Net cash flows used in investing activities

Net cash used in investing activities was ₹ 4,548 Crores for the year ended 31 March 2021. This primarily consisted of
the net amount of placement and maturity/redemption of bank and corporate deposits of ₹ 3,602 Crores, investment
in subsidiaries of ₹ 887 Crores, net amount of purchase and sale of property, plant and equipment and intangibles of
₹ 685 Crores and payment for business acquisitions of ₹ 367 Crores, partially offset by interest received of ₹ 585 Crores
and proceeds from net of purchase and sale of mutual funds of ₹ 408 Crores.

Net cash used in investing activities was ₹ 11,140 Crores for the year ended 31 March 2020. This primarily consisted
of payment for business acquisitions of ₹ 5,340 Crores, net amount of purchase and sale of mutual funds and debt
securities of ₹ 4,619 Crores, and net amount of purchase and sale of property, plant and equipment and intangibles
of ₹ 929 Crores, partially offset by proceeds from bank and corporate deposits on maturity/redemption of ₹ 5 Crores.

96 Management Discussion and Analysis 97

 DIRECTORS’ REPORT 3. DIVIDEND

Dear Members, Your Directors have declared the following dividends during the financial year under review:

Your Directors have immense pleasure in presenting the Twenty-Ninth Annual Report of HCL Technologies Limited (“HCL” or the Rate of Dividend per
Dividend Declared during Gross Dividend
“Company”) together with the Audited Financial Statements for the Financial Year (FY) ended March 31, 2021. S. No. Date of Declaration Equity Share
FY 2020-21 (₹ in crores)
(face value of ₹2 each)
1. FINANCIAL RESULTS 1 1st Interim Dividend July 17, 2020 2.00 543
2 2nd Interim Dividend October 16, 2020 4.00 1,085
Key highlights of the financial results of your Company prepared as per the Indian Accounting Standards (Ind AS) for the 3 3rd Interim Dividend January 15, 2021 4.00 1,085
financial year ended March 31, 2021 are as under:
Total 2,713
(₹ in crores) Note: The amount shown under Gross Dividend is the amount before deduction of tax at source.
Consolidated Standalone
Year ended Year ended The Company had also paid Final Dividend for FY 2019-20 The Notes are guaranteed by the Company. The Guarantee
Particulars
March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 at ₹2 per equity share of face value of ₹2 each aggregating to is unconditional and irrevocable. The Company’s aggregate
₹ 543 crores, after deduction of tax at source. The same was potential liability under the Guarantee is capped at USD 525
approved by the shareholders of the Company in the Twenty- million which is 105% of the total aggregate principal amount
Revenue from operations 75,379 70,676 35,673 32,666 Eighth AGM held on September 29, 2020. of the Notes outstanding from time to time. The Corporate
Guarantee is being treated as "Contingent Liability" for the
Other income 927 589 965 613 The Board of Directors in its meeting held on April 21-23, Company.
Total Income 76,306 71,265 36,638 33,279 2021, declared an interim dividend of ₹6 per equity share of
face value of ₹2 each, and a special interim dividend of ₹10 7. MANAGEMENT DISCUSSION AND ANALYSIS REPORT
per equity share of face value of ₹2 each, for FY 2021-22.
Total Expenses 60,453 57,285 24,228 22,101
The special interim dividend was declared by the Board in The Management Discussion and Analysis Report in terms of
recognition of the Company’s recent milestone, crossing the Regulation 34(2) of the SEBI (Listing Obligations and Disclosure
Profit before tax 15,853 13,980 12,410 11,178 USD 10 billion mark in revenue during FY 2020-21. Requirements) Regulations, 2015 (the “Listing Regulations”), is
attached and forms a part of this Annual Report.
The Board of Directors did not recommend any final dividend
Tax Expense 4,684 2,923 3,667 2,209 during the financial year under review. 8. ACQUISITIONS

Profit for the year 11,169 11,057 8,743 8,969 4. TRANSFER TO GENERAL RESERVES The acquisitions consummated by the Company (including by
its step-down wholly owned subsidiary) during FY 2020-21 are
No amount was transferred to the General Reserves during summarized as below -
Other comprehensive income / (loss) 758 479 520 (486) the financial year under review.
Total comprehensive income for the year 11,927 11,536 9,263 8,483 DWS Limited
5. SHARE CAPITAL
The Company’s step-down wholly owned subsidiary, HCL
Earnings per share of ₹ 2 each During the financial year under review, pursuant to the Australia Services Pty. Ltd., acquired DWS Limited (DWS), a
Basic (in ₹) 41.07 40.75 32.22 33.06 Scheme of Amalgamation providing for the amalgamation public company listed on the ASX, the Australian Securities
Diluted (in ₹) 41.07 40.75 32.22 33.05 of four direct / step-down wholly owned subsidiaries of the Exchange. DWS is a provider of IT, Business and Management
Company namely, HCL Eagle Limited, HCL Comnet Limited, consulting services in Australia and New Zealand. Pursuant
Note: The comparative numbers of the standalone financial statements for the previous year have been restated to give effect of the HCL Technologies Solutions Limited and Concept2Silicon to this acquisition, DWS and all its subsidiaries have become
Scheme of Amalgamation providing for the amalgamation of four direct / step-down wholly owned subsidiaries of the Company with and Systems Private Limited with and into the Company, effective the step-down wholly owned subsidiaries of the Company with
into the Company, with effect from April 1, 2019, the Appointed Date. The accounting treatment for the said amalgamation has been on July 13, 2020, the Authorized share capital of the said effect from January 5, 2021, being the date of completion of
explained in the “Summary of Significant Accounting Policies” of the standalone financial statements, which forms part of this Annual subsidiaries aggregating to ₹3,40,00,000/- was transferred to the acquisition. Post the acquisition DWS was delisted from
Report. and added with the Authorized share capital of the Company. the ASX.

As on March 31, 2021, the Authorized share capital of the Cisco’s SON Technology
2. BUSINESS OVERVIEW AND STATE OF AFFAIRS capabilities and broad global network, the Company delivers Company was ₹603,40,00,000/- divided into 301,70,00,000
holistic services in various industry verticals, categorized equity shares of face value of ₹2 each. The Company acquired asset carve-out of the product and
The Company empowers global enterprises with technology for under Financial Services, Manufacturing, Technology & services business that comprises of the Self-Optimizing Network
the next decade today. The Company’s Mode 1-2-3 strategy, Services, Telecom & Media, Retail & Consumer Packaged The Issued, Subscribed and Paid-up share capital of the (SON) from Cisco Systems Inc., a company incorporated in
through its deep-domain industry expertise, customer-centricity Goods, Life Sciences & Healthcare and Public Services. Company as on March 31, 2021 was ₹542,73,30,192/- divided California. SON is a multi-vendor multi-technology solution
and entrepreneurial culture of Ideapreneurship™ enables into 271,36,65,096 equity shares of face value of ₹2 each. that optimizes the Radio Access Networks for 2G-5G. The
businesses to transform into next-gen enterprises. On a consolidated basis, the Company’s revenue from acquisition was completed on October 25, 2020.
operations was ₹75,379 crores in the financial year under 6. ISSUANCE OF USD DENOMINATED UNSECURED NOTES
The Company offers its services and products through three review, as against ₹70,676 crores in the previous financial BY WHOLLY OWNED SUBSIDIARY 9. SUBSIDIARIES, ASSOCIATES AND JOINT VENTURES
business units - IT and Business Services (ITBS), Engineering year. The profit for the financial year under review was ₹11,169
and R&D Services (ERS) and Products & Platforms (P&P). crores, as against ₹11,057 crores in the previous financial year. HCL America Inc., a step-down wholly owned subsidiary of As on March 31, 2021, the Company has 140 subsidiaries and
ITBS enables global enterprises to transform their businesses the Company incorporated under the laws of California, on 11 associate companies within the meaning of Sections 2(87)
through offerings in the areas of Applications, Infrastructure, On a standalone basis, the Company’s revenue from March 10, 2021, issued and allotted USD 500 million fixed and 2(6) of the Companies Act, 2013 (“Act”) respectively.
Digital Process Operations and next generation Digital operations was ₹35,673 crores in the financial year under rate, senior unsecured notes, bearing interest at the rate of During the year under review, there has been no material
Transformation Solutions. ERS offers engineering services review, as against ₹32,666 crores in the previous financial 1.375% per annum to be matured in 2026, in accordance with change in the nature of business of the subsidiaries.
and solutions in all aspects of product development and year. The profit for the financial year under review was ₹8,743 Rule 144A and Regulation S of the U.S. Securities Act, 1933.
platform engineering. Under P&P, the Company provides crores, as against ₹8,969 crores in the previous financial year. The Notes are rated “A-” by S&P and have been listed on As per the first proviso to Section 129(3) of the Act, a statement
modernized software products to global clients for their the Singapore Exchange Securities Trading Limited (SGX-ST) containing salient features of the financial statements of the
technology and industry-specific requirements. The state of affairs of the Company is presented as part of the w.e.f. March 11, 2021. The net proceeds of the sale of the said Company’s subsidiaries, associates and joint ventures in
Management Discussion and Analysis Report forming part of Notes were to be used by HCL America Inc. for re-financing its Form AOC-1 shall form part of this Annual Report.
Through its cutting-edge co-innovation labs, global delivery this Annual Report. existing debt and/or meeting its working capital requirements.
98 Directors’ Report 99
 In accordance with the provisions of Section 136 of the 4. Hönigsberg & Düvel Corporation (incorporated in Company with and into HCL America Inc. (incorporated Company. The process and criteria of evaluation is explained
Act and Regulation 46 of the Listing Regulations, the Tennessee, USA), a step-down wholly owned subsidiary in California, USA), another step-down wholly owned in the Corporate Governance Report, which forms part of this
standalone and consolidated financial statements of the of the Company was merged with and into HCL America subsidiary of the Company with effect from January Annual Report.
Company along with relevant documents for FY 2020-21 Inc. (incorporated in California, USA), another step-down 1, 2021 was approved by the State of Delaware on
would be available on the website of the Company at wholly owned subsidiary of the Company. December 3, 2020. The approval from the California 16. STATUTORY AUDITORS AND STATUTORY AUDITORS’
https://www.hcltech.com/investors/results-reports Secretary of State is awaited. REPORT
and the financial statements in respect of the 5. HCL Sweden AB (incorporated in Sweden), a step-down
subsidiaries for FY 2020-21 would be available at wholly owned subsidiary of the Company was merged with 10. MATERIAL CHANGES AND COMMITMENTS AFFECTING M/s. B S R & Co. LLP, Chartered Accountants (ICAI Firm
https://www.hcltech.com/investors/subsidiaries-financials. and into HCL Technologies Sweden AB (incorporated in FINANCIAL POSITION BETWEEN THE END OF THE Registration No. 101248W/W-100022) were appointed as the
Sweden), another step-down wholly owned subsidiary of FINANCIAL YEAR AND DATE OF THE REPORT Statutory Auditors of your Company in the Twenty-Seventh
Note: The word “subsidiaries” used in this Annual Report the Company. Annual General Meeting (‘AGM’) of the Company held on August
includes both direct and step-down subsidiaries. There have been no material changes and commitments, 6, 2019 for a term of five consecutive years from the conclusion
6. HCL (Netherlands) BV (incorporated in Netherlands), which affect the financial position of the Company, that have of the said AGM till the conclusion of the Thirty-Second AGM to
Incorporation of Subsidiaries during the financial year a step-down wholly owned subsidiary of the Company occurred between the end of the financial year to which the be held in the year 2024. The Statutory Auditors have confirmed
under review: was merged with and into HCL Technologies B.V. financial statements relate and the date of this Report. that they are not disqualified to serve as the Statutory Auditors
(incorporated in Netherlands), another step-down wholly of the Company.
1. HCL Technologies Angola (SU), LDA., a private limited owned subsidiary of the Company. 11. DIRECTORS AND KEY MANAGERIAL PERSONNEL
liability company, was incorporated during the year Statutory Auditors’ Report
under the laws of Angola as a step-down wholly owned 7. Geometric SAS (incorporated in France), a step-down The composition of the Board of Directors is in accordance
subsidiary of the Company. wholly owned subsidiary of the Company was merged with with the provisions of Section 149 of the Act and Regulation There are no qualifications, reservations, adverse remarks or
and into HCL Technologies France SAS (incorporated in 17 of the Listing Regulations, with an optimum combination of disclaimer made by M/s. B S R & Co. LLP, Statutory Auditors
2. HCL Technologies S.A.C., a Corporation was incorporated France), another step-down wholly owned subsidiary of Executive Director, Non-Executive Non-Independent Directors in their report for FY 2020-21. The Statutory Auditors have not
during the year under the laws of Peru as a step-down the Company. and Independent Directors. reported any incident of fraud to the Audit Committee of the
wholly owned subsidiary of the Company. Company during the financial year under review.
Merger of Subsidiaries after the close of the financial year Details of the composition of the Board of Directors,
Merger of Subsidiaries during the financial year under review: under review: appointments / re-appointments during the financial year 17. SECRETARIAL AUDITORS AND SECRETARIAL AUDIT
under review, re-appointments after the close of the financial REPORT 
Merger of Indian Subsidiaries – Merger of Foreign Subsidiaries – year, director(s) retiring by rotation and details of declaration
by Independent Directors have been provided in the Corporate In terms of Section 204 of the Act, M/s. Chandrasekaran
In the previous financial year ended March 31, 2020, the 1. 14 subsidiaries including step-down subsidiaries (all Governance Report, which forms part of this Annual Report. Associates, Practicing Company Secretaries were appointed
Scheme of Amalgamation (“Scheme”) providing for the incorporated in Germany) of Hönigsberg & Düvel as the Secretarial Auditor of the Company for FY 2020-21.
amalgamation of four direct / step-down wholly owned Datentechnik GmbH (‘H&D’), all being step-down wholly 12. NUMBER OF MEETINGS OF THE BOARD The report of the Secretarial Auditor is enclosed as Annexure
subsidiaries of the Company namely, HCL Eagle Limited, HCL owned subsidiaries (‘WOS’) of the Company, merged with 1 to this Report. The report is self-explanatory and does not
Comnet Limited, HCL Technologies Solutions Limited and and into H&D (incorporated in Germany), another step- During the financial year under review, nine meetings of the call for any further comments. There are no qualifications,
Concept2Silicon Systems Private Limited, with and into the down WOS of the Company in the following manner. Board of Directors were held. The details of the meetings are reservations, adverse remarks or disclaimer made by the
Company, was sanctioned by the Hon’ble National Company provided in the Corporate Governance Report, which forms Secretarial Auditor in its report for FY 2020-21.
Law Tribunal, New Delhi vide its Order dated December 12, • 4 step-down wholly owned subsidiaries of H & D part of this Annual Report.
2019 along with its Modification Order dated January 23, 2020 merged with their immediate parent company viz. 18. MAINTENANCE OF COST RECORDS
and certified copy of the said Order was filed with the Registrar H&D IT Automotive Services GmbH, WOS of H & D. 13. BOARD COMMITTEES
of Companies on March 13, 2020. The Central Government has not prescribed the maintenance
• 1 step down wholly owned subsidiary of H & D As on March 31, 2021, the Company had the following 7 of cost records under Section 148(1) of the Act, and accordingly,
During the financial year under review, the Scheme was merged with its immediate parent company viz. Board Committees: such cost accounts and records are not maintained by the
also sanctioned by the Hon’ble National Company Law CATIS GmbH, WOS of H & D. Company.
Tribunal, Bengaluru vide its Order dated June 24, 2020 and • Post merger of the aforesaid 5 subsidiaries with their 1. Audit Committee
certified copy of the said Order was filed with the Registrar of immediate parents, both these parent companies 2. Corporate Social Responsibility Committee 19. ANNUAL RETURN
Companies on July 13, 2020. along with other 7 subsidiaries of H & D merged with 3. Nomination and Remuneration Committee
and into H & D. 4. Finance Committee Pursuant to Sections 92(3) and 134(3)(a) of the Act and Rule
Accordingly, the Scheme became effective from July 13, 2020 5. Stakeholders’ Relationship Committee 12(1) of the Companies (Management & Administration)
i.e. the date from which the certified copies of orders of both the The aforesaid mergers were approved by the appropriate 6. Risk Management Committee Rules, 2014, the Annual Return of the Company for FY
jurisdictional Tribunals were filed with the Registrar of Companies. authorities in Germany on April 1, 2021 and the mergers 7. Diversity Committee 2020-21 is available on the website of the Company at
The Appointed Date of the Scheme was April 1, 2019. were effective from January 1, 2020. https://www.hcltech.com/investors/results-reports
Details of the composition of the Committees and changes
Merger of Foreign Subsidiaries – 2. Hönigsberg & Düvel Datentechnik GmbH (incorporated therein, terms of reference of the Committees and other 20. POLICY ON DIRECTORS’ APPOINTMENT AND
in Germany), a step-down wholly owned subsidiary of requisite details are provided in the Corporate Governance REMUNERATION
1. Honigsberg & Düvel Datentechnik Czech s.r.o. (incorporated the Company merged with and into HCL Technologies Report, which forms part of this Annual Report.
in Czech Republic), a step-down wholly owned subsidiary of Germany GmbH (incorporated in Germany), another The Nomination and Remuneration Committee formulates the
the Company was merged with and into HCL Technologies step-down wholly owned subsidiary of the Company. The 14. FAMILIARIZATION PROGRAMME criteria for determining the qualifications, positive attributes
Czech Republic s.r.o. (incorporated in Czech Republic), said merger was approved by the appropriate authorities and independence of directors in terms of its charter. In
another step-down wholly owned subsidiary of the Company. in Germany on April 6, 2021 and the merger was effective The details of the familiarization programme have been evaluating the suitability of individual Board members, the
from January 1, 2020. provided under the Corporate Governance Report, which Committee takes into account factors such as educational
2. Axon Solutions Singapore Pte. Ltd. (incorporated in forms part of this Annual Report. and professional background, general understanding of
Singapore), a step-down wholly owned subsidiary of 3. HCL GmbH (incorporated in Germany), a step-down the Company’s business dynamics, professional standing,
the Company was merged with and into HCL Singapore wholly owned subsidiary of the Company merged with and 15. BOARD EVALUATION personal and professional ethics, integrity and values,
Pte. Ltd. (incorporated in Singapore), another step-down into HCL Technologies Germany GmbH (incorporated in willingness to devote sufficient time and energy in carrying out
wholly owned subsidiary of the Company. Germany), another step-down wholly owned subsidiary The Annual Performance Evaluation of the Board, its their duties and responsibilities effectively.
of the Company. The said merger was approved by the Committees, the Chairperson of the Board and the individual
3. HCL Belgium NV (incorporated in Belgium), a step-down appropriate authorities in Germany on April 6, 2021 and Directors was undertaken by the Board of Directors / The Committee also assesses the independence of directors
wholly owned subsidiary of the Company was merged with the merger was effective from April 1, 2020. Independent Directors in terms of the provisions of the Act at the time of their appointment / re-appointment as per the
and into HCL Technologies Belgium BVBA (incorporated and the Listing Regulations. The evaluation was carried out in criteria prescribed under the provisions of the Act, the rules
in Belgium), another step-down wholly owned subsidiary 4. The merger of PowerTeam, LLC, (a Delaware Limited terms of the framework and criteria of evaluation as approved made thereunder and the Listing Regulations.
of the Company. Company), a step-down wholly owned subsidiary of the by the Nomination and Remuneration Committee of the
100 Directors’ Report 101
 - Worldwide Application Management Services on
The Remuneration Policy for Directors, Key Managerial A brief outline of the CSR Policy of the Company and the 32. INSIDER TRADING REGULATIONS
the Cloud 2020 Vendor Assessment (IDC Doc
Personnel and other employees is provided in the Corporate initiatives undertaken by the Company on CSR activities during
#US46924517, November 2020)
Governance Report, forming part of this Annual Report. the financial year under review are set out in Annexure 3 to this Pursuant to the provisions of the SEBI (Prohibition of Insider
Report in the format as prescribed under Companies (Corporate Trading) Regulations, 2015 (as amended from time to time), - Worldwide Retail Co-Innovation Services Providers
21. RISK MANAGEMENT POLICY Social Responsibility Policy) Amendment Rules, 2021. the Company has adopted a Code of Conduct on Prohibition 2020 Vendor Assessment (IDC Doc #US46160020,
of Insider Trading (‘Insider Trading Code’) and a Code of December 2020)
The Board of Directors of the Company have formed a Risk The composition of the CSR Committee, the CSR Policy and Practices and Procedures for fair disclosure of Unpublished - Asia / Pacific (Excluding Japan) Workplace Services
Management Committee to inter-alia assist the Board in the CSR projects as approved by the Board of Directors for Price Sensitive Information (‘Fair Disclosure Code’). The Fair in the Era of Multiplied Innovation 2020 Vendor
overseeing the responsibilities with regard to identification, FY 2021-22 are available on the website of the Company at Disclosure Code is available on the website of the Company Assessment (IDC Doc #AP46571220, June 2020)
evaluation and mitigation of operational, strategic and external https://www.hcltech.com/investors/corporate-social-responsibility-hcl. at https://www.hcltech.com/investors/governance-policies. - Worldwide Cloud Professional Services 2020 Vendor
environmental risks. In addition, the Audit Committee is also Assessment (IDC Doc #US45439120, April 2020)
empowered to oversee the areas of risks and controls. 27. DIVIDEND DISTRIBUTION POLICY 33. AWARDS AND RECOGNITIONS
- Canadian Cloud Professional Services 2021 Vendor
The Company has developed and implemented a Risk The Company has formulated and published a Dividend Your Company relentlessly pursues excellence and is Assessment (IDC Doc #CA46215320, January 2021)
Management Policy that ensures appropriate management of Distribution Policy which provides for the circumstances delighted to receive phenomenal share of recognitions and - Worldwide Supply Chain SAP Ecosystem Services
risks in line with its internal systems and culture. under which the members may / may not expect dividend, awards this year, not only from the media, but also from 2021 Vendor Assessment (IDC Doc #US47537120,
the financial parameters, internal and external factors, analysts, governing bodies, academic institutions, partners March 2021)
22. INTERNAL FINANCIAL CONTROL SYSTEMS AND THEIR utilization of retained earnings, parameters regarding different and even customers. Some of the key honors received by the
ADEQUACY classes of shares, etc. The provisions of this Policy are in Company during the year include: 3. The Company was positioned as a ‘Leader’ by Everest
line with Regulation 43A of the Listing Regulations, and Group for:
The Company’s internal financial control systems are the Policy is available on the website of the Company at Awards – - Industry 4.0 Services PEAK Matrix® Assessment
commensurate with its size and nature of its operations and https://www.hcltech.com/investors/governance-policies. 2020 for The Transformational Leap in Cyber-
such internal financial controls are adequate and are operating 1. The Company was awarded the “2020 Rising Star Award” Physical Convergence.
effectively. The Company has adopted policies and procedures 28. UNCLAIMED DIVIDENDS AND TRANSFER TO INVESTOR from Pegasystems Inc., for the Company’s thought
for ensuring orderly and efficient conduct of the business. EDUCATION AND PROTECTION FUND leadership and trusted advisor role in driving large scale - Next-generation Application Management Services
These controls have been designed to provide reasonable digital transformation and implementation services. PEAK Matrix® Assessment 2021.
assurance regarding recording and providing reliable financial Pursuant to the provisions of Section 124 of the Act, the - Open Banking IT Services PEAK Matrix® Assessment
and operational information, adherence to the Company’s dividend amounts which have remained unpaid or unclaimed 2. The Company was awarded the “Industrial IoT Product of 2020.
policies, safeguarding of assets from unauthorized use and for a period of seven years from the date of transfer to unpaid the Year 2020” Award by IoT Evolution World for its Real- - System Integrator (SI) Capabilities on Microsoft Azure
prevention and detection of frauds and errors, the accuracy dividend account have been transferred by the Company to the Time Manufacturing Solution (RMI). Services PEAK Matrix® Assessment 2021.
and completeness of the accounting records, and the timely Investor Education and Protection Fund (‘IEPF’) established
- System Integrator (SI) Capabilities on Google Cloud
preparation of reliable financial disclosures. by the Central Government pursuant to Section 125 of the Act. 3. The Company was awarded the “Gold Stevie® Award”
Platform (GCP) Services PEAK Matrix® Assessment
The details of the unpaid / unclaimed dividend amount which at the 2020 American Business Awards for EXACTO™,
2021.
23. SIGNIFICANT AND MATERIAL ORDERS will be transferred to IEPF in the subsequent years are given under the category ‘New Product and Service – Business
in the Corporate Governance section of this Annual Report. Technology’ for its Artificial Intelligence and Machine - System Integrator (SI) Capabilities on Amazon Web
There are no significant and material orders passed by the Learning Capabilities. Services (AWS) PEAK Matrix® Assessment 2021.
regulators or courts or tribunals impacting the going concern Further, according to the IEPF Authority (Accounting, Audit, - Life Sciences Digital Services PEAK Matrix®
status and Company’s operations in future. Transfer and Refund) Rules, 2016 (the “IEPF Rules”), the 4. The Company was awarded the “Partner of the Year Assessment 2021.
shares in respect of which dividends have not been paid Award” from Skybox Security North America under the - IT Security Services PEAK Matrix® Assessment 2020.
24. PARTICULARS OF LOANS, GUARANTEES AND or claimed by the members for seven consecutive years or ‘Win of the Year 2020’ category.
INVESTMENTS more are also required to be transferred to the demat account - Artificial Intelligence (AI) Services PEAK Matrix®
created by the IEPF Authority. Accordingly, during the financial 5. The Company was named the ‘Target Specialized Assessment 2021.
The particulars of loans, guarantees and investments have year under review, the Company has transferred 4,111 equity Partner’ by Adobe. The Company is a global service - Insurance Business Model Innovation Enablement
been disclosed in the financial statements which forms part of shares to the demat account of the IEPF Authority. The details provider for Adobe Experience Cloud solutions and Services PEAK Matrix® Assessment 2021.
this Annual Report. of such shares are available on the website of the Company at this accomplishment comes in addition to the existing - Software Product Engineering Services PEAK
https://www.hcltech.com/investors/iepf-details. Adobe Experience Manager, Analytics and Campaign Matrix® Assessment 2021.
25. TRANSACTIONS WITH RELATED PARTIES specializations in the US.
29. DEPOSITS - Semiconductor Engineering Services PEAK Matrix®
The particulars of transactions entered into with the related 6. PowerTeam, LLC, a step-down wholly owned subsidiary Assessment 2021.
parties referred to in Section 188(1) and applicable rules of The Company has not accepted any deposits from the public of the Company, has been named the “Microsoft Proactive 4. The Company was positioned as a ‘Leader’:
the Act, have been given in Annexure 2 to this Report in Form during the financial year under review. Customer Service Partner of the Year”, which is a global - across 11 quadrants of ISG Provider Lens™ SAP
AOC-2. The Company also has in place a ‘Related Party award and is the highest recognition within Microsoft. HANA and Leonardo Ecosystem Partners.
Policy’, which is available on the website of the Company at 30. CORPORATE GOVERNANCE REPORT PowerTeam, LLC was also named a “Finalist for Financial
https://www.hcltech.com/investors/governance-policies. Services Partner of the Year”. - across 6 quadrants of ISG Provider Lens™ IoT -
The Corporate Governance Report in terms of Regulation 34(3) Services and Platforms for U.S and Germany, 2020
26. CORPORATE SOCIAL RESPONSIBILITY of the Listing Regulations, along with the Statutory Auditors’ Recognitions – under ‘Managed Services’ category.
certificate forms part of this Annual Report. - across 19 quadrants of ISG Provider Lens™ Digital
The Company contributes progressively to the socio-economic 1. The Company was positioned as a ‘Leader’ in The Business - Solutions and Service Partners.
and environmental advancement of the planet with ‘Corporate 31. BUSINESS RESPONSIBILITY REPORT Forrester Wave™ for Specialized Insights Service - across 5 quadrants of ISG Provider Lens™ Cyber
Social Responsibility’ (“CSR”) at the very core of its existence. Providers, Q2 2020, and as a ‘Strong Performer’ in The Security - Solutions & Services.
To meet its goals, the Company drives its corporate social The Listing Regulations mandates the inclusion of Business Forrester Wave TM for Commerce Services, Q1 2021.
- across 10 quadrants of ISG Provider Lens™ SIAM
responsibility agenda through its CSR arm, HCL Foundation, Responsibility Report (‘BRR’) as part of the Annual Report of
/ ITSM.
a Public Charitable Trust. the Company. In compliance with this regulation, the Company 2. The Company was positioned as a ‘Leader’ in IDC Market
has prepared a BRR for FY 2020-21 which describes the Scape for: - for ISG Provider Lens™ Salesforce Ecosystem
The CSR Committee of the Company is inter-alia responsible initiatives taken by the Company from an environmental, Partners for U.S. and Germany 2020 under ‘Managed
- Worldwide Manufacturing Intelligence Transformation
for formulating, recommending and monitoring the CSR Policy social and governance perspective and the same forms part Application Services’ category.
Strategic Consulting 2020 Vendor Assessment (IDC
of the Company which contains the approach and direction of this Annual Report. Doc #US46844920, September 2020)
given by the Board of Directors, and includes guiding principles 5. The Company was positioned as a Leader in Avasant’s:
for selection, implementation and monitoring of activities as - Worldwide Business Analytics Consulting and
Systems Integration Services 2020 Vendor - Digital Masters, 2020 Radar View™ report.
well as formulation of the annual action plan.
Assessment (IDC Doc #US45353220, June 2020) - AI and Advanced Analytics, 2020 Radar View™ report.

102 Directors’ Report 103

 - Retail & CPG Digital Services 2020-21 Radar View™ Ratio to median
Talent Acquisition 1. The Company has been recognized as the ‘Top Employer Sl.
report. Name of the Director remuneration of
2021’, for its exemplary HR performance by the Top
- Manufacturing Digital Services 2020-21 Radar View™ No.
The talent acquisition practices of the Company are aligned to Employer’s Institute in France, Germany, Netherlands, employees
report. its Mode 1-2-3 strategy. The Company has leveraged digital Australia, New Zealand, Philippines, Poland, Singapore, Executive Director
technologies to enhance the quality and experience of its South Africa, Sweden and the United Kingdom. The
1 Mr. Shiv Nadar (1) 46.02
6. The Company was positioned at No. 2 in HFS Top 10 talent acquisition programs. The Company’s gross hiring was Company is proud to have received this prestigious
Agile Software Development, 2020 category. 44,695 globally. accolade in the United Kingdom for the fifteenth Non-Executive Directors (2)
consecutive year. 2 Ms. Roshni Nadar Malhotra 7.84
34. SUSTAINABILITY Talent Development 3 Mr. Deepak Kapoor 6.60
2. The Company has been ranked No. 1 across multi-national
4 Mr. S. Madhavan 8.49
“Creating harmony between the Planet, People and The Company’s Talent Development Centre of Excellence companies headquartered in India and No. 30 in the
Prosperity" (CoE) continues to focus on creating a culture of continuous World’s Best Employers by Forbes. 5 Dr. Mohan Chellappa 7.26
learning through its business focused learning solutions, 6 Ms. Nishi Vasudeva 6.58
The Company builds sustainability principles and actions into contributing to the vision of building a truly global organization. 3. In the ‘Diversity and Inclusion’ space, the Company won 7 Ms. Robin Ann Abrams 9.93
its strategy, culture and day-to-day operations. The Company the following accolades –
8 Dr. Sosale Shankara Sastry 7.26
aims to improve the lives of people around the planet, engaging During the fiscal year, 1,20,652 employees availed 6.64 million - Won the Brandon Hall Gold award for ‘Best Inclusion
its employees, clients, stakeholders and the communities we hours of training for enhancing their current skills and learning 9 Mr. Shikhar Malhotra 6.75
and Diversity Strategy’.
live in, to a higher purpose. new skills. 47,232 unique employees were also trained in 10 Mr. R. Srinivasan 9.14
digital skills during this period. - Won a place in the ‘Top 100 Best Companies
for Women in India’ the prestigious ‘Exemplar of 11 Mr. Simon John England 7.26
The Company focuses on areas where it can make the most
Inclusion’ award in the 2020 Working Mother & Avtar 12 Mr. Thomas Sieber 8.09
difference: health, education, technology, jobs and people The vagaries posed by the Covid-19 pandemic pushed team
who are denied benefits and access. Guided by the United members to work in a virtually connected mode, further Most Inclusive Companies Index (MICI). Notes:
Nations Sustainable Development Goals, the Company views prodding talent development to rearticulate competencies - Won a place in the Gender-Equality Index by
sustainability in three ways - economic, social and environmental, relevant to this unprecedented change. The ‘New Normal’ Bloomberg. (1) The ratio has been calculated after taking into account
known informally as Profit, People and the Planet. competencies became an integral part of the key learning the remuneration drawn from the Company as well as the
solutions being deployed globally. These were also translated 4. The Company won the Brandon Hall Gold award for subsidiaries.
35. ORGANIZATION EFFECTIVENESS into micro-learning nuggets to adequately engage the people ‘Best Unique or Innovative Learning and Development
and provide them the necessary perspective to lead ‘Self’ and Program’. (2) The remuneration of Non-Executive Directors also
Human Resource ‘Team’ during the trying times. includes sitting fees paid during the year.
5. The Company was felicitated with various Stevie® Awards
2020, like never before, was the year that challenged Diversity and Inclusion including Gold Award for ‘Most Innovative Work From B. The percentage increase in remuneration of each
the human spirit in each and every way. It has tested our Home Plan – All Other Nations’, Silver award for ‘Most Director, Chief Executive Officer, Chief Financial
resilience, and our Company has demonstrated its fortitude Having built and scaled a multinational enterprise over nearly Valuable Employer - Asia Pacific’ and Silver Award for Officer, Company Secretary in the financial year:
and has emerged much stronger, together. The Company four decades, the Company believes that diversity and ‘Most Valuable HR Team - Asia Pacific’.
salutes the strength and endurance of its employees in these inclusion in the workplace is an asset for both businesses and % increase in
challenging times. their employees to foster innovation, creativity and empathy 36. CONSERVATION OF ENERGY, RESEARCH AND Sl. Remuneration in
Name of the Director
in ways that homogeneous environments seldom do. Yet it DEVELOPMENT, TECHNOLOGY ABSORPTION, FOREIGN No. the financial
The Company continues its journey with proactive efforts to takes careful nurturing and conscious orchestration to unleash EXCHANGE EARNINGS AND OUTGO year
safeguard the employees, minimize impact on clients, reduce the true potential of this invaluable asset. The Company has Executive Director
financial risk, maintain supply chain resilience and provide crafted multiple initiatives for its diverse employees to realize Disclosures of particulars as required under Section 134(3)(m) 1 Mr. Shiv Nadar (1) (3.96)
support to the communities lived and served around the world. their potential, while striking a good work-life balance. The of the Act, read with the Companies (Accounts) Rules, 2014 to
The Company is successfully navigating rising Covid-19 Company makes an intentional and continuous focus to create the extent applicable to the Company, are set out in Annexure Non-Executive Directors (2)
infections in India, secondary waves in certain geographies and sustain a culture of equality, self-awareness, authenticity 4 to this Report. 2 Ms. Roshni Nadar Malhotra 1.57
and coinciding crisis situations with minimal impact due to and accountability in the realm of gender, cross-cultural 3 Mr. Deepak Kapoor 1.56
stable remote working arrangements.  diversity, persons with disabilities and LGBTQ+ inclusion. 37. DIRECTORS’ RESPONSIBILITY STATEMENT 4 Mr. S. Madhavan 1.21
In line with our ‘Duty of Care’ responsibilities and commitment The Company believes that the effort towards creating an A statement of responsibility of the Directors relating to 5 Dr. Mohan Chellappa (3) -
to employee health and safety, the Company has become the inclusive environment should translate into people feeling compliance with the financial accounting and reporting 6 Ms. Nishi Vasudeva 0.62
first IT company in India to achieve the ‘PROTEK’ certification valued, treated equally and with respect, feeling safe to requirements in respect of the financial statements, as 7 Ms. Robin Ann Abrams (23.78)
from Intertek, the world-renowned quality assurance leader, express their opinions and empowered to take decisions specified under Section 134(3)(c) of the Act, is annexed as 8 Dr. Sosale Shankara Sastry (30.32)
that tests and inspects the end-to-end health and safety of and do their best. Keeping the same in mind, ‘Inclusion Lab’ Annexure 5 to this Report.
your people, places, and products. and ‘Inclusion at Scale’ has been launched for all employees 9 Mr. Shikhar Malhotra (3) -
to foster the inclusive work environments. These targeted 38. STOCK OPTIONS PLANS 10 Mr. R. Srinivasan (25.31)
Employee Strength and Expansion initiatives have helped the Company to make tremendous 11 Mr. Simon John England (3) -
progress over the years in fostering gender diversity. The stock option plans of the Company viz. the 1999 Stock 12 Mr. Thomas Sieber (19.87)
As we close out another successful year, the Company and its Option Plan, the 2000 Stock Plan and the 2004 Stock Option
subsidiaries have attained an impressive employee strength In order to affirm, guide and support the commitment of Plan have been terminated. Key Managerial Personnel (4)
of 1,68,977 and continues to build and support the business the Company to drive diversity and inclusion, the Board of Mr. C. Vijayakumar (President &
13 (73.91)
strategy of “Mode 1-2-3”. Directors of the Company has constituted a Committee of the 39. PARTICULARS OF EMPLOYEES Chief Executive Officer) (5)
Board named as Diversity Committee to focus on these areas. Mr. Prateek Aggarwal (Chief
Our emphasis and commitment to talent localization continues. The information required pursuant to Section 197(12) of the 14 57.91
Financial Officer) (6)
We believe this strategy confers us competitive advantages in Recognition of HCL Culture and Engagement Practices Act read with Rule 5(1) of the Companies (Appointment and
Mr. Manish Anand (Company
a tightening regulatory environment with respect to workforce across the World Remuneration of Managerial Personnel) Rules, 2014 are 15 9.60
mobility. In the United States, our localization stands at 70.4%. given below: Secretary)
To reinforce alignment of core beliefs and actions, the Notes:
The Company prides itself in employing people from different Company continues to transform its policies, processes A. The ratio of remuneration of each director to the
geographies and nationalities, creating a unique fabric of and practices. This has further enabled and empowered the median remuneration of the employees of the (1) The % has been calculated after taking into account the
values and traditions. As on March 31, 2021, the Company employees, a fact that has been well recognized by various Company for the financial year: remuneration drawn from the Company as well as from
employed resources from 157 nationalities and women industry forums and leading associations. Our distinctive HCL America Inc., a step-down wholly owned subsidiary
represented 27.2% of the global workforce. people practices continue to win accolades across the globe. of the Company and the above change includes any
variation on account of exchange rate.
104 Directors’ Report 105
 (2) The remuneration of Non-Executive Directors also the list of top ten employees of the Company in terms of the Annexure 1 to the Directors’ Report
includes sitting fees paid during the year. remuneration drawn in FY 2020-21 and a statement containing
the names of the employees employed throughout the financial
(3) Dr. Mohan Chellappa, Mr. Shikhar Malhotra and Mr. year and in receipt of remuneration of ₹1.02 crores per annum or SECRETARIAL AUDIT REPORT
Simon John England were appointed as Directors of the more and employees employed for part of the year and in receipt
Company during FY 2019-20. Since they were Directors of ₹8.50 lacs or more per month is provided in a separate exhibit FOR THE FINANCIAL YEAR ENDED MARCH 31, 2021
for part of the year, the said information is incomparable forming part of this report. The Annual Report and the Financial
and not provided. Statements are being sent to the shareholders excluding this [Pursuant to Section 204(1) of the Companies Act, 2013 and Rule 9 of the Companies
exhibit. This exhibit is available to any shareholder for inspection (Appointment and Remuneration Personnel) Rules, 2014]
(4) The remuneration paid to the Key Managerial Personnel on request and is also available on the website of the Company
includes Long Term Incentive which was disbursed by the at https://www.hcltech.com/investors/results-reports
Company during the financial year 2020-21.
41. VIGIL MECHANISM / WHISTLE BLOWER POLICY The Members (e) The Securities and Exchange Board of India (Issue
(5) Mr. C Vijayakumar is not getting any remuneration from HCL Technologies Limited and Listing of Debt Securities) Regulations, 2008; Not
the Company, however, he receives remuneration from The Company has formulated and published a Whistleblower 806, Siddharth, Applicable
HCL America Inc., a step-down wholly owned subsidiary Policy to provide Vigil Mechanism to report genuine concerns 96, Nehru Place, (f) The Securities and Exchange Board of India (Registrars
of the Company. Accordingly, the above change includes (including reporting of instances of leakage of unpublished New Delhi 110019 to an Issue and Share Transfer Agents) Regulations,
any variation on account of exchange rate. price sensitive information) and to ensure strict compliance 1993 regarding the Companies Act and dealing with client
with ethical and legal standards across the Company. The We have conducted the Secretarial Audit of the compliance to the extent of securities issued;
(6) The % has been calculated after taking into account the provisions of this Policy are in line with the provisions of of applicable statutory provisions and the adherence to good (g) The Securities and Exchange Board of India (Delisting of
remuneration drawn from the Company as well as from the Section 177(9) of the Act and the Listing Regulations corporate governance practices by HCL Technologies Limited Equity Shares) Regulations, 2009; Not Applicable and
HCL America Inc., a step-down wholly owned subsidiary and are available on the website of the Company at (hereinafter called “the Company”). Secretarial Audit was conducted
(h) The Securities and Exchange Board of India (Buy-back of
of the Company and the above change includes any https://www.hcltech.com/investors/governance-policies. The in a manner that provided us a reasonable basis for evaluating the
Securities) Regulations, 2018; Not Applicable
variation on account of exchange rate. details of the Whistleblower Policy form part of the Corporate corporate conducts/ statutory compliances and expressing our
Governance Report annexed with this Annual Report. opinion thereon. (vi) The other laws, as informed and certified by the Management
C. The percentage increase in the median remuneration of the Company which are specifically applicable to the
of employees in the financial year: 5.03% 42. OBSERVANCE OF THE SECRETARIAL STANDARDS Based on our verification of the Company’s books, papers, minute Company based on the Sectors/ Industry are:
ISSUED BY THE INSTITUTE OF COMPANY SECRETARIES books, forms and returns filed and other records maintained by the (a) The Special Economic Zone Act, 2005;
D. The number of permanent employees on the rolls of OF INDIA Company and also the information provided by the Company, its
Company: There were 86,647 permanent employees officers, agents and authorized representatives during the conduct (b) Policy relating to Software Technology Parks of India and
on the rolls of the Company. In addition, the Company The Company complies with all applicable Secretarial of secretarial audit, we hereby report that in our opinion, the its regulations;
had 82,330 number of employees on the rolls of its Standards issued by the Institute of Company Secretaries of Company has, during the audit period covering the financial year (c) The Indian Copyright Act, 1957;
subsidiaries. India. ended on March 31, 2021 complied with the statutory provisions (d) The Patents Act, 1970;
listed hereunder and also that the Company has proper Board-
(e) The Trade Marks Act, 1999;
E. Average percentile increase already made in the 43. DISCLOSURE UNDER SEXUAL HARASSMENT OF processes and compliance-mechanism in place to the extent, in
salaries of employees other than the managerial WOMEN AT WORKPLACE (PREVENTION, PROHIBITION the manner and subject to the reporting made hereinafter. (f) The Indian Telegraph Act, 1885;
personnel in the last financial year and its comparison AND REDRESSAL) ACT, 2013 (g) The Indian Wireless Telegraphy Act, 1933;
with the percentile increase in the managerial We have examined the books, papers, minute books, forms and
remuneration and justification thereof and point out if The Company has in place a Prevention and Redressal returns filed and other records maintained by the Company for We have also examined compliance with the applicable clauses/
there are any exceptional circumstances for increase of Sexual Harassment at Workplace Policy in line with the the financial year ended on March 31, 2021 according to the Regulations of the following:
in the managerial remuneration: requirements of Sexual Harassment of Women at Workplace provisions of:
(Prevention, Prohibition and Redressal) Act, 2013. The (i) Secretarial Standards issued by The Institute of Company
The average percentile increase made in the salaries of Company has constituted an Internal Committee for the (i) The Companies Act, 2013 (the Act) and the rules made Secretaries of India and notified by Ministry of Corporate Affairs.
employees other than the managerial personnel in the redressal of all sexual harassment complaints. These matters thereunder;
last financial year was 4.09%. are also being reported to the Audit Committee. The details (ii) SEBI (Listing Obligations and Disclosure Requirements)
of the Policy and the complaints are given under Corporate (ii) The Securities Contracts (Regulation) Act, 1956 (“SCRA”) and Regulations, 2015.
Mr. Shiv Nadar being the Managing Director is the Governance Report and the Business Responsibility Report the rules made thereunder;
managerial person of the Company. There has been respectively, which form part of this Annual Report. During the period under review the Company has complied with the
no change in the overall remuneration of Mr. Shiv (iii) The Depositories Act, 1996 and the Regulations and Bye- provisions of the Act, Rules, Regulations, Guidelines, Standards,
Nadar. In addition to receiving remuneration from the 44. ACKNOWLEDGEMENTS laws framed thereunder to the extent of Regulation 76 of SEBI etc. mentioned above.
Company, Mr. Shiv Nadar receives remuneration from (Depositories and Participants) Regulations, 2018;
HCL America Inc., a step-down wholly owned subsidiary The Board wishes to place on record its appreciation of We further report that
of the Company, hence, the difference of -3.96% in the the significant contributions made by the employees of the (iv) Foreign Exchange Management Act, 1999 and the rules
remuneration as appearing above includes any variation Company and its subsidiaries during the year under review. and regulations made thereunder to the extent of Foreign The Board of Directors of the Company is duly constituted with
on account of exchange rate. The Company has achieved impressive growth through Direct Investment, Overseas Direct Investment and External proper balance of Executive, Non-Executive Directors and
competence, hard work, solidarity, cooperation and support of Commercial Borrowings; Independent Directors. The changes in the composition of the
F. Affirmation that the remuneration is as per the employees at all levels. Your Directors thank the customers, Board of Directors that took place during the period under review
remuneration policy of the Company: vendors and other business associates for their continued (v) The following Regulations and Guidelines prescribed under were carried out in compliance with the provisions of the Act.
support in the Company’s growth. Your Directors also wish the Securities and Exchange Board of India Act, 1992 (“SEBI
The Company affirms that the remuneration is as per the to thank the government authorities, banks and members for Act”):- Adequate notice is given to all Directors to schedule the Board
Remuneration Policy of the Company. their cooperation and assistance extended to the Company. (a) The Securities and Exchange Board of India (Substantial Meetings. Agenda and detailed notes on agenda were sent at
Acquisition of Shares and Takeovers) Regulations, 2011; least seven days in advance except in cases where meetings were
40. STATEMENT OF EMPLOYEES PURSUANT TO RULE 5(2) For and on behalf of the Board of Directors convened at a shorter notice, and a system exists for seeking and
AND 5(3) OF THE COMPANIES (APPOINTMENT AND of HCL Technologies Limited (b) The Securities and Exchange Board of India (Prohibition obtaining further information and clarifications on the agenda items
REMUNERATION OF MANAGERIAL PERSONNEL) RULES, of Insider Trading) Regulations, 2015; before the meeting and for meaningful participation at the meeting.
2014 (c) The Securities and Exchange Board of India (Issue of
Capital and Disclosure Requirements) Regulations, 2018; All decisions at Board Meetings and Committee Meetings are
In terms of Rule 5(2) and 5(3) of the Companies (Appointment Place: New Delhi, India ROSHNI NADAR MALHOTRA (d) The Securities and Exchange Board of India (Share carried out unanimously as recorded in the minutes of the meetings
and Remuneration of Managerial Personnel) Rules, 2014, Date: April 23, 2021 Chairperson Based Employee Benefits) Regulations, 2014; Not of the Board of Directors or Committee of the Board, as the case
Applicable during the year under review. may be.

106 Directors’ Report 107

We further report that there are adequate systems and processes Notes: Annexure-A
in the Company commensurate with the size and operations of the
Company to monitor and ensure compliance with applicable laws, i. This report is to be read with our letter of even date which
rules, regulations and guidelines. is annexed as Annexure-A and forms an integral part of this The Members
report. HCL Technologies Limited
We further report that during the audit period no major events have 806, Siddharth
been happened which are deemed to have major bearing on the ii. Due to restricted movement amid COVID-19 pandemic, we 96, Nehru Place
Company’s affairs in pursuance of the above referred laws, rules, conducted the secretarial audit by examining the Secretarial New Delhi-110019
regulations, guidelines, standards, etc. Records including Minutes, Documents, Registers and other
records etc., and some of them received by way of electronic Our Report of even date is to be read along with this letter.
For Chandrasekaran Associates mode from the Company and could not be verified from the
Company Secretaries original records. The management has confirmed that the 1. Maintenance of secretarial record is the responsibility of the management of the Company. Our responsibility is to express an opinion
records submitted to us are the true and correct. This Report on these secretarial records based on our audit.
Sd/- is limited to the Statutory Compliances on laws / regulations
/ guidelines listed in our report of which, the due date has 2. We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about the correctness of
Dr. S. Chandrasekaran been ended/expired on or before March 31, 2021 pertaining the contents of the secretarial records. The verification was done on the random test basis to ensure that correct facts are reflected
Senior Partner to Financial Year 2020-21. in secretarial records. We believe that the processes and practices, we followed provide a reasonable basis for our opinion.
Membership No. FCS 1644
Date: April 20, 2021  Certificate of Practice No. 715 3. We have not verified the correctness and appropriateness of financial records and Books of Accounts of the Company.
Place: New Delhi  UDIN: F001644C000141982
4. Where ever required, we have obtained the Management representation about the compliance of laws, rules and regulations and
happening of events etc.

5. The compliance of the provisions of Corporate and other applicable laws, rules, regulations, standards is the responsibility of
management. Our examination was limited to the verification of procedures on random test basis.

6. The Secretarial Audit report is neither an assurance as to the future viability of the Company nor of the efficacy or effectiveness with
which the management has conducted the affairs of the Company.

For Chandrasekaran Associates

Company Secretaries

Sd/-

Dr. S. Chandrasekaran
Senior Partner
Membership No. FCS 1644
Date: April 20, 2021  Certificate of Practice No. 715
Place: New Delhi  UDIN: F001644C000141982

108 Directors’ Report 109

 Annexure 2 to the Directors’ Report

HCL Foundation has been set up to take up projects and programmes as part of its CSR mandate which are aligned to the Sustainable Development Goals. The CSR activities,
well as formulation of the Annual Action Plan, for ensuring growth and advancement of society and conservation of natural resources. To meet its goals, the Company drives its
1. A brief outline of the Company’s CSR policy, including overview of projects or programmes proposed to be undertaken and a reference to the web-link to the CSR

projects and programmes undertaken by the Company shall be those as approved by the CSR committee and are covered under the areas set out in Schedule VII of the

The key CSR streams are Early Childhood Care & Development, Health, Education, Skill Development & Livelihood, Water, Sanitation & Hygiene, Environment, Disaster Risk
The objective of the CSR policy (the “Policy”) of the Company is to lay down the guiding principles for selection, implementation, monitoring and evaluation of CSR activities as

Corporate Social Responsibility agenda through its CSR arm, HCL Foundation, a Public Charitable Trust registered with the Ministry of Corporate Affairs under the Companies

Companies Act, 2013. All CSR initiatives are inclusive, gender transformative, with special attention to the ultra-poor, people with disabilities and environment conservation.

4. Provide the details of Impact Assessment of CSR projects carried out in pursuance of sub-rule (3) of rule 8 of the Companies (Corporate Social Responsibility Policy)

5. Details of the amount available for set-off in pursuance of sub-rule (3) of rule 7 of the Companies (Corporate Social Responsibility Policy) Rules, 2014 and amount
Number of meeting of CSR Committee

Amount required to be set-off for the financial year,

FORM NO. AOC-2

attended during the year

(Pursuant to clause (h) of sub-section (3) of Section 134 of the Companies Act, 2013
and Rule 8(2) of the Companies (Accounts) Rules, 2014)

3. The web-link where Composition of CSR committee, CSR policy and CSR projects approved by the board are disclosed on the website of the Company
Form for disclosure of particulars of contracts / arrangements entered into by the Company with related parties referred to
in sub-section (1) of Section 188 of the Companies Act, 2013 including certain arm’s length transactions under third proviso

2
2
2

if any (in ₹)
thereto.

ANNUAL REPORT ON CORPORATE SOCIAL RESPONSIBILITY (CSR) ACTIVITIES

Note: Dr. Mohan Chellappa has been co-opted as a member and Mr. Shiv Nadar has ceased to be the member of the CSR Committee w.e.f. April 10, 2021.
1. Details of contracts or arrangements or transactions not at arm’s length basis

During the financial year ended March 31, 2021, HCL Technologies Limited (‘HCLT’) has not entered into any contract or arrangement
or transaction with its related parties which is not at arm’s length.

2. Details of material contracts or arrangement or transactions at arm’s length basis

a) Name(s) of the related party and nature of relationship

Details of the Policy are on the website of the Company at https://www.hcltech.com/investors/corporate-social-responsibility-hcl.

Committee held during the year

Number of meetings of CSR
HCL America Inc., (‘HCLA’) a step-down wholly owned subsidiary of the Company in the United States of America.

b) Nature of contracts / arrangements / transactions

(b) Surplus arising out of the CSR projects or programmes or activities of the previous financial years - NIL
Annexure 3 to the Directors’ Report
Rendering / obtaining of services, product sales, providing corporate guarantee and other miscellaneous income.

Amount Available for set-off from preceding

2
2
2
c) Duration of the contracts / arrangements / transactions

Ongoing.

Act, 2013 and Rules made thereunder, and under Sections 12A and 80G of the Income Tax Act, 1961.
d) Salient terms of the contracts or arrangements or transactions including the value, if any:

financial years (in ₹)

(a) Two percent of average net profit of the Company as per Section 135(5) – ₹194 crores
1. HCLT shall (i) provide IT / ITES services to the existing and new clients of HCLA including various support and general

6. Average net profit of the Company as per Section 135(5) – ₹9,700 crores
administrative services as may be required from time to time; (ii) HCLA shall provide IT / ITES services including sales
and marketing support services to HCLT; (iii) both the parties shall diligently perform their respective obligation under

NIL
the contracts in timely manner and provide services in accordance with the work order issued by the customer; (iv) both

Designation / Nature of Directorship

the parties shall submit invoices on timely basis for the services provided for each project to each other as per the terms
of contract and promptly pay the same; (v) be responsible for all the expenses incurred in connection with providing its
services, and; (vi) comply with the local, state and federal laws and regulations applicable while providing services.

The total value of transactions entered into with HCLA during the period from April 1, 2020 to March 31, 2021 is ₹5,106.59
crores.

(c) Amount required to be set-off for the financial year if any - NIL
https://www.hcltech.com/investors/corporate-social-responsibility-hcl.
2. HCLA (‘Issuer’) has issued and allotted USD 500 million fixed rate, senior unsecured notes, bearing interest at the rate of

2. The composition of the CSR Committee as on March 31, 2021

1.375% per annum to be matured in 2026, in accordance with Rule 144A and Regulation S of the U.S. Securities Act, 1933,

(d) Total CSR obligation for the financial year - ₹194 crores
for refinancing its existing debt and general corporate purpose. The Notes are guaranteed by the Company pursuant to an
indenture executed by the Company and the Issuer with the trustee appointed in relation to the issuance of the Notes. The

Chairperson
Guarantee is unconditional and irrevocable. The Company’s aggregate potential liability under the Guarantee is capped

Member
Member
at USD 525 million (equivalent to ₹3,838.28 crores) which is 105% of the total aggregate principal amount of the Notes
outstanding from time to time.

required for set off for the financial year, if any

Reduction & Response and Gender & Inclusion.

Rules, 2014, if applicable (attach the report)

The payment obligations of the Company under the Guarantee will, save for such exceptions as may be provided by applicable
legislation, at all times rank pari-passu with its other existing and future unsecured and unsubordinated obligations and will
be effectively subordinated to its secured obligations and the obligations of its subsidiaries. The Corporate Guarantee is
being treated as a Contingent Liability for the Company.

policy and projects or programmes

Financial Year
e) Date(s) of approval by the Board, if any:

Name of Director

Not Applicable for FY 2020-21.

1 Ms. Roshni Nadar Malhotra
Not applicable, since the contract was entered into in the ordinary course of business and on arm’s length basis.

f) Amount paid as advances, if any:

3 Mr. S. Madhavan
Nil.

2 Mr. Shiv Nadar

For and on behalf of the Board of Directors
of HCL Technologies Limited

Place: New Delhi, India ROSHNI NADAR MALHOTRA

No.

No.
S.

S.
Date: April 23, 2021 Chairperson

7.

110 Directors’ Report 111
 8. (a) CSR amount spent or unspent for the financial year:

112
Amount Unspent (in ₹/crores)
Total Amount Spent for
Total Amount transferred to Unspent CSR Account as Amount transferred to any fund specified under Schedule VII as per second pro-
the Financial Year
per Section 135(6) viso to Section 135(5)
(in ₹/crores)
Amount Date of Transfer Name of the Fund Amount Date of Transfer
195.15 NIL
(b) Details of CSR amount spent against ongoing projects for the financial year:
Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(i) Promoting health care

Piped Water Supply
including preventive health care
Project focusing on
and sanitation, promotion of Uttar
1 promotion of sanitation Yes Hardoi 4 years 6.00 6.00 - No HCL Foundation
sanitation and making available Pradesh
and making available safe
safe drinking water
drinking water
(x) Rural development projects
4.10 4.10 - No HCL Foundation
Samvedna
Clean Village Project 0.03 0.03 - No Development
(i) Promoting health care Society
focusing on promotion
including preventive health care Uttar
2 of sanitation and making Yes Hardoi 4 years 0.03 0.03 - No Vatsalya
and sanitation Pradesh
available safe drinking Financial Inclusion
(x) Rural development projects
water Improves
0.09 0.09 - No
Sanitation and
Health
Liquid Waste (i) Promoting health care
Management Project including preventive health care 1.28 1.28 - No HCL Foundation
focusing on promotion and sanitation
of sanitation and making (iv) Ensuring environmental
Uttar
3 available safe drinking sustainability, ecological balance, Yes Hardoi 4 years
Pradesh
water, and conservation conservation of natural resources Adarsh Seva
of natural resources and and water 0.23 0.23 - No
Samiti
maintaining quality of soil, (x) Rural development projects
air and water
Crop Practice
Improvement
Traditional Crops & Crop
Diversification Project (i) Eradicating hunger, poverty
focusing on (i) Eradicating (iv) Ensuring environmental
hunger, poverty, (ii) sustainability, ecological balance, Uttar
4 Yes Hardoi 4 years 7.50 7.50 - No HCL Foundation
ensuring environmental agroforestry, conservation Pradesh
sustainability, ecological of natural resources and
balance, and (iii) maintaining quality of soil
conservation of natural
resources and maintaining
quality of soil

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
Farmer Training and
(ii) Promoting education,
Capacity Building
including special education
Project focusing on
and employment enhancing
special education for Uttar
5 vocation skills especially among Yes Hardoi 4 years 3.40 3.40 - No HCL Foundation
resource utilization, Pradesh
children, women, elderly and the
conservation of
differently abled and livelihood
productivity / income
enhancement projects
improvement of farmers
Agriculture Market
Development Project
focusing on (i)livelihood (i) Eradicating hunger, poverty Uttar
6 Yes Hardoi 4 years 1.00 1.00 - No HCL Foundation
enhancement and (ii) (x) Rural development projects Pradesh
Eradicating hunger,
poverty
(ii) Promoting education among
Happy School Project children, women, elderly and the
Uttar
7 promoting education differently abled and livelihood Yes Hardoi 4 years 7.48 7.48 - No HCL Foundation
Pradesh
among children enhancement projects
(x) Rural development projects
Sakshar Samuday Poorvanchal
(ii) Promoting education among
Project promoting 0.56 0.56 - No Gramin Vikas
women
education, and Uttar Sansthan
8 (iii) Promoting gender equality, Yes Hardoi 4 years
employment enhancing Pradesh
empowering women 0.85 0.85 - No Sarvodaya Ashram
vocation skills among
(x) Rural development projects
women 4.23 4.23 - No HCL Foundation
Panchayat Raj
Institutions Project Uttar
9 (x) Rural development projects Yes Hardoi 4 years 1.79 1.79 - No HCL Foundation
focusing on rural Pradesh
community development
(i) Eradicating hunger, poverty
and malnutrition 1.92 1.92 - No HCL Foundation
Dairy Value Chain
(ii) Enhancing vocation skills
Development Project Uttar
10 (iii) Measures for reducing Yes Hardoi 4 years
focusing on dairy Pradesh
inequalities faced by socially and 0.18 0.18 - No End Poverty
Livelihood enhancement
economically backward groups
(x) Rural development projects
(ii) Employment enhancing
vocation skills especially among
women
Community Institution
(iii) Promoting gender
Development Project Uttar
Directors’ Report

11 equality, empowering women Yes Hardoi 4 years 2.02 2.02 - No HCL Foundation
promoting gender equality, Pradesh
and measures for reducing
empowering women
inequalities faced by socially and
economically backward groups
(x) Rural development projects
113
 Mode of

114
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(i) Eradicating hunger, poverty

Youth Skill Development (ii) Promoting employment 1.04 1.04 - No HCL Foundation
Uttar
Project enhancing enhancing vocation skills and Yes Hardoi 4 years
12 Pradesh Tata Community
vocational skills livelihood enhancement projects. 0.38 0.38 - No
(x) Rural development projects Initiatives Trust
Women (i) Eradicating hunger, poverty
Entrepreneurship (ii) Promoting employment 2.86 2.86 - No HCL Foundation
Project focusing on enhancing vocation skills Uttar
13 Yes Hardoi 4 years
livelihood enhancement especially among women and Pradesh
through women livelihood enhancement projects Manjari
0.22 0.22 - No
entrepreneurship (x) Rural development projects Foundation
(i) Eradicating hunger, poverty
Handicraft Cluster 2.77 2.77 - No HCL Foundation
(ii) Promoting employment
Development Project
enhancing vocation skills Uttar
14 enhancing vocational Yes Hardoi 4 years
especially among women and Pradesh
skills for women through Jaipur Rugs
livelihood enhancement projects 1.22 1.22 - No
handicraft Foundation
(x) Rural development projects
Strengthening of 4.02 4.02 - No HCL Foundation
Community Health Lords Education
(i) Eradicating malnutrition, 0.20 0.20 - No
Centers and Community and Health Society
promoting health care including Uttar
15 Platforms (VHND, AAA) Yes Hardoi 4 years
preventive health care Pradesh
for promoting health care
(x) Rural development projects 2.10 2.10 - No HCL Foundation
including preventive health
care
Mobile Health Clinic (i) Eradicating malnutrition,
Programme promoting promoting health care including Uttar
16 Yes Hardoi 4 years 3.75 3.75 - No HCL Foundation
health care including preventive health care Pradesh
preventive health care (x) Rural development projects
1.59 1.59 - No HCL Foundation
Raj Kumari
0.20 0.20 - No
Child Nutrition (i) Eradicating malnutrition, Foundation
Management promoting health care including Uttar 0.20 0.20 - No Abhyuday Sansthan
17 Yes Hardoi 4 years
Programme for preventive health care Pradesh Poorvanchal Gramin
eradicating malnutrition (x) Rural development projects 0.20 0.20 - No
Vikas Sansthan
Freedom from
0.50 0.50 - No
Hunger India Trust
Solar Mini-Grid
Village Electrification (iv) Ensuring environmental
Uttar
18 Programme for sustainability Yes Hardoi 4 years 7.32 7.32 - No HCL Foundation
Pradesh
ensuring environmental (x) Rural development projects
sustainability
Solar Electricity Enabled
Rooftop Electrification (iv) Ensuring environmental
Uttar
19 Programme for sustainability Yes Hardoi 4 years 0.52 0.52 - No HCL Foundation
Pradesh
ensuring environmental (x) Rural development projects
sustainability

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

Clean Urban Village 0.98 0.98 - No HCL Foundation

Project focusing on (i) Promoting health care
Uttar Gautam Hand In Hand
20 promotion of sanitation including preventive health care Yes 4 Years
Pradesh Budh Nagar Inclusive
and making available safe and sanitation 1.85 1.85 - No
drinking water Development And
Services

Clean Sectors Project (i) Promoting health care 4.37 4.37 - No HCL Foundation
Uttar Gautam
21 focusing on promotion of including preventive health care Yes 4 Years
Pradesh Budh Nagar
sanitation and sanitation Nehru Foundation
0.58 0.58 No
- for Development
3.57 3.57 - No HCL Foundation
Chakachak Urban (i) Promoting health care Samvedna
Uttar Gautam 0.65 0.65 No Development
22 Village Project focusing including preventive health care Yes 4 Years -
Pradesh Budh Nagar Society
on promotion of sanitation and sanitation
Humana People to
0.68 0.68 No
- People India
Sustainable Cities (i) Promoting health care 6.70 6.70 - No HCL Foundation
Uttar Gautam
23 Project focusing on including preventive health care Yes 4 Years Skill Council for
Pradesh Budh Nagar 0.12 0.12 No
promotion of sanitation and sanitation - Green Jobs
(ii) Promoting education,
Livelihood Generation including special education
- digital literacy is the and employment enhancing
Uttar Aawahan The New
24 main focus throughout the vocation skills especially among Yes Lucknow 3 Years 0.34 0.34 - No
Pradesh Voice
project for the targeted children, women, elderly and the
population differently abled and livelihood
enhancement projects
(iii) Promoting gender equality,
empowering women, and
Building Inclusive Uttar
25 measures for reducing Yes Noida 3 Years 0.24 0.24 - No AADI
Aganwadis Centers Pradesh
inequalities faced by socially and
economically backward groups

Gautam Action Aid

Water bodies (iv) Ensuring environmental 3 Years 0.34 0.34 - No
Budh Nagar Association
rejuvenation - at Kot, sustainability, ecological balance,
Beel, Akhbarpur, 16 water protection of flora and fauna,
Uttar Gautam
26 bodies in Jewar Block, animal welfare, agroforestry, Yes 3 Years 0.35 0.35 - No Aroh Foundation
Pradesh Budh Nagar
1 pond in Police line conservation of natural resources
Directors’ Report

premises and 5 ponds in and maintaining quality of soil, air Gorakhpur

Astauli village and water Noida 3 Years 0.68 0.68   No Environmental
Action Group
115
 Mode of

116
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

Sexual & Reproductive

(i) Promoting health care
Health for Eligible Uttar Gautam
27 including preventive health care Yes 3 Years 0.86 0.86 - No Agragami India
Couples and Pradesh Budh Nagar
and sanitation
Adolescents
Providing Employability (ii) Promoting education, including
Training to Marginalised special education and employment Tamil Madurai,
Aide Et Action
28 Youth through initiative enhancing vocation skills Yes Nadu, Chennai and 3 Years 0.56 0.56 - No
(India)
for Livelihood Education especially among children, and Karnataka Bangalore
and Development livelihood enhancement projects
(ii) Promoting education,
including special education
and employment enhancing
Tamil American India
29 Digital Equalizer Project vocation skills especially among Yes Madurai 3 Years 0.50 0.50   No
Nadu Foundation
children, women, elderly and the
differently abled and livelihood
enhancement projects
“Saksham”- Digital
Literacy and life skills
Project, to empower the
students of Government (ii) Promoting education,
Inter colleges of Lucknow. including special education
To establish and and employment enhancing Uttar Ankur Yuva
30 Yes Lucknow 3 Years 0.34 0.34 - No
sustain healthy WASH vocation skills especially among Pradesh Chetna Shivir
practices and facilities by children, women, elderly and the
advocating, creating and differently abled and livelihood
reinforcing Government enhancement projects
services for the betterment
of Urban Communities
(ii) Promoting education,
including special education
and employment enhancing
Digital Studio for Online Tamil Aram Foundation
31 vocation skills especially among Yes Coimbatore 3 Years 0.33 0.33 - No
Education Nadu Charitable Trust
children, women, elderly and the
differently abled and livelihood
enhancement projects
(ii) Promoting education, including
Generate Supplementary special education and employment
Income for Beneficiary enhancing vocation skills
Women, who have especially among women, elderly
suffered loss of livelihood and the differently abled and
due to the lockdown, livelihood enhancement projects Aroha
32 increase depleting green (iv) Ensuring environmental Yes Maharastra Nagpur 3 Years 0.47 0.47 - No Multipurpose
cover in the urban areas sustainability, ecological balance, Society
by creating urban forests protection of flora and fauna,
and create environmental animal welfare, agroforestry,
sensitivity amongst conservation of natural resources
children and maintaining quality of soil, air
and water

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(ii) Promoting education,
including special education
and employment enhancing
vocation skills especially among
Building Sports children, women, elderly and the
Uttar Association of
33 Excellence in Para differently abled and livelihood Yes Noida 3 Years 0.22 0.22 - No
Pradesh Disabled Person
Sports enhancement projects
(vii) Training to promote rural
sports, nationally recognised
sports, Paralympic sports and
Olympic sports
Animal Welfare Services
(iv) Ensuring environmental
to Blue Cross of India
sustainability, ecological balance,
for Feeding for Animals /
protection of flora and fauna,
Medicines for distressed Tamil
34 animal welfare, agroforestry, Yes Chennai 3 Years 0.37 0.37 - No Blue Cross of India
animals being treated / Nadu
conservation of natural resources
Rescue Ambulance
and maintaining quality of soil, air
Maintenance / Diagnostic
and water
Laboratory Equipment
(ii) Promoting education,
Evolution of System
including special education and
for Equitable and
employment enhancing vocation Uttar Bodh Shiksha
35 Quality Education and Yes Noida 3 Years 0.45 0.45 - No
skills especially among children Pradesh Samiti
Development for all
and livelihood enhancement
Children
projects

(ii) Promoting education, Bright Light

Telangana Hyderabad 3 Years 0.25 0.25 - No
Skill Development including special education and Society
Training and Placement employment enhancing vocation
36 Yes Andhra
Assistance to Urban skills especially among children Vijayawada
Youth and livelihood enhancement Pradesh Centum
and 3 Years 0.88 0.88 - No
projects and Foundation
Hyderabad
Telangana
(i) Eradicating hunger, poverty
and malnutrition, promoting
health care including preventive
health care
Integrated Child Chennai
(ii) Promoting education, Tamil Bro Siga Social
37 Development in Urban Yes and 3 Years 0.81 0.81 - No
including special education Nadu Service Guild
Poor Madurai
and employment enhancing
vocation skills especially among
Directors’ Report

children, women, elderly and the

differently abled
117
118
Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(iii) Promoting gender equality,

empowering women, setting up
homes and hostels for women
and orphans; setting up old
Strengthening Women age homes, day care centers
38 Yes Karnataka Bangalore 3 Years 0.13 0.13 - No Buzz India Trust
Collectives and such other facilities for
senior citizens and measures
for reducing inequalities faced
by socially and economically
backward groups
Urban Forest - Creating
(iv) Ensuring environmental
Green Infrastructure
sustainability, ecological balance,
for People and the
protection of flora and fauna, Chennai
Environment in Tamil
39 animal welfare, agroforestry, Yes and 3 Years 0.56 0.56 - No Care Earth
Coimbatore and to Nadu
conservation of natural resources Coimbatore
improve Green cover
and maintaining quality of soil, air
(The Green Aorta) in
and water
Sholinganallur, Chennai
(ii) Promoting education,
Empowering Urban including special education
Citizens to Solve and employment enhancing Centre for
40 Water Crisis through vocation skills especially among Yes Karnataka Bangalore 3 Years 0.45 0.45 - No Sustainable
Skill Development and children, women, elderly and the Development
Entrepreneurship differently abled and livelihood
enhancement projects
(ii) Promoting education,
Providing Financial
including special education
Support in connection
and employment enhancing Centre for Youth
with Entrepreneurship
41 vocation skills especially among Yes Maharashtra Nagpur 3 Years 0.17 0.17 - No Development and
of 100 First Generation
children, women, elderly and the Activities
Micro-Entrepreneurs in
differently abled and livelihood
Pune
enhancement projects
(iv) Ensuring environmental
sustainability, ecological balance,
Animal Feed protection of flora and fauna,
Tamil Chennai Snake
42 Procurement & animal welfare, agroforestry, Yes Chennai 3 Years 0.20 0.20 - No
Nadu Park Trust
Disbursement conservation of natural resources
and maintaining quality of soil, air
and water

(i) Eradicating hunger, poverty

Breaking the Resilience
and malnutrition, ‘promoting Tamil
43 – Building the Self Yes Chennai 3 Years 0.27 0.27 - No CHES
health care including preventive Nadu
Esteem
health care and sanitation

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
Vibrant Early Childhood
Education Centers - Andhra
(i) Eradicating hunger, poverty
Ensuring quality ECCE Pradesh, Vijayawad-a,
and malnutrition, promoting
44 services in Anganwadi Yes Karnataka Bangalore 3 Years 0.59 0.59 - No Child Fund India
health care including preventive
Centers and Promoting and Tamil and Chennai
health care and sanitation
contextbased initiation of Nadu
learning for life (Pencil)
(i) Eradicating hunger, poverty
Creating Community-
and malnutrition, promoting
based Safety-net-for West South 24 Child in Need
45 health care including preventive Yes 5 Years 1.15 1.15 - No
better Health and Bengal Pargana Institute
health care and sanitation
Nutrition
(x) Rural development projects
Screening children for
auditory deficit leading
to early identification (i) Eradicating hunger, poverty
of hearing defects. and malnutrition, promoting Uttar Chiranjiv Medical
46 Yes Lucknow 3 Years 0.28 0.28 - No
Also, treatment of those health care including preventive Pradesh Foundation
children with severe health care and sanitation
hearing defects with
cochlear implant surgery
Foundation India:
(i) Eradicating hunger, poverty
Improving health, early
and malnutrition, promoting Uttar Cohesion
47 childhood education Yes Noida 3 Years 2.04 2.04 - No
health care including preventive Pradesh Foundation Trust
services for young girls&
health care and sanitation
boys
Childhood
Lucknow Enhancement
3 Years 1.15 1.15 - No
and Noida Through Training
and Action
Improving quality of Community Aid
education for children Uttar Noida 3 Years 0.50 0.50 - No and Sponsorship
(ii) Promoting education,
living in difficult Pradesh/ Programme
including special education
circumstances - Involving Tamil Nadu/
and employment enhancing Noida 3 Years 1.49 1.49 - No Rasta
children in the age group Karnataka/
48 vocation skills especially among Yes Noida/
of 6 -17 years including Telangana/
children, women, elderly and the Chennai/
siblings in alternative Andhra
differently abled and livelihood Bangalore/
classes and recreational Pradesh/
enhancement projects Lucknow/
activities, imparting adult Maharashtra
(xi) Slum area development Nagpur/ 3 Years 0.48 0.48 - No HCL Foundation
literacy to leaners
Pune/
Vijayawada/
Directors’ Report

Hyderabad/
Madurai
119
 Mode of

120
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(iv) Ensuring environmental
sustainability, ecological balance,
Stray Animal Medical protection of flora and fauna, Compassion
49 Treatments and Cat animal welfare, agroforestry, Yes Karnataka Bangalore 3 Years 0.22 0.22 - No Unlimited Plus
Population Control conservation of natural resources Action
and maintaining quality of soil, air
and water
(i) Eradicating hunger, poverty
Micro-Nutrition for HIV and malnutrition, ‘promoting
50 Yes Telangana Hyderabad 3 Years 0.07 0.07 - No Desire Society
Affected Children health care including preventive
health care
(iv) Ensuring environmental
sustainability, ecological balance,
Development of
protection of flora and fauna,
Revitalising Vandiyur Tamil Humane Action
51 animal welfare, agroforestry, Yes Madurai 3 Years 0.68 0.68 - No
Lake Project Nadu Foundation
conservation of natural resources
(DHAN)
and maintaining quality of soil, air
and water
(ii) Promoting education,
including special education
Integrated Child
and employment enhancing
Education &
52 vocation skills especially among Yes Telangana Hyderabad 3 Years 0.89 0.89 - No Divya Disha
Development Project
children, women, elderly and the
and Sports for Change
differently abled and livelihood
enhancement projects
(ii) Promoting education, Don Bosco Anbu
including special education 3.20 3.20 - No
Bridging Education in Illam
and employment enhancing
Chennai Slums, After Tamil
53 vocation skills especially among Yes Chennai 3 Years
School Project and Nadu
children, women, elderly and the
Police Children Club 0.89 0.89 - No Hope Foundation
differently abled and livelihood
enhancement projects
Placement Linked,
(ii) Promoting education,
Market Aligned Core
including special education Uttar
Employability Skilling
and employment enhancing Pradesh
Project with extra Noida and Dr Reddy’s
54 vocation skills especially among Yes and 3 Years 0.58 0.58 - No
modules on COVID-19 Vijayawada Foundation
children, women, elderly and the Andhra
Awareness, Precautions
differently abled and livelihood Pradesh
and Workplace
enhancement projects
Protocols

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(ii) Promoting education,
including special education
Promoting children’s
and employment enhancing
participation in sport
vocation skills especially among
and physical activities
children, women, elderly and the
to ensure holistic Uttar Dribble Academy
55 differently abled and livelihood Yes Noida 3 Years 0.25 0.25 - No
development and give Pradesh Foundation
enhancement projects
them an avenue to
(vii) training to promote rural
express their hidden
sports, nationally recognised
talent
sports, Paralympic sports and
Olympic sports
Developing a new Digital (iv) Ensuring environmental
E-Learning platform for sustainability, ecological balance,
children and train them protection of flora and fauna,
Uttar Eco Roots
56 on essential topics like animal welfare, agroforestry, Yes Lucknow 3 Years 0.14 0.14 - No
Pradesh Foundation
water conservation, and conservation of natural resources
Biodiversity as well as and maintaining quality of soil, air
E waste, health and fitness and water
(ii) Promoting education,
including special education and 0.40 0.40 - No EFRAH
Capacity building of
employment enhancing vocation
SHGs - in tailoring &
skills especially among women
cutting and skilling of
and livelihood enhancement Mon Ami
youths in trades like Uttar 0.33 0.33 - No
57 projects Yes Noida 3 Years Foundation
IT, Fashion Design & Pradesh
(ii) Promoting gender equality,
Beautician, in local
empowering women and
artisan trades (crochet & NOW (Nurturing
measures for reducing
madhubani) 0.44 0.44 - No Ones Willpower)
inequalities faced by socially and
Foundation
economically backward groups
‘Life Connect’ - Improving (i) Eradicating hunger, poverty
healthcare access and and malnutrition, promoting Tuensang,
Eleutheros
58 preventing maternal and health care including preventive Yes Nagaland Mon and 5 Years 1.00 1.00 - No
Christian Society
child death across 3 health care and sanitation Longleng
districts of Nagaland (x) Rural development projects
Skilling of Youth - in Emmanuel
courses like bed side (ii) Promoting education, 0.22 0.22 - No Hospital
assistant & computer including special education Association
literacy, in trades like and employment enhancing
Uttar
59 bakery & confectionary, vocation skills especially among Yes Noida 3 Years
Pradesh 0.60 0.60 - No Katha
AC repair and children, women, elderly and the
maintenance, IT & ECCE differently abled and livelihood
Directors’ Report

and in trades like gym enhancement projects 0.23 0.23 - No Prayatna

instructors & nutritionist
121
 Mode of

122
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(iii) Promoting gender Tamil
Women Skillpreneurship Madurai,
equality, empowering women Nadu, Entrepreneurship
Development Projects Bangalore
60 and measures for reducing Yes Karnataka 3 Years 0.76 0.76 - No Development
towards livelihoods & and
inequalities faced by socially and and Institute of India
micro-enterprise creation Hyderabad
economically backward groups Telangana
Scientific Lake (iv) Ensuring environmental
Restoration of Konai sustainability, ecological balance, Andhra
Vijayawada Environmentalist
Cheruvu & Oora protection of flora and fauna, animal Pradesh
61 Yes and 3 Years 0.94 0.94 - No Foundation of
Cheruvu in Vijaywada welfare, agroforestry, conservation and Tamil
Chennai India
& Ocean Fellowship of natural resources and maintaining Nadu
Project in Chennai quality of soil, air and water
Family Planning
(i) Eradicating hunger, poverty Tamil
Comprehensive Madurai 0.87 0.87 - No Association of
and malnutrition, ‘promoting Nadu
Behaviour Change India
62 health care including preventive Yes 3 Years
Intervention among Family Planning
health care and sanitation Uttar
Adolescents Noida 1.60 1.60 - No Association of
(xi) Slum area development Pradesh
India
(iv) Ensuring environmental
Rajasthan,
sustainability, ecological balance, Udaipur,
Gujarat,
protection of flora and fauna, Mahisagar,
iCare - Informed Karnataka,
animal welfare, agroforestry, Chikaballapur, Foundation for
63 Collaborative Action for Yes Andhra 5 Years 0.54 0.54 - No
conservation of natural resources Ananthpu, Ecological Security
Resilience of Ecosystems Pradesh
and maintaining quality of soil, air Denkanal and
and
and water Koraput
Odisha
(x) Rural development projects
(v) Protection of national
“Atmanirbhar Bharat”
heritage, art and culture including
initiative, FMC joined
restoration of buildings and Uttar
hands with HCL Lucknow
sites of historical importance Pradesh Foundation for
64 Foundation and Yes and 3 Years 0.40 0.40 - No
and works of art; setting up and MSME Clusters
conceptualized “Surakhsit Hyderabad
public libraries; promotion and Telangana
Udyam Vikas” project to
development of traditional art and
up lift artisans
handicrafts
(iv) Ensuring environmental
sustainability, ecological balance,
Animal Welfare - protection of flora and fauna,
Uttar
65 steralisation, vaccination animal welfare, agroforestry, Yes Noida 3 Years 0.62 0.62 - No Friendicoes Seca
Pradesh
of 3000 animals conservation of natural resources
and maintaining quality of soil, air
and water
Improving the
Health Status of (i) Eradicating hunger, poverty
the Communities in and malnutrition, promoting Andhra George Institute
66 Yes Vijayawada 3 Years 0.63 0.63 - No
Karakatta slum and health care including preventive Pradesh for Global Health
Gannavaram in Krishna health care and sanitation
District, Andhra Pradesh

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
Increasing native
green cover, creating
a sustainable (iv) Ensuring environmental
ecosystem for birds, sustainability, ecological balance,
bees, butterflies, etc. protection of flora and fauna,
Uttar Lucknow Give Me Trees
67 and creating center animal welfare, agroforestry, Yes 3 Years 0.50 0.50 - No
Pradesh and Noida Trust
for environmental conservation of natural resources
awareness in the city of and maintaining quality of soil, air
Lucknow. 50,000 saplings and water
plantation in Sorkha and
Maincha sites
(iv) Ensuring environmental
sustainability, ecological balance,
protection of flora and fauna,
Pond Rejuvenation and Uttar
68 animal welfare, agroforestry, Yes Noida 3 Years 0.35 0.35 - No Green Yatra Trust
Plantation Pradesh
conservation of natural resources
and maintaining quality of soil, air
and water
Creating awareness (ii) Promoting education,
among prospective including special education
youth regarding the ITI and employment enhancing Grey Sim
Uttar
69 education system and vocation skills especially among Yes Lucknow 3 Years 0.25 0.25 - No Learnings
Pradesh
opportunities for vertical children, women, elderly and the Foundation
mobility & career growth differently abled and livelihood
through ITI courses enhancement projects
Empowering and
facilitating women and
girls of poor households
to demand and avail (i) Eradicating hunger, poverty
sustainable sanitation and malnutrition, promoting Uttar Gujrat Mahila
70 Yes Lucknow 3 Years 0.45 0.45 - No
and behaviour change, health care including preventive Pradesh Housing Trust
which is sensitive to the health care and sanitation
needs and contribute to
their long-term well-
being
Repairing work
& Infrastructure
development work in
(ii) Promoting education,
Government Schools
including special education Uttar
along with Rainwater Lucknow Habitat for
and employment enhancing Pradesh
71 Harvesting System in 3 Yes and 3 Years 0.71 0.71 - No Humanity India
Directors’ Report

vocation skills especially among and

Government schools. Bangalore Trust
children, women, elderly and the Karnataka
Improving access to
differently abled and livelihood
water and sanitation in
enhancement projects
government schools in
123

Anekal taluk, Bangalore

 Mode of

124
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(ii) Promoting education,
Providing youth with including special education Uttar
Lucknow,
sustained livelihood and employment enhancing Pradesh,
Hyderabad Head Held High
72 opportunities through vocation skills especially among Yes Telangana 3 Years 0.33 0.33 - No
and Foundation
Jobs or self-employment children, women, elderly and the and
Bangalore
/entrepreneurship differently abled and livelihood Karnataka
enhancement projects
(iv) Ensuring environmental
sustainability, ecological balance,
protection of flora and fauna,
Tamil Humane Animal
73 Animal Birth Control animal welfare, agroforestry, Yes Coimbatore 3 Years 0.12 0.12 - No
Nadu Society (HAS)
conservation of natural resources
and maintaining quality of soil, air
and water
Establishing Business (ii) Promoting education,
Incubation Centers at including special education
Army MEG & Center, and employment enhancing
Bangalore and AMC, vocation skills especially among
Uttar Lucknow
Lucknow to provide children, women, elderly and the
74 Yes Pradesh, and 3 Years 0.32 0.32 - No I Create India
Entrepreneurship differently abled and livelihood
Karnataka Bangalore
Training, Mentoring, enhancement projects
Access to Capital and (vi) Measures for the benefit
Handholding to retiring of armed forces veterans, war
Army Veterans widows and their dependents
(ii) Promoting education,
including special education
Reforming and and employment enhancing
Uttar India Vision
75 Rehabilitating Prison vocation skills especially among Yes Noida 3 Years 0.17 0.17 - No
Pradesh Foundation
Inmates through Skilling children, women, elderly and the
differently abled and livelihood
enhancement projects
(iv) Ensuring environmental
sustainability, ecological balance,
3000 Rudraksha
protection of flora and fauna, Indian National
Saplings Plantation in
76 animal welfare, agroforestry, Yes Uttarakhand Almorah 3 Years 0.20 0.20 - No Trust of Art and
Uttarakhand and 600
conservation of natural resources Culture Heritage
Mixed Native Species
and maintaining quality of soil, air
and water
(ii) Promoting education,
including special education
Enterprise Building and employment enhancing
Tamil Indus Tree Craft
77 in Natural Fiber Value vocation skills especially among Yes Madurai 3 Years 0.42 0.42 - No
Nadu Foundation
Chain children, women, elderly and the
differently abled and livelihood
enhancement projects

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(ii) Promoting education,
including special education
Livelihood Project to and employment enhancing Integrated Project
78 Empower Marginalized vocation skills especially among Yes Karnataka Bangalore 3 Years 0.16 0.16 - No for Development of
Women Through SHGs children, women, elderly and the People
differently abled and livelihood
enhancement projects
(ii) Promoting education,
Protecting children
including special education
during emergencies
and employment enhancing Kailash Satyarthi
by creating awareness Uttar
79 vocation skills especially among Yes Lucknow 3 Years 0.36 0.36 - No Children’s
and engaging them in Pradesh
children, women, elderly and the Foundation
learning through online
differently abled and livelihood
education
enhancement projects
(ii) Promoting education,
including special education
Bringing primary school
and employment enhancing
children in government Uttar
80 vocation skills especially among Yes Noida 3 Years 0.76 0.76 - No Katha
schools of Noida to Pradesh
children, women, elderly and the
grade-level reading
differently abled and livelihood
enhancement projects
(iv) Ensuring environmental
sustainability, ecological balance,
Hill Waters & Wetlands
protection of flora and fauna,
for Communities
animal welfare, agroforestry, Tamil Keystone
81 & Wildlife - Eco - Yes The Nilgiris 5 Years 1.43 1.43 - No
conservation of natural resources Nadu Foundation
Restoration, Applied
and maintaining quality of soil, air
Ecology & Advocacy
and water
(x) Rural development projects

Developing early interest

in and engagement (ii) Promoting education,
of all children with including special education
sport by implementing and employment enhancing
a structured sports vocation skills especially among
project. Build a pathway children, women, elderly and the
Uttar Kooh Sports
82 for talented children to differently abled and livelihood Yes Lucknow 3 Years 0.48 0.48 - No
Pradesh Foundation
become elite athletes or enhancement projects
sportspersons through (vii) Training to promote rural
a tested framework of sports, nationally recognised
advancing coaching sports, Paralympic sports and
Directors’ Report

inputs and competition Olympic sports

intensity
125
 Mode of

126
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(iii) Promoting gender equality,

empowering women, setting up
Nurturing grassroots homes and hostels for women
women’s leaderships and orphans; setting up old Labour Education
83 and strengthening age homes, day care centers Yes Maharashtra Nagpur 3 Years 0.17 0.17 - No and Research
women’s collectives in and such other facilities for Network
Nagpur senior citizens and measures
for reducing inequalities faced
by socially and economically
backward groups
(ii) Promoting education,
including special education
Happy Schooling Project and employment enhancing
Tamil M S Chellamuthu
84 - Children wellbeing in vocation skills especially among Yes Madurai 3 Years 0.11 0.11 - No
Nadu Trust
schools children, women, elderly and the
differently abled and livelihood
enhancement projects
(vii) Training to promote rural
sports, nationally recognised
sports, Paralympic sports and
Olympic sports
Training and educating (ii) Promoting education,
Maatru Pratishtana
85 HCL supported school including special education Yes Karnataka Bangalore 3 Years 0.59 0.59 - No
(R)
students in Sports and employment enhancing
vocation skills especially among
children, women, elderly and the
differently abled and livelihood
enhancement projects
(ii) Promoting education,
including special education
Work readiness of
and employment enhancing
young people for high Magic Bus India
86 vocation skills especially among Yes Maharashtra Pune 3 Years 0.34 0.34 - No
demand sectors- Retail, Foundation
children, women, elderly and the
ITES and BFSI
differently abled and livelihood
enhancement projects

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
Strengthening health
mechanism for
(i) Eradicating hunger, poverty
improved health and
and malnutrition, promoting
wellness of people in
health care including preventive
urban community- aims
health care and Sanitation
to improve reproductive
(iii) Promoting gender equality,
health, hygiene and Uttar Lucknow,
empowering women, setting up
nutrition outcome of Pradesh, Noida, Mamta Health
homes and hostels for women
87 defined urban slum Yes Karnataka, Bangalore 3 Years 1.71 1.71 - No Institute for Mother
and orphans; setting up old
community in 4 project Tamil and & Child
age homes, day care centers
locations across India. Nadu Chennai
and such other facilities for
To aware and sensitize
senior citizens and measures
students and other
for reducing inequalities faced
stakeholders on
by socially and economically
importance of gender
backward groups
equity in improving human
potential of adolescents
(ii) Promoting education,
Night School including special education
Transformation Project and employment enhancing
88 in 5 Night Schools & vocation skills especially among Yes Maharashtra Nagpur 3 Years 0.32 0.32 - No Masoom
Digital Education for NMC children, women, elderly and the
Day Schools differently abled and livelihood
enhancement projects
(ii) Promoting education,
including special education
and employment enhancing
Technology Based
89 vocation skills especially among Yes Karnataka Bangalore 3 Years 0.12 0.12 - No Meghshala Trust
Teacher Enablement
children, women, elderly and the
differently abled and livelihood
enhancement projects
(ii) Promoting education,
including special education Gonda,
Uttar
and employment enhancing Barabanki,
Aflatoun - Social and Pradesh,
vocation skills especially among Chatra,
90 Financial Education Yes Jharkhand 5 Years 0.55 0.55 - No Meljol
children, women, elderly and the Hazaribagh
Project and
differently abled and livelihood and
Maharashtra
enhancement projects Yavatmal
(x) Rural development projects
(i) Eradicating hunger, poverty
Providing daycare
Directors’ Report

and malnutrition, promoting Mobile Creches for

facilities to children Uttar
91 health care including preventive Yes Noida 3 Years 0.43 0.43 - No Working Mothers
living in urban slums Pradesh
health care and sanitation Child
and construction sites
(xi) Slum area development
127
 Mode of

128
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

Infrastructure
(i) Eradicating hunger, poverty
Development in Schools Modern Architects
and malnutrition, promoting
92 and WASH Behavioural Yes Telangana Hyderabad 3 Years 0.33 0.33 - No for Rural India
health care including preventive
Training among (MARI)
health care and sanitation
stakeholders
(ii) Promoting education,
including special education
Gurukul (I.T Skills and employment enhancing Mukti
West
93 Development / Education vocation skills especially among Yes Kolkata 3 Years 0.10 0.10 - No Rehabilitation
Bengal
Centre) children, women, elderly and the Centre
differently abled and livelihood
enhancement projects
(ii) Promoting education,
Enabling, engaging
including special education
and empowering
and employment enhancing
children and teachers
94 vocation skills especially among Yes Karnataka Bangalore 3 Years 0.38 0.38 - No MYRADA
to effectively address
children, women, elderly and the
of learning and
differently abled and livelihood
development issues
enhancement projects
Earning with dignity and
community wellness
(i) Eradicating hunger, poverty National Institute
through community life
and malnutrition, promoting of Women
95 centers. Yes Maharashtra Nagpur 3 Years 0.69 0.69 - No
health care including preventive Child & Youth
Sanitation and waste
health care and sanitation Development
management for good
health in urban Slums
(iv) Ensuring environmental
sustainability, ecological balance, Natural
40 compost pits +
protection of flora and fauna, Environment
10 Compost pits in Uttar
96 animal welfare, agroforestry, Yes Noida 3 Years 0.21 0.21 - No Educational
partnership model with Pradesh
conservation of natural resources & Research
farmer
and maintaining quality of soil, air Foundation
and water
Foundation Learning
(i) Eradicating hunger, poverty Uttar
Strengthening Health
and malnutrition, promoting Pradesh Noida and Nalandaway
97 and Hygiene Practices Yes 3 Years 0.80 0.80 - No
health care including preventive and Tamil Chennai Foundation
of young girls & boys in
health care and sanitation Nadu
Schools
(iii) Promoting gender equality,
empowering women, setting up
homes and hostels for women
Mainstreaming Gender
and orphans; setting up old age
in slum communities Uttar
98 homes, day care centers and such Yes Noida 3 Years 0.25 0.25 - No Nirantar Trust
through institutional Pradesh
other facilities for senior citizens
mechanisms
and measures for reducing
inequalities faced by socially and
economically backward groups

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(ii) Promoting education,
Vocational Training including special education
of Students with and employment enhancing
Uttar Noida Deaf
99 multiple disabilities and vocation skills especially among Yes Noida 3 Years - No
Pradesh 0.51 0.51 Society
improving the quality of children, women, elderly and the
education differently abled and livelihood
enhancement projects
(i) Eradicating hunger, poverty
and malnutrition
(ii) Promoting education,
Incubating Social including special education
Nudge Lifeskills
100 Entrepreneurs and and employment enhancing Yes Karnataka Bangalore 3 Years 0.68 0.68 - No
Foundation
Enterprises vocation skills especially among
children, women, elderly and the
differently abled and livelihood
enhancement projects
Empowering the (ii) Promoting education,
students and School including special education
Stakeholders to make and employment enhancing Chennai Organisation for
Tamil
101 their Schools Cleaner, vocation skills especially among Yes and 3 Years 0.14 0.14 - No Eelam Refugees-
Nadu
Greener, Safer, Through children, women, elderly and the Madurai Rehabilitation
the sustainable module differently abled and livelihood
of Children’s parliament enhancement projects
(iii) Promoting gender equality,
empowering women, setting up
ARSH for You – An homes and hostels for women
Online Teacher-Training and orphans; setting up old age Population
Uttar
102 Project on Adolescent homes, day care centers and such Yes Noida 3 Years 0.20 0.20 - No Foundation of
Pradesh
Reproductive and Sexual other facilities for senior citizens India
Health and measures for reducing
inequalities faced by socially and
economically backward groups
PSI will enable Lucknow
Municipal Corporation
to accelerate WASH (i) Eradicating hunger, poverty
Population
outcomes through and malnutrition, ‘promoting Uttar
103 Yes Lucknow 3 Years 0.29 0.29 - No Services
implementation of health care including preventive Pradesh
International
Swachh Bharat Mission, health care and sanitation
National Water Mission
& AMRUT strategies
Directors’ Report

(ii) Promoting education,

including special education
Creating Bal Panchayats
and employment enhancing
in Government Schools, Uttar
104 vocation skills especially among Yes Noida 3 Years 0.49 0.49 - No Pravah
skilling of youths and Pradesh
children, women, elderly and the
documentation
129

differently abled and livelihood

enhancement projects
 Mode of

130
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(ii) Promoting education,

including special education
Quality Education
and employment enhancing Ramakrishna
through Good Academic West
105 vocation skills especially among Yes Kolkata 3 Years 0.21 0.21 - No Vivekananda
Ambiance and Bengal
children, women, elderly and the Mission
Environment
differently abled and livelihood
enhancement projects
(ii) Promoting education,
Evening Tuition Centers,
including special education
General & Special
and employment enhancing Ramakrishna
Medical camps and Tamil
106 vocation skills especially among Yes Chennai 3 Years 0.72 0.72 - No Mission Students
English Communication Nadu
children, women, elderly and the Home
Course to Home
differently abled and livelihood
Polytechnic Students
enhancement projects
(ii) Promoting education,
including special education
Sambalam – Inclusive Jhalawar,
and employment enhancing Rajasthan,
Education for children Udaipur,
vocation skills especially among Bihar RCSB-
107 with visual impairment in Yes Jehanabad, 5 Years 1.17 1.17 - No
children, women, elderly and the and West SIGHTSAVERS
Rajasthan, Bihar and West Bhagalpur
differently abled and livelihood Bengal
Bengal and Howrah
enhancement projects
(x) Rural development projects

Ensuring access to (ii) Promoting education,

Health, Education including special education
Rural
and Livelihood for and employment enhancing
108 Yes Karnataka Bangalore 3 Years 0.2 0.2 - No Development
marginalized tribal in vocation skills especially among
Council
Thali and Kelmangalam children, women, elderly and the
block of Denkanikotai differently abled and livelihood
enhancement projects
NARI-PAHAL Project
aims to enable women
to develop skills, create (ii) Promoting education,
sustainable livelihood including special education
opportunities like enabling and employment enhancing
Uttar
109 them to establish small vocation skills especially among Yes Lucknow 3 Years 0.45 0.45 - No Safe Society
Pradesh
Sanitary Pad making children, women, elderly and the
units, small Weaving & differently abled and livelihood
Textile units with basic enhancement projects
support income and sell it
on online platforms

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(iii) Promoting gender equality,

empowering women, setting up
homes and hostels for women
and orphans; setting up old Saint Hardayal
Supporting abandoned Uttar
age homes, day care centers Educational and
110 and physically Yes Pradesh, NCR 3 Years 1.46 1.46 - No
and such other facilities for Orphans Welfare
challenged elderly Delhi
senior citizens and measures Society
for reducing inequalities faced
by socially and economically
backward groups
(i) Eradicating hunger, poverty
Strengthening ICDS
and malnutrition, promoting Uttar
111 Services in 50 Aganwadi Yes Noida 3 Years 0.75 0.75 - No Save The Children
health care including preventive Pradesh
Centers
health care and sanitation
(iv) Ensuring environmental
sustainability, ecological balance,
Sapling Plantation and protection of flora and fauna, Saytrees
Uttar
112 Development of Urban animal welfare, agroforestry, Yes Noida 3 Years 0.60 0.60 - No Environmental
Pradesh
Forest conservation of natural resources Trust
and maintaining quality of soil, air
and water
Road Safety Project - is a (i) Eradicating hunger, poverty Uttar Lucknow,
behaviour-based that aims and malnutrition, promoting Pradesh, Noida,
School Health
at increasing road safety. health care including preventive Karnataka, Hyderabad,
113 Yes 3 Years 0.85 0.85 - No Annual Report
Preventive health access health care and sanitation Tamil Bangalore
Programme
for children in schools Nadu and and
under RKSK Telangana Chennai
(iv) Ensuring environmental
sustainability, ecological balance,
Reaching to students
protection of flora and fauna,
in primary schools in Uttar Sesame Workshop
114 animal welfare, agroforestry, Yes Noida 3 Years 0.34 0.34 - No
Noida on Environment Pradesh India Trust
conservation of natural resources
Education
and maintaining quality of soil, air
and water
(iii) Promoting gender equality,
empowering women, setting up
homes and hostels for women
and orphans; setting up old
Strengthening Fathers’
age homes, day care centers Uttar Sesame Workshop
115 Engagement in early Yes Noida 3 Years 0.21 0.21 - No
and such other facilities for Pradesh India Trust
years of Parenting
Directors’ Report

senior citizens and measures

for reducing inequalities faced
by socially and economically
backward groups
131
 Mode of

132
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(i) Eradicating hunger, poverty Tamil SIP Memorial

Micro Nutrition Support and malnutrition, promoting Chennai 3 Years 0.24 0.24 - No
116 Yes Nadu Trust
for HIV Affected Children health care including preventive
health care and sanitation Karnataka Bangalore 3 Years 0.07 0.07 - No Sneha Care Home
(iv) Ensuring environmental
Improving Green Cover sustainability, ecological balance,
of Region, to control soil protection of flora and fauna,
Tamil
117 erosion and improve animal welfare, agroforestry, Yes Coimbatore 3 Years 0.60 0.60 - No Siruthuli
Nadu
the biodiversity of the conservation of natural resources
region and maintaining quality of soil, air
and water
Community Health (i) Eradicating hunger, poverty Society for
Approach to Tackle and malnutrition, promoting Community
118 Yes Karnataka Bangalore 3 Years 1.27 1.27 - No
Water, Sanitation and health care including preventive Health Awareness
Hygiene Challenge health care and sanitation Research
(iv) Ensuring environmental
sustainability, ecological balance,
protection of flora and fauna,
10 Tank Rejuvenation animal welfare, agroforestry,
and Plantations in 10 conservation of natural resources
ha (multi-layer farming and maintaining quality of soil, air
Society for
system) in Dadri block. and water. Uttar
119 Yes Noida 3 Years 1.58 1.58 - No Development
Skill Development of (ii) Promoting education, Pradesh
Alternative
Youths in trades like including special education
computer, Financial and employment enhancing
Literacy, tally & retail vocation skills especially among
children, women, elderly and the
differently abled and livelihood
enhancement projects
Supporting children in (ii) Promoting education,
the age group of six including special education
Society For
months to six years, and and employment enhancing
Uttar Educational
120 their families and Build vocation skills especially among Yes Lucknow 3 Years 1.66 1.66 - No
Pradesh Improvement and
AWWs’ capacities in 15 children, women, elderly and the
Innovation
AWCs in implementing a differently abled and livelihood
holistic project. enhancement projects
(ii) Promoting education,
Nagpur,
including special education
Establishing and Uttar Noida,
and employment enhancing
Running Innovative Pradesh, Lucknow, Socio Economic
121 vocation skills especially among Yes 3 Years 0.06 0.06 - No
Science Centers in the Maharashtra, Chennai Development Trust
children, women, elderly and the
selected schools Tamil Nadu and
differently abled and livelihood
Madurai
enhancement projects

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
(ii) Promoting education,
Increasing Enrolment Rate
including special education
of CWDs and Non-
and employment enhancing
Challenged Children in
vocation skills especially among
Jyoti Kiran School and
children, women, elderly and the
Government Primary
differently abled and livelihood Uttar
122 schools in Lucknow. Yes Lucknow 3 Years 0.51 0.51 - No SPARC-INDIA
enhancement projects Pradesh
Imparting training to
(iii) Promoting gender
Youths with Disability in
equality, empowering women
order to enable them to
and measures for reducing
earn their livelihood and
inequalities faced by socially and
lead a stable life
economically backward groups
(iii) Promoting gender equality,
Student
empowering women, and
Leadership Training Tamil Partnership World
123 measures for reducing Yes Chennai 3 Years 0.27 0.27 - No
among Girls Nadu Wide India Project
inequalities faced by socially and
Trust
economically backward groups
Enhancing the Overall
Quality of Education
in 21 state schools of (ii) Promoting education,
Lucknow, under public- including special education
private partnership and employment enhancing Study Hall
Uttar
124 model, by innovative vocation skills especially among Yes Lucknow 3 Years 0.98 0.98 - No Educational
Pradesh
teaching-learning children, women, elderly and the Foundation
methods, building and differently abled and livelihood
enhancing capacities of enhancement projects
the teachers and school
administration
Promoting sustainable
health, nutrition and
hygiene interventions
towards reducing
morbidity and mortality
(i) Eradicating hunger, poverty Sustainable
through accessible
and malnutrition, promoting Tamil Healthcare
125 and quality services of Yes Madurai 3 years 0.70 0.70 - No
health care including preventive Nadu Advancement
mainstream institutions
health care and sanitation Trust (SUHAM)
and involving
community governance
using sustainable
behavioural change
communication
Directors’ Report
133
 Mode of

134
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
Uttar Noida/
Pradesh/ Chennai/
Tamil Nadu/ Bangalore/
(i) Eradicating hunger, poverty
Promoting Sustainable Karnataka/ Lucknow/
and malnutrition, ‘promoting
126 Health, Nutrition and Yes Telangana/ Nagpur/ 3 Years 1.27 1.27 - No HCL Foundation
health care including preventive
Hygiene Interventions Andhra Pune/
health care and sanitation
Pradesh/ Vijayawada/
Maharashtra Hyderabad/
Madurai
ATDC’s Vocational Skill
Development Training
in the Apparel Sector
to the underprivileged
unemployed youth of (ii) Promoting education,
the society, comprising including special education
school dropouts, SSC, and employment enhancing The Apparel
Uttar Lucknow
127 Post Higher Secondary vocation skills especially among Yes 3 years 0.88 0.88 - No Training & Design
Pradesh and Noida
School learners as children, women, elderly and the Centre HCL
well as graduates differently abled and livelihood
who are unemployed, enhancement projects
underemployed or
employed in low
productivity occupations
with low wages
(ii) Promoting education,
including special education
and employment enhancing
Drama in Education, Uttar The Kutumb
128 vocation skills especially among Yes Noida 3 years 0.25 0.25 - No
Training of youth Pradesh Foundation
children, women, elderly and the
differently abled and livelihood
enhancement projects
(ii) Promoting education,
including special education
Training of Youth and employment enhancing
Uttar TNS India
129 from Disadvantaged vocation skills especially among Yes Noida 3 years 0.28 0.28 - No
Pradesh Foundation
Backgrounds in Cities children, women, elderly and the
differently abled and livelihood
enhancement projects
(ii) Promoting education,
including special education
Skill Development of and employment enhancing
Uttar
130 Youths in trades like vocation skills especially among Yes Noida 3 years 0.12 0.12 - No Udayan Care
Pradesh
tally & computer literacy children, women, elderly and the
differently abled and livelihood
enhancement projects

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(iv) Ensuring environmental

sustainability, ecological balance, Dangs
Keeping Indigenous
protection of flora and fauna, Maharashtra, (Ahwa),
Bees Buzzing and
animal welfare, agroforestry, Gujarat, Valsad, Under the Mango
131 Supporting Biodiversity Yes 5 Years 0.74 0.74 - No
conservation of natural resources Madhya Palghar, Tree Society
Conservation in Tribal
and maintaining quality of soil, air Pradesh Mandla and
Communities
and water Chindwara
(x) Rural development projects
(iv) Ensuring environmental
sustainability, ecological balance,
Rejuvenation and
protection of flora and fauna,
Maintenance of Kodi United Way of
132 animal welfare, agroforestry, Yes Karnataka Bangalore 3 Years 0.79 0.79 - No
Singasandara and Bidru Bengaluru
conservation of natural resources
lake
and maintaining quality of soil, air
and water
(i) Eradicating hunger, poverty
Born Learning and malnutrition, promoting United Way of
133 Yes Karnataka Bangalore 3 Years 0.82 0.82 - No
Campaign health care including preventive Bengaluru
health care and sanitation
(ii) Promoting education,
AMMA Project - Mahila including special education
Mitra, with Vijayawada and employment enhancing
Andhra Vasavya Mahila
134 city police for safe city vocation skills especially among Yes Vijayawada 3 Years 0.51 0.51 - No
Pradesh Mandali
initiative, family counseling
children, women, elderly and the
and capacity building differently abled and livelihood
enhancement projects
Reproductive health (i) Eradicating hunger, poverty
and fertility indicators in and malnutrition, promoting Uttar
135 Yes Lucknow 3 Years 0.23 0.23 - No Vatsalya
the urban poor living in health care including preventive Pradesh
slums health care and sanitation
(iii) Promoting gender equality,
empowering women, setting up
homes and hostels for women
and orphans; setting up old
Community Based
age homes, day care centers West
136 Rehabilitation Project for Yes Kolkata 3 Years 0.27 0.27 - No Voice of World
and such other facilities for Bengal
Persons with Disabilities
senior citizens and measures
for reducing inequalities faced
by socially and economically
backward groups
Directors’ Report

(i) Eradicating hunger, poverty Tamil

Chennai,
Promoting Swachh and malnutrition, promoting Nadu
137 Yes Madurai 3 Years 0.71 0.71 - No WASH Institute
Slums health care including preventive and Uttar
and Noida
health care and sanitation Pradesh
135
 Mode of

136
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)
Securing Baghmara
–Balpakram elephant (iv) Ensuring environmental
corridor by notifying 1000 sustainability, ecological balance,
hectares corridor forest as protection of flora and fauna,
South Garo Wildlife Trust of
138 Village Reserve Forests animal welfare, agroforestry, Yes Meghalaya 3 Years 1.27 1.27 - No
Hills India
(VRFs), for unhindered conservation of natural resources
movement of elephants and maintaining quality of soil, air
and other wildlife in Garo and water
Green Spine, Meghalaya
Co-creating content
and knowledge to
(iv) Ensuring environmental
make the environment
sustainability, ecological balance,
an important and
protection of flora and fauna,
inseparable part of the Uttar World Comics
139 animal welfare, agroforestry, Yes Lucknow 3 Years 0.14 0.14 - No
primary and secondary Pradesh India
conservation of natural resources
education by using
and maintaining quality of soil, air
with the Grassroots
and water
Comics methodology in
classroom teaching
Youth Health Mela,
Tamil
(i) Eradicating hunger, poverty Madurai 3 Years 0.14 0.14 - No Cancer Institute
Cancer Prevention Nadu
and malnutrition, ‘promoting (WIA)
140 through Primary and Yes
health care including preventive Youth Health Mela,
Secondary prevention Tamil
health care and sanitation Chennai 3 Years 0.80 0.80 - No Cancer Institute
Nadu
(WIA)
Promoting Quality (ii) Promoting education,
Education through including special education
a culture of peace and employment enhancing Jammu
Bal Raksha
and safe learning vocation skills especially among and Budgam,
141 Yes 5 Years 0.96 0.96 - No Bharat (Save the
environments for the children, women, elderly and the Kashmir, Leh
Children)
most marginalized differently abled and livelihood Leh
children of Jammu & enhancement projects
Kashmir (x) Rural development projects
Address and Alleviate
distress among
homeless persons
with psychosocial (i) Eradicating hunger, poverty
disabilities through and malnutrition, ‘promoting Tamil
142 Yes Chennai 3 Years 0.43 0.43 - No The Banyan
public discourse ad health care including preventive Nadu
social action through health care and sanitation
outreach and emergency
mental health care and
rehabilitative services
Care and Socio- (i) Eradicating hunger, poverty
Economic Resilience and malnutrition, ‘promoting Amici di Raoul
143 Yes Karnataka Bangalore 3 Years 0.13 0.13 - No
Building among health care including preventive Follereau
vulnerable communities health care and sanitation

Mode of
Location of the project Amount
Amount Implementation -
transferred to
Amount spent in Through
Item from the list of activities Local Unspent CSR Mode of
Name allocated the Implementing
Sl. in Schedule VII to the Act area Project Account for Implementa
of the for the current Agency
No. (with respective clause (Yes/ duration the tion - Direct
Project State District project financial Name of the
numbers) No) project as per (Yes/No)
(in A/crores)* Year Implementing
Section 135(6)
(in A/crores) Agency
(in A/crores)

(ii) Promoting education,

including special education
Counselling and
and employment enhancing
Vocational Training Uttar
144 vocation skills especially among Yes Noida 3 Years 0.14 0.14 - No Books for all
of students of Inter Pradesh
children, women, elderly and the
Colleges in Noida
differently abled and livelihood
enhancement projects
Uttar Noida/
(ii) Promoting education, Pradesh/ Chennai/
including special education Tamil Nadu/ Bangalore/
and employment enhancing Karnataka/ Lucknow/
Skill Development of
145 vocation skills especially among Yes Telangana/ Nagpur/ 3 Years 1.07 1.07 - No HCL Foundation
Underprivileged Youths
children, women, elderly and the Andhra Pune/
differently abled and livelihood Pradesh/ Vijayawada/
enhancement projects Maharashtra Hyderabad/
Madurai
Uttar Noida/
(iv) Ensuring environmental Pradesh/ Chennai/
sustainability, ecological balance, Tamil Nadu Bangalore/
protection of flora and fauna, /Karnataka/ Lucknow/
Protection of Flora and
146 animal welfare, agroforestry, Yes Telangana/ Nagpur/ 3 Years 0.48 0.48 - No HCL Foundation
Fauna, Animal Welfare
conservation of natural resources Andhra Pune/
and maintaining quality of soil, air Pradesh/ Vijayawada/
and water Maharashtra Hyderabad/
Madurai
TOTAL 168.95 168.95

Note: The implementing agencies are in the process of applying for their CSR Registration Numbers.

* The “amount allocated for the ongoing project” refers to the amount allocated for FY 2020-21 only for the respective on-going project. The amounts for the subsequent financial years
for the said on-going projects will be allocated in the respective subsequent financial years.
Directors’ Report
137
 (c) Details of CSR amount spent against other than ongoing projects for the financial year:

138
Location of the project Mode of
Local Mode of
Item from the list of Amount spent implementation
Sl. Name of the area implementation -
activities in schedule VII to the Act for the project -
No. Project (Yes/ State District Through implementing
(with respective clause numbers) (in A/crores) Direct
No) agency Name
(Yes/No)
Focus on early recovery (xii) Disaster management, including
activities to ensure restoration relief, rehabilitation and reconstruction
of normalcy and mitigation activities
24 South
1 of future risks across eleven Yes West Bengal 0.53 No Sabujh Sangha
Pargana
Gram Panchayats (GP) of four
blocks of South 24 Parganas,
West Bengal
Response Mechanism through (xii) Disaster management, including
Relief and Build Back work relief, rehabilitation and reconstruction
24 South
towards Devastation caused by activities 0.45 No Child in Need Institute
Pargana
Amphan - in Falta Block of South
24 Pargana District in West
Yes West Bengal
2 Bengal in 10 villages of 3 blocks
namely Hingalgunge, Basanti Development Research
and Sandeshkhali II of the two Sunderbans 0.47 No Communication and
districts of Sundarbans that is Service Centre
South and North 24 Parganas
(xii) Disaster management, including
3 Wildlife Emergency relief, rehabilitation and reconstruction Yes Assam Valley 0.35 No Wildlife Trust of India
activities
Study for System (xii) Disaster management, including
Strengthening in Uttarakhand relief, rehabilitation and reconstruction
4 Yes PAN India PAN India 1.15 No Sphere India
State and SMART CITIES activities
Mission
Build Back Better (oxygen (xii) Disaster management, including
concentrator, hygiene kits relief, rehabilitation and reconstruction
for elderly people, food kits, activities Jammu and Srinagar, She Hope Society for
5 Yes 0.37 No
provision of sanitary napkins, Kashmir Gander Bal Women Entrepreneurs
teaching learning materials
etc.)
Project supports in terms of (xii) Disaster management, including
the Dry Ration Distribution to relief, rehabilitation and reconstruction
deprived families of our project activities
area, making awareness
6 Yes Uttar Pradesh Lucknow 0.24 No Aawahan the New Voice
of COVID-19, having Wash
component and providing
livelihood generation activities
to women
Call for Action Towards (xii) Disaster management, including
COVID-19 (Dry Ration Kit relief, rehabilitation and reconstruction
Humanitarian Aid
7 and Personal Hygiene activities Yes Karnataka Bangalore 0.5 No
International
kit distribution for 250
Households)
Providing livelihood support (xii) Disaster management, including
Hazaribagh
the migrants’ community relief, rehabilitation and reconstruction
8 Yes Jharkhand and West 0.37 No Srijan Foundation
during the pandemic of activities
Singham
COVID-19

Location of the project Mode of

Local Mode of
Item from the list of Amount spent implementation
Sl. Name of the area implementation -
activities in schedule VII to the Act for the project -
No. Project (Yes/ State District Through implementing
(with respective clause numbers) (in A/crores) Direct
No) agency Name
(Yes/No)
COVID-19 relief and restoration (xii) Disaster management, including
– in Tuensang – Nagaland relief, rehabilitation and reconstruction Mon and Eleutheros Christian
Nagaland` 0.23 No
(Support to Longpang PHC activities Longleng Society
and Ensuring safety of frontline
9 Yes Indian Association for
workers like ASHA, Nurse etc.) Tamil Nadu Madurai 0.52 No
and in Madurai (Providing food the Blind
security for visually challenged), Ahmedabad Gujrat Mahila Housing
Gujrat 0.67 No
and in Ahmedabad & Surat and Surat Trust
Restoring livelihoods and (xii) Disaster management, including
Andhra
De-risking COVID-19 affected relief, rehabilitation and reconstruction Tirupati,
Pradesh, SOS Children Village
10 families through food security activities Yes Bhubaneswar 0.50 No
Odisha and of India
and stabilizing the Self-Help and Shillong
Meghalaya
Groups of women
Action towards COVID-19 (xii) Disaster management, including
response (Migrant Resilience relief, rehabilitation and reconstruction
Collaborative to Strengthen activities Madhya Damoh, Jan Sahas Social
11 Yes 0.38 No
Social Protection Schemes for Pradesh Panna Development Society
Laborers Returning to Source
District in COVID-19 Crisis)
COVID – 19 Chennai (Providing (xii) Disaster management, including
resources to children to be relief, rehabilitation and reconstruction
12 Yes Tamil Nadu Chennai 0.17 No Tulir Charitable Trust
able to complete their Board activities
exams)
(xii) Disaster management, including Maharastra, Nagpur,
COVID 19 - Reducing
relief, rehabilitation and reconstruction Andhra Pune,
community transmission and
13 activities Yes Pradesh, Vijayawada, 1.75 No Caritas India
hunger in highly impacted
Telangana and Hyderabad
cities in India
Rajasthan and Jaipur
Financial support in (xii) Disaster management, including
connection with social relief, rehabilitation and reconstruction
Sikar and Social Action for Rural
14 and economic support for activities Yes Rajasthan 0.26 No
Naguar Advancement
vulnerable groups during
COVID-19 emergency situation
(xii) Disaster management, including
relief, rehabilitation and reconstruction
Developing an e-course
activities.
on laboratory testing for
(ix) (a) Contribution to incubators Indian Institute of Public
15 diagnosis of COVID-19 for Yes Gujarat Gandhinagar 0.18 No
funded by Central Government or Health Gandhinagar
healthcare professionals and
State Government or any agency or
frontline workers 
Public Sector Undertaking of Central
Government or State Government
Construction of 30 Rainwater (xii) Disaster management, including
16 harvesting structures through relief, rehabilitation and reconstruction Yes Rajasthan Karauli 0.40 No Tarun Bharat Sangh
a community driven approach activities
Directors’ Report

Ensuring the effective (xii) Disaster management, including

implementation of MGNREGS relief, rehabilitation and reconstruction Chittaurgarh
Foundation for
17 and strengthening the reach activities Yes Rajasthan and 0.40 No
Ecological Security
of different entitlement and Pratapgarh
139

welfare project to last miles

 Location of the project Mode of

140
Local Mode of
Item from the list of Amount spent implementation
Sl. Name of the area implementation -
activities in schedule VII to the Act for the project -
No. Project (Yes/ State District Through implementing
(with respective clause numbers) (in A/crores) Direct
No) agency Name
(Yes/No)
Rehabilitation & Livelihood (xii) Disaster management, including
Revival and Health care for relief, rehabilitation and reconstruction
Pardada Pardadi
18 over 100 villages of Anupshahr activities Yes Uttar Pradesh Bulandsahar 0.60 No
Educational Society
in Bulandshahr district, Uttar
Pradesh
Mission Gaurav (Linking (xii) Disaster management, including
migrants and their families relief, rehabilitation and reconstruction
19 with Government schemes and activities Yes Rajasthan Nagaur 0.22 No Urmul Khejadi Sansthan
entitlements thru Apna Sewa
Kendra)
Rescuing and rehabilitating (xii) Disaster management, including
wildlife in distress, developing relief, rehabilitation and reconstruction
20 holistic solution for the activities Yes Uttar Pradesh Mathura 0.92 No Wildlife SOS
communities- traditionally
dependent on wildlife
Provides assistance, support, (xii) Disaster management, including Madurai,
& succor to the most affected relief, rehabilitation and reconstruction Tamil Nadu, Lucknow,
elders and the communities activities Uttar Pradesh, Mumbai,
21 they live in, by meeting their Yes Maharashtra, Chennai, 0.55 No Helpage India
most basic and fundamental Karnataka and Bangalore
needs for survival and Telangana and
existence Hyderabad
(xii) Disaster management, including Maharastra,
Running of Medical isolation Mumbai,
relief, rehabilitation and reconstruction Delhi and
22 centers and Community Yes Delhi and 6.52 No Doctors For You
activities Andhra
Awareness Campaign Vijayawada
Pradesh
(xii) Disaster management, including Mumbai,
relief, rehabilitation and reconstruction Maharashtra, Kolkata,
Shraddha – Unhindered
activities West Bengal, Chennai, Childline India
23 Operationalization of Child line Yes 0.48 No
Tamil Nadu Bengaluru Foundation
1098 services
and Karnataka and all
locations
Providing financial support in (xii) Disaster management, including
connection with the ultra-poor relief, rehabilitation and reconstruction
project to support the ultra- activities Nudge Life skills
24 Yes Jharkhand Latehar 0.65 No
poor through a livelihood Foundation
project implemented in
Jharkhand
(xii) Disaster management, including Saint Hardayal
Supporting abandoned and relief, rehabilitation and reconstruction Delhi and Educational and
25 Yes Delhi 0.29 No
physically challenged elderly activities Garmukteswar Orphans Welfare
Society
Improving knowledge and (xii) Disaster management, including
enhanced access to (PPE) by relief, rehabilitation and reconstruction
frontline government health activities
26 workers and community Yes Gujarat Ahmedabad 0.90 No Oxfam India
level care service providers
working at government
hospitals

Location of the project Mode of

Local Mode of
Item from the list of Amount spent implementation
Sl. Name of the area implementation -
activities in schedule VII to the Act for the project -
No. Project (Yes/ State District Through implementing
(with respective clause numbers) (in A/crores) Direct
No) agency Name
(Yes/No)
Supporting Underprivileged (xii) Disaster management, including
Children with Disabilities relief, rehabilitation and reconstruction
27 Yes West Bengal Kolkata 0.21 No Voice of World
through Food, Health & activities
Rehabilitation services
(ii) Promoting education, including special
To Improve Learning outcomes education and employment enhancing
28 and co-curricular pursuits of vocation skills especially among children, Yes Karnataka Bangalore 0.24 No Reaching Hand
Govt schools children women, elderly and the differently abled
and livelihood enhancement projects
(ii) Promoting education, including special
education and employment enhancing
vocation skills especially among children,
women, elderly and the differently abled
Providing resources and space and livelihood enhancement projects
Kochi Biennale
29 for artists to create, learn, and (v) Protection of national heritage, art and Yes Kerala Kochi 0.49 No
Foundation
exhibit culture including restoration of buildings
and sites of historical importance and
works of art; setting up public libraries;
promotion and development of traditional
art and handicrafts
(i) Eradicating hunger, poverty and
Addressing primary health malnutrition, promoting health care
issues in Community, schools, including preventive health care and
AWCs CHC / PHC’s workers. sanitation including contribution to Gramoday Samajik
30 Yes Rajasthan Pali 0.22 No
Safe drinking water availability the Swach Bharat Kosh set-up by the Sansthan
and better nutrition provision Central Government for the promotion
Pali of sanitation and making available safe
drinking water
(ii) Promoting education, including special
education and employment enhancing
vocation skills especially among children,
women and the differently abled and
Educating and empowering
livelihood enhancement projects
a majority of marginalized
(iii) Promoting gender equality, Foundation for
adolescents in the age group
31 empowering women, setting up homes Yes Rajasthan Pali 0.89 No Education and
of 11-20 years in the project
and hostels for women and orphans; Development
villages to become harbingers
setting up old age homes, day care
of social transformation.
centers and such other facilities for senior
citizens and measures for reducing
inequalities faced by socially and
economically backward groups
Eradicating TB and achieving (i) Eradicating hunger, poverty and
mission of the PM/UN Goal 3 malnutrition, promoting health care
Himachal
32 through a community driven, including preventive health care and Yes Kullu 0.66 No Operation Asha
Pradesh
Directors’ Report

patient centric low-cost model sanitation

in rural (x) rural development projects
141
 Location of the project Mode of

142
Local Mode of
Item from the list of Amount spent implementation
Sl. Name of the area implementation -
activities in schedule VII to the Act for the project -
No. Project (Yes/ State District Through implementing
(with respective clause numbers) (in A/crores) Direct
No) agency Name
(Yes/No)
Study with Brookings India (x) Rural development projects
on Governance in NGOs & Brookings Institution
33 Yes Uttar Pradesh Noida 0.15 No
Corporate perspectives on India Center
governance & impact in CSR
(iv) Ensuring environmental sustainability, Uttar
Karnataka,
ecological balance, protection of flora Kanada,
Bridging Research, Society Kerala, Ashoka Trust for
and fauna, animal welfare, agroforestry, Alapuzzha,
34 and Stakeholders for India’s Yes Tamil Nadu, 0.25 No Research in Ecology
conservation of natural resources and Tirunelveli,
Water Security Uttarakhand, and the Environment
maintaining quality of soil, air and water. Almora,
West Bengal
(x) Rural development projects Jalpaiguri
(i) Eradicating hunger, poverty and
malnutrition, promoting health care
Employable Skills training for
35 including preventive health care and Yes Tamil Nadu Tenaksi 0.25 No Amar Seva Sangam
Rural youth with disabilities
sanitation
(x) Rural development projects
State Level Breastfeeding (i) Eradicating hunger, poverty and
Reports and Capacity malnutrition, promoting health care Breastfeeding
36 building of front-line workers including preventive health care and Yes Uttar Pradesh Noida 1.16 No Promotion Network of
to promote exclusive sanitation India
breastfeeding in 1700 women
TOTAL 25.56

Note: The implementing agencies are in the process of applying for their CSR Registration Numbers.
(d) Amount spent in Administrative Overheads – ₹0.64 crores
(e) Amount spent on Impact Assessment, if applicable - NIL
(f) Total amount spent for the financial year – ₹195.15 crores
(g) Excess amount for set- off, if any
S. No. Particulars Amount
(`/crores)
1 Two percent of average net profit of the Company as per Section 135(5) 194.00
2 Total amount spent for the financial year 195.15
3 Excess amount spent for the financial year 1.15
4 Surplus arising out of the CSR projects or programmes or activities of the previous financial years, if any -
5 Amount available for set off in succeeding financial years 1.15

9. (a) Details of Unspent CSR amount for the preceding three financial years:
S. No. Preceding Financial Amount transferred to Amount spent in the Amount transferred to any fund specified under Schedule VII Amount remaining
Year Unspent CSR Account reporting Financial as per Section 135(6), if any to be spent in
under Section 135 (6) (in ₹) Year (in ₹) succeeding financial
Name of the Fund Amount (in ₹) Date of transfer years (in ₹)
NA

(b) Details of CSR amount spent in the financial year for ongoing projects of the preceding financial year(s):
Cumulative
Amount spent on Status of
Financial Year in Total amount amount spent
Name of the Project the project in the the project -
S. No. Project ID which the project allocated for the at the end of
Project duration reporting Financial Completed /
was commenced project (in ₹) reporting Financial
Year (in ₹) Ongoing
Year(in ₹)
NIL

10. In case of creation or acquisition of capital asset, furnish the details relating to the asset so created or acquired through CSR spent in the financial year: Not Applicable
(a) Date of creation or acquisition of the capital asset(s).
(b) Amount of CSR spent for creation or acquisition of capital asset.
(c) Details of the entity or public authority or beneficiary under whose name such capital asset is registered, their address etc.
(d) Provide details of the capital asset(s) created or acquired (including complete address and location of the capital asset).

11. Specify the reason(s), if the Company has failed to spend two per cent of the average net profit as per Section 135(5)
Not Applicable for FY 2020-21.

______________________ ___________________

Shiv Nadar Roshni Nadar Malhotra

Managing Director and Chairperson - CSR Committee
Chief Strategy Officer Chairperson - HCL Technologies Limited

Place: New Delhi, India

Date: April 23, 2021
Directors’ Report
143
 Annexure 4 to the Directors’ Report A summary of the above-mentioned operational efficiency related interventions is tabulated as below: -

Particulars pursuant to section 134(3)(m) of the Companies Act, 2013 read with the Companies (Accounts) Rules, 2014 Carbon
FY 20-21 Footprint
S. No. Intervention Particulars
(MWh) Reduction
a) Conservation of Energy & Water Energy savings accrued towards interact LED, non-interact (tCO2)
LED and efficient lighting controls has enabled the Company Energy Related Interventions
Renew Ecosystem to save 3,821 MWh of absolute energy consumption during 1 Renewable Power Purchase 24,115 20,015
the financial year ended March 31, 2021 which has helped Total 24,115 20,015
As a responsible corporate, the Company believes that it has to reduce 3,172 tCO2e* (Ton of Carbon Emission) of
got accountability to the future and an imperative role to play carbon footprint. Under capex investment of ₹24.6 lakhs, Operational Related Interventions
in addressing global energy challenges, climate change and conventional lightings have been replaced with LED lightings 2 Chiller Operational Performance Improvement 361 300
environmental sustainability. The Company has made a commitment for energy conservation and optimization. In addition, LED 3 HVAC Operational Performance Improvement 748 621
to conserve the environment by adopting “Go Green Initiatives” lightings implemented under Project URJA in financial year 4 Energy Efficient Lighting and Control 3,821 3,172
and being responsible for energy and water management in its ended March 31, 2016 has continued to save energy and
area of operations and perform energy efficiency by consuming contributed significantly in savings of 3,449 MWh of energy 5 Effective utilization of UPS 909 755
energy and water in an efficient, economical and environment during the financial year ended March 31, 2021in reference to 6 Elevator & STP Operation optimization 37 31
friendly manner throughout all its premises. base year and this is being tracked till the payback period. Total 5,876 4,879
Grand Total 29,991 24,894
The initiatives and good practices adopted by the Company during 5. Effective Utilization of UPS - Effective utilization of UPS
the financial year 2020-21 that attributed towards reduction in systems in the shortlisted facilities has been realized and Conversion Reference Grid Emission Factors - CO2 Baseline Database for the Indian Power Sector 2019. Weighted average emission factor of the
carbon footprint are described below: efficiency of existing UPS systems has been increased by using Indian Grid taken in tCO2e/MWh.
energy efficient units as per load demand and by switching off
1. Renewable Power Purchase - In continuation with its overcapacity UPS’s. This has enabled the Company to save FY20-21
S. No Water Related Intervention Particulars HCL Facility Covered
commitment to reduce “carbon footprint”, the Company has 909 MWh of absolute energy consumption during the financial (KL)
procured renewable power equal to 24,115 MWh for its year ended March 31, 2021 and has helped to reduce 755 1 STP treated water use 43,546 Noida Sector 126 Campus
major campuses during the financial year ended March 31, tCO2e* (Ton of Carbon Emission) of carbon footprint. Noida Sector 126 Campus &
2021. The source of purchased power was wind, solar and 2 Water aerators 1,883
Rest of NCR facilities
hydel based electricity. This much of green power purchase Under capex investment of ₹52 lakhs, energy efficient products Lucknow SEZ & STPI
has enabled the Company to reduce 20,015 tCO2e* (Ton of have been installed in Chennai Ambattur 3 & 5 facilities and 3 Water reuse 39
facilities
Carbon Emission) of carbon footprint over other available conventional UPS systems having efficiency of 89% have been
power resources like Grid and Captive. 1,918 MWh generated replaced with latest technology (EXMIGBT front end) rectifier Noida Sector 126 Campus,
from onsite solar plant installations has contributing to 7.8% of system having efficiency of 95%, which has improved system Bangalore Jigani Campus
4 Water efficient operational controls 2,213
overall consumption across India and renewable power has efficiency. By validating the physical consumption pattern and Chennai Ambattur - 5 &
contributed to 13.3% of overall PAN India YTD consumption. before vs after implantation of this initiative, consumption 6 facilities
reduction in terms of efficiency improvement of 20% has been Grand Total 47,681
2. High Side: Chiller Operational Performance Improvement evidenced. In addition to that, the overall UPS size has been
- Chiller performance improvement program has been enabled downsized from 680 KVA to 420 KVA based on load demand.
in all major facilities of the Company and effectiveness of b) TECHNOLOGY ABSORPTION, ADAPTATION, AND finance and delivery have been further augmented with contextual
cooling towers has improved with the help of auto chemical 6. Elevator & STP Operation Optimization - Revised operating INNOVATION collaboration. New composite user cases have also been added
dozing, fills replacement, condenser descaling and equipment schedule of elevators during weekends and non-business in earlier solutions. Digital analytics platform has been extensively
performance measurements activities. This has enabled the hours (low footprint timings) has been adopted in all major The Company has made strategic investments in digital being used across management levels for actional insights for
Company to save 361 MWh of energy during the financial campuses. This has enabled the Company to save 37 MWh of transformations focused on building persona and business improved decision making in business continuity readiness. IT
year ended March 31, 2021 and has helped to reduce 300 absolute energy consumption during the financial year ended specific solutions for enterprise processes, analytics, and next asset lifecycle management has been redesigned to ensure smooth
tCO2e* (Ton of Carbon Emission) of carbon footprint under March 31, 2021 and has helped to reduce 31 tCO2e* (Ton of gen sustainable workplace norms. These solutions have helped transition to work-from-home scenario, where integrated visibility
operational investment of ₹25 lakhs. Carbon Emission) of carbon footprint under zero investment. the Company to build high efficiencies across processes, provide of asset, its usage and resource billability was a key concern area.
flexibility in deployment and project delivery and improve the In addition, application landscape has also been modernized
3. Low Side: HVAC Operational Performance Improvement 7. Water Conservation – The Company’s focus on water employee engagement levels, thereby driving superior performance and moved towards an integrated modern infrastructure platform
– Effective operation of low side HVAC systems implemented conservation has also strengthened by using treated sewage in pandemic ridden environment. The company has also invested (including investing in public & private cloud) with improved agility,
in major facilities has been ensured through energy efficient water for flushing, landscaping and soft water applications, in technologies supporting Sustainability programs. The company scalability, availability, and enterprise grade security.
unit installations, defective coils, filters replacement and rainwater collection under operational investment, dish wash is making focused investments in last three years towards digital
operational control enhancement measures such as AHU machine installations, new EWC installations, purchase of new transformations, employee productivity, security, availability, and Digital Workplace for Future
timer-based control and temperature set point changes related pneumatic pump with flow / speed control and use of 3 LPM business continuity.
activities. This has enabled the Company to save 748 MWh of water aerators in hand wash taps under the capex investment The Company has created an office productivity stack with Office
energy during the financial year ended March 31, 2021 and of ₹31.8 lakhs. All this has enabled the Company to conserve Key Platforms of Competitive Differentiation 365 (e-mail, SharePoint, One Drive and Teams) services catalogue
has helped to reduce 621 tCO2e* (Ton of Carbon Emission) 47,682 KL of ground water during the financial year ended as its core. Newly added workloads in productivity stack helps
of carbon footprint. Under capex investment of ₹48 lakhs, March 31, 2021. The Company has considered employees’ health and wellbeing employees not only to collaborate and deliver more efficiently,
existing conventional split air conditioning units have been as its topmost priority this year and it has deployed various but also help them in self-improvement by providing consolidated
replaced with star rated (3*) high energy efficient products (2 Dish water machines have been installed with a capacity of 90 applications to track the Covid positive and potential Covid cases insights on their user behavior. Microsoft Teams usage has been
TR * 2 nos.) liters for plate washing purpose in the cafeteria through which and created an integrated health assistance system in collaboration further augmented by focused change management activities and
operational efficiency has improved by moving from manual with HCL Healthcare, for employees to get timely assistance and the Company has deployed various enhanced features in Microsoft
4. Energy Efficient Lighting and Control - LED lightings are operations to system-based operations. This has reduced the guidance during crisis. This has improved employee morale and Teams platform for improved collaboration among employees and
being used in all major facilities including workspace, café / actual water consumption from 7.7 KL/day to 4.4 KL/day with trust resulting in higher productivity even during unprecedented it has become preferred mode of collaboration.
pantry, pathways and basements and operational control the overall savings of 43%. pandemic crisis.
enhancement measures such as motion sensors operating on Digital roaster optimization, hot desk capabilities, offline work
occupancy and movement and daylight harvesting feature has The design theme for the employee centric platform transformations tracking tool and cloud based VDI solutions are rolled out to enable
been installed in these areas, which has resulted in optimum is towards higher employee engagement. The Company has the new normal of ‘work-from-anywhere’, while ensuring client
usage of lights. integrated newer technologies of machine learning and ChatBot specific security guidelines. Enterprise mobility + security suite for
capabilities for empowering the employees to engage in productive mobile workforce has ensured that employees securely consume
collaborative ecosystem. Persona specific solutions for sales, and utilize cloud-based productivity services.

144 Directors’ Report 145

Improved Resilience and Security Posture 2. Autonomous Vehicle Development with Connected • Cloud-Based Wireless LAN Controller management, collaboration, etc. It is built
Car Features o Virtualized, hardware agnostic, scalable, on Microsoft development technologies and
The Company has made a delicate balance between providing secured solution for managing Wi-Fi access Microsoft Azure.
enterprise class security for its diverse scale and scope of • The aim of this initiative is to create solutions points supporting latest standards up to Wi-
operations while not compromising on consumer grade flexibility and technologies for autonomous vehicles. Its Fi 6 (802.11ax). • Union is being enhanced to integrate with
and user experience to its millennial workforce. The continuous scope has been further extended to convert this o Advanced analytics-based solution, productivity optimization systems, profile and
focus on IT base line controls has been extended towards sharper into a connected car. providing interference detection, avoidance networking systems and AI-based resource
engagement level compliance instead of broader enterprise level across access points with dynamic channel fulfillment systems for better applicability.
compliance. This is reflected in improved scores (consistently • A gasoline sedan vehicle has been retrofitted alignment and power management.
in top 3 among peer group) as per the benchmarking done by with the Company’s state-of-the-art automotive Benefits Derived
independent external security rating agencies. engineering technologies to make it a level-3 • Private Network Solutions
autonomous vehicle. o Engineered turnkey private network solution • Crowd Sourcing with quality and security
Security posture has been further improved with multi-pronged with infrastructure, applications enablement assurance.
strategy. The Company has made significant investment in newer • The typical use cases implemented in this and managed services.
capabilities like network segmentation, deception, anti-phishing, level-3 vehicle demonstrators are ‘lane keep o RMI (Real-Time Manufacturing Insights) • Utilization improvement for large enterprises
data leak protection, endpoint detection and response, application assist’ for curves and side lanes, vehicle and solution on private network provides real using the internal crowd.
security, mobile application management, data classification, obstacle detection, pedestrian detection, traffic time operation visibility from shop floor to
network access control, distributed denial of service, multi factor sign detection, speed bump detection, etc. It top floor. • Optimal solution for spike management in areas
authentication, threat intelligence, advanced threat protection, also includes predefined path planning using like testing, document services, surveys, etc.
etc. which has improved the effectiveness of deterrence. The high precision maps and high precision GPS. • TURBO – 5G Test Automation Solutions
Company has also made investment in broader coverage of o Test automation and orchestration platform • Cost optimization for in-country experience
security infrastructure with disaster recovery, high availability, • Advanced sensor fusion and deep learning helps in managing, scheduling, and testing and similar engagements.
and work-from-anywhere requirement in consideration. Further, algorithms have been implemented to ensure that monitoring test case execution for 5G
the Company has baselined its enterprise architecture and made the car runs in different environmental conditions. RAN (Radio Access Network), core and IP • Effective for diversified feedback in a short time.
necessary architectural changes in its dynamic global infrastructure (Internet Protocol) transport network.
footprint. • Technologies like V2X, V2I have also been o UE (User Equipment) controller platform 5. UNLOCSafe Product Suite
integrated for intelligent dynamic decision can test network performance KPIs for
c) RESEARCH AND DEVELOPMENT (“R&D”) making and remote controlling of some of the 4G/5G RAN (Radio Access Network) and • UNLOCSafe is a comprehensive and scalable
vehicle parameters through a mobile application core using real UE. enterprise product suite that automates
(i) Specific areas in which R&D was carried out with authorization. COVID-19 compliance measures. It adheres to
Benefits Derived data privacy standards and compliances and
1. Cochlear Implant Development • To ensure a secured connection, the communi- helps organizations monitor the workplace, raise
cation between the car and the remote server • Reduced time to rollout hybrid 5G networks alerts, respond quickly for rapid mitigation, and
• The Cochlear Implant (CI) medical device is has been established by using the Company’s and development of 5G cloud native network ensure regulatory compliances.
an advanced hearing assistance device which preparatory cyber layers. functions enables global operators to accelerate
can restore hearing to patients with “Disabling Open RAN (Radio Access Network) adoption • UNLOCSafe is comprised of in-house designed
Hearing Loss” where normal hearing aids will Benefits Derived and improve 5G monetization opportunity from products for different workplace scenarios and
not be effective. enterprise customers. is powered by AI products developed over
• An advanced platform for autonomous vehicle device / edge / cloud, deep learning, computer
• There are 360 million people worldwide who development. Future Action Plan vision and speech analytics, big data analytics,
live with Disabling Hearing Loss, out of which IoT, wearables and cloud computing. All these
88 million are in South Asia (India, Bangladesh, • Some of the concepts developed as part of this • To accelerate 5G network deployment and products are connected over a cloud platform
Nepal, Bhutan, Pakistan and Afghanistan). program are unique and positions the Company operation automation with network analytics, test which provides an integrated view of the entire
Approximately 17 million people in South Asia at the forefront of these technologies. automation, and workload orchestration solution organization. The mobile applications, cloud
could benefit from CI.  around 5G CNFs (Containerized Network solutions and AI algorithms enable complete
• Helps global customers in faster development of Functions), MEC (Multi-Access Edge Computing) automation of various manual operations.
• This device consists of an external unit (that algorithms for different applications and also in and Open RAN (Radio Access Network).
goes behind the ear) and an internal unit which improving the quality, productivity and response Benefits Derived
is surgically implanted. It is expected that time of their internal autonomous driving 4. Unison Crowdsourcing Platform
this device will give significant benefits to the programs. • A safe workplace for employees with real-time
hearing-impaired people at competitive prices. • Crowdsourcing is a solution that can help tracking of employees and other stakeholders
As part of the CI development cycle approval 3. 5G Telecom Solutions organizations manage their (talent/workforce) who have contacted the virus, quick response
from regulatory bodies, clinical trials are being demand fulfillment more effectively. However, and proactive management of situations as they
planned. • Open Wireless RAN (Radio Access Network) the adoption of crowdsourcing to address unfold.
Management Solution demand fulfillment is low due to challenges like
• Along with this device, the entire ecosystem o Contribution to opensource community to liability of crowd in case of data loss/leakage, • Automated touchless entry compliant to
software is also getting developed, comprising of increase automation and performance of quality assurance of output, security concerns, regulatory norms.
audiologist application software and rehabilitation disaggregated RAN management system. accurate forecasting of crowd needed, and their
application software which will help in the o Cognitive intelligent solution has been availability. • Automated centralized operations, end-to-end
rehabilitation of patients. introduced to the opensource community. integrated solutions for seamless operations
• Unison is an innovative crowdsourcing platform with automated reporting and notifications.
• The key technologies used in this development • High Capacity 5G Wireless Transport Solutions for end-to-end management of IT projects and
are digital signal processing techniques for o High-capacity millimeter wave modem goes beyond crowd search to include features Future Action Plan
sound processing, noise cancellation, stimuli delivers up to 25 gbps true traffic in dual like work distribution, tracking, resource
generation, RF power and data transfer, low power carrier configuration. allocation, collaboration, and reporting. • To continue to invest in further automation
technologies and miniaturized components such o The low latency modem is suitable for front- of workplace operations to include identity
as mixed signal ASIC, electrodes and implant haul applications and its modular design • Unison provides an interface to budget sponsors, authentication, automated asset tracking,
hardware. These technology areas are in an provides a scalable solution to carriers. project delivery, crowd workers and crowd automated parking with futuristic technologies to
advanced stage of development and validation. providers for effective workflow management ensure better employee experience, reduction in
and tracking and different types of integration to operation cost and greater employee safety.
other systems for crowd data sharing, machine
146 Directors’ Report 147
 6. Cloud Bridge Suite - Automate and Accelerate • To make ‘Device Connectivity Enablement’ and • AION provides flexible deployment options for Features and Benefits
the Cloud Journey ‘Patient Engagement’ modules more ready edge, embedded, web service and container-
to use to minimize overall customization and based deployments with nearly 30% reduction • BigFix Insights™: Visualize risks as well as
• Cloud Bridge suite provides organizations with a deployment time. in deployment efforts. costs, while finding endpoint issues for quick
world of options and solutions that can be custom- responses and improved security posture.
made for their unique cloud transformation 8. Intelligent Tech Support (iTS) Future Action Plan
journey, enabling business transformation • Modern Client Management: Management of
quickly through a “Cloud-First” strategy. It helps • iTS is an AI driven and machine learning based • To enhance capabilities on analytics with more Windows 10 and MacOS endpoints with simple
organizations traverse the path from on-premise advanced customer support product that uses focus on Reinforcement Learning (RL), Neural enrollment and policy management.​
to cloud in a short span of time with minimal the information mined from support history Architecture Search (NAS) and meta learning
risks and helps in realizing measurable business and various other support sources. It provides based data labeling and annotations. • Multi-cloud Management: Provides admin
benefits from cloud adoption. recommendations and predictions to the support 360-degree visibility, control and compliance of
agents and offers personalized support services • To strengthen support for edge deployment all endpoints (On premise / Cloud).
• It comes with guidance, best practices, by leveraging customer insights and data. including automated export of models to low
assessment framework, migration accelerators, footprint formats and accelerate deployment in 13. HCL Commerce V9.1.x
validation toolsets and marketplace integration • iTS comes with an AI powered intelligent assistant non-native environments.
with in-built automation and analytics. (Chatbot / Virtual Agent) with automated self- • HCL Commerce is a modern enterprise grade
learning capabilities that creates a contextualized 10. HCL SoFy for DevOps omnichannel e-commerce platform that
Benefits Derived customer engagement. automates and accelerates the creation and
• HCL SoFy is an HCL Solution Marketplace for management of online stores across multiple
• Assessment framework helps in developing Benefits Derived developers to harness the power of enterprise geographies.
comprehensive cloud migration strategies with grade solutions, products and services to
in-depth intelligent insights into on-premise • It improves the operational efficiency, throughput create, deploy and share their own Cloud–native Features and Benefits
workload and environments. and customer experience and helps in reducing solutions quickly and cost-effectively.
support ticket volume and increase in support • World Class Experience:  With this release,
• Cloud Bridge Suite automates and accelerates agent productivity. Features and Benefits the Company has the agility to create rich
the development, deployment and management buying experiences for its customers with new
of self-contained, highly maintainable and Future Action Plan • Cloud Native: Demonstrates market leadership storefronts and headless commerce.​
testable applications on cloud platform. in Cloud Native.
• To develop Augmented Reality (AR) capabilities • Optimized Merchandising:  Online merchants
Future Action Plan to empower field support engineers and • Accelerate Deployment: Dramatically can improve customer experiences through
encourage self-service which would help in accelerates deployment of HCL Software relevant search results and Natural Language
• To continue to invest in enhancing migration training engineers and customer in field. products from days and weeks to minutes. Processing​.
recommendation including hybrid models and
multi-cloud migration scenarios. • To enhance the field support and complaint • REST Services: Easy path to get started in • Accelerate time to market: The product can
handling in regulated product/service capabilities. Cloud Native with HCL Software products and be deployed in any cloud for lower Total Cost
• To build toolkits to make migration to wider target rest services. of Ownership. It has support for HCL OneDB
platforms easier and hassle-free. 9. Automated Intelligence ON (AION) Cloud-Native Database, GraphQL, Google
11. HCL AppScan V10.0 Catalog and Analytics.
• To enhance capabilities on Edge/5G with more • AION is an automated machine learning platform
focus on industry specific use-cases. which provides analytics as a service to generate • HCL AppScan is a comprehensive solution 14. HCL Digital Experience (DX) V9.5x
operational efficiencies and drive intelligent for application security testing that integrates
7. Connected Assets in Regulated Environment business decisions. It addresses the key directly into SDLC tools and DevOps toolchains • HCL DX is more than just a website development
(CARETM) Platform technology challenges related with automation and processes to continuously identify and platform. It is purpose-built to develop, deliver
of AI workflows and empowers enterprises to remediate vulnerabilities. and manage business-critical digital experiences
• CARETM platform accelerates the development focus on the outcome of the analytics process that serves the customers, employees and
of highly secure and regulatory compliant instead of building and managing the workflows. Features and Benefits partners.
applications related to medical devices and
patient engagement. • AION can be integrated as an Auto ML extension • Fast Accurate Scans: Improves scan accuracy Features and Benefits
to the digital platforms of enterprise customers. and perfection through new technologies like
• It enables remote device monitoring and control of This enables their end customers with self- ML, slicing SAST, incremental DAST and • Broadest Cloud-native platform: Deploys
medical devices and provides device data visibility service analytics, increases the overall platform CodeSweep. 10x faster with Azure and EKS and automated
to patients and health service professionals. value and provides a clear differentiator with DevOps.
respect to their competitors. • Secure DevOps: Fast and easy to use and
Benefits Derived integrates into the customer’s existing CI/CD • New Digital Asset Manager: Brand new Digital
• As a standalone hosted platform, AION provides environment with Slider, IAST and Common Asset Manager to manage digital content and
• Rapid application development in less time which rapid prototyping capabilities with more than 40+ SAST engine. media with ease.
gives clients a competitive edge with significant algorithms and advanced performance tuning
reduction in time-to-market and reduced cost of techniques for AI models. • Enterprise Management: Enterprise control, • Reimagined Content Creation: New Experience
ownership. visibility, scalability and performance providing Application Process Interfacing, Content
Benefits Derived improved governance. Composer and Web Content Management. Rest
Future Action Plan APIs to create new content in half the time.
• AION addresses up to 80% of analytics problem 12. HCL BigFix V10.0
• To enhance the CARETM platform to adapt types and reduces time to insight by up to 70%. 15. HCL Domino Volt V1.0 (CD)
to more cloud native technologies as well as • HCL BigFix is the world’s leading Unified
server-less and event-driven architecture. • AION provides easy access to the best of machine Endpoint Management Platform, enabling IT Ops • HCL Domino is a development platform that
and deep learning algorithms, enables domain and security teams to fully automate discovery, makes it easy for Line-of-Business users and
• To develop more pluggable and reusable modules experts, business users and developers to rapidly management and remediation regardless of developers to develop powerful, secure and
along with DevOps framework to strengthen the build AI solutions and reduce development effort operating system, location or connectivity.  enterprise-grade applications. HCL Domino
security, data handling and regulatory compliance up to 40%. Volt is the rapid low-code application based on
capabilities of existing platforms. Domino.
148 Directors’ Report 149
 Features and Benefits • Integrated Platform:  The product is a fully • Architecture for the Future with support for 25. HCL Version Vault V2.0/Compass V2.0
integrated platform for goal-based marketing agent relays, HELM 3 and RedHat marketplace​.
• Faster Application Building:  This release module called Journey. It also comes with a • HCL Version Vault is a secured version control
allows customers to build applications 60-70% low-code integration framework called Link and 22. HCL Link 1.1 and configuration management software that
faster with forms, views and spreadsheets.​ comes with Unica Power Packs. accesses, tracks and manages changes for all
• HCL Link provides an easily leveraged integration product’s artifacts throughout the entire product
• Powerful Low-Code Capabilities: Gives more • Delivery Without Limits:  The latest version component enabling seamless integration lifecycle.
power without having to code applications using also has support for e-mail, SMS and social capabilities for HCL Software offerings, as well
traditional long-version programming language to apps with integrated messaging through Unica as a robust platform that accelerates integration • HCL Compass is a Low-Code / No-Code
business users for building enterprise applications.​ Deliver. of many applications and diverse data across change management software for enterprise
an enterprise’s on premise, cloud or hybrid level scaling, process customization and control
• Powered by Domino: Domino Volt offers low- 19. HCL Discover V12.1.x environments. to accelerate project delivery and increase
code tools with enterprise-grade scale and developer productivity.
functionality. • HCL Unica Discover provides deep behavioral Features and Benefits
insights into the online user journey, leading Features and Benefits
16. HCL Connections V7.0 to positive experiences and increased online • Integration simplified by wizards and
conversion. debugging capabilities. • Integration with Review Board.
• HCL Connections is the digital workplace that
brings all the employees and their communities Features and Benefits • Inside Link which is easy to bundle, deploy, use • Consumability with support for Docker and Azure.
together to solve business problems, share and extend.
expertise and contribute to the company’s • Struggle Resolution: Detects and addresses • Performance and Scalability with automatic
culture. user struggle in real time. • Activation of data using broad set of powerful views on Linux.
modern connectors to access data.
Features and Benefits • Rich Behavior Insights: Improves user 26. HCL Workload Automation Hub
experience by capturing and analyzing 23. HCL OneDB V1.0
• Support for Microsoft Ecosystem with Teams, behavioral data. • HCL Workload Automation is a critical component
SharePoint, Outlook Add-In, and Office365. • HCL OneDB is a new data management platform of the digital modern enterprise that ensures
• Business Impact Analytics: Visibility into for businesses looking to solve their multi– business availability and resiliency. Customers
• Tailored Community Experience with reusable business impact and opportunities. model, hybrid data management challenges. It orchestrate, initiate, run and manage digital
templates, layout & customizations and simplified is targeted to be the database of choice for HCL business processes from legacy to cloud and
community. 20. HCL Accelerate V2.0 Software products. K8s systems.

• Cloud-native Deployment on OpenShift & • HCL Accelerate is a value stream management Features and Benefits Features and Benefits
Amazon EKS for new add-on capabilities. platform that integrates with different tools within
DevOps tools chain and gathers insights into • Cloud Native Database: Fully automated • Orchestrate  Business Critical Processes
17. HCL Sametime V11.5 DevOps processes, identifies bottlenecks, and orchestration and scaling through K8S. (ERP, RPA, File Transfer, and Cloud Automation).
automates release processes by bringing all
• HCL Sametime is a proven and trusted meetings DevOps data together. It also helps visualize and • Easy administration: Automated database • Delegate Business Control by enhancing
platform, built for how today’s modern organizations optimize the continuous delivery value stream. management.  the monitoring experience. 
need to be working - nimbly, securely, and
remotely, all while reducing operational costs. Features and Benefits • Accelerate Adoption with Wire Protocol / API • Optimize file transfer operations.
Compatibility: Multi-Model (supports any data-
Features and Benefits • Value Stream Optimization  from idea to type & data-source). • Mainframe Evolution by Integrations with
production using machine learning and new ZOWE (Open Mainframe Project) for rest APIs.
• Own Your Meeting and Data: This release lets value stream metrics.​ 24. HCL OneTest Studio V10.1
companies own their own meeting data with 27. HCL ZIE Win 1.1/Web 1.0, ZAO 2.1
rock-solid privacy, encryption and auditability. It • DevOps Automated Governance  and team • HCL OneTest is a collection of software testing
deploys on secure private Cloud or on premise. performance optimization with gating-based tools supporting DevOps approach. It offers • HCL Mainframe provides essential solutions for
policy management and out-of-the-box reports.​ User Interface Testing, Performance Testing, mainframe users to optimize, modernize and enable
• Get off Runaway Pricing: Customers can take API Testing, Synthetic Data Generation and innovation with their mainframe investments.
control of their video conference costs and pay • Enterprise Scale & Insights with large-scale Service Virtualization.
for functionality that you use. services leveraging container technology​ and Features and Benefits:
new plugins. Features and Benefits
• Reinvent Video Conference into true “Digital • ZIE: ZIE for Windows for day-to-day basic
Office” for employees by combining open- 21. HCL Launch V7.1 • #1 for Enterprise: Android mobile native terminal emulation needs and ZIE for web helps
source projects and HCL innovations. testing, cross-domain control identification and transition to current web-based emulation world.
• HCL Launch automates application deployments cloud-native support for service virtualization.
18. HCL Unica V12.1.0.x across IT environments and provides quick • ZAO: Simplified license verification by comparing
feedback for continuous delivery, while providing • #1 for Testers: UI extensibility framework, software licenses against their actual usages
• HCL Unica is an integrated, cloud-native the audit trails, versioning and approvals needed export of new functional test reports as PDF/ and practical innovation to simplify everyday
marketing platform that powers precision in production. HTML and Jmeter test type support. tasks. Unlock software asset information using
marketing at scale. rest APIs to access asset management data.
Features and Benefits • #1 for Coverage: Business driven development
Features and Benefits for OneTest Application Process Interface,
• Prioritized customer needs  with UCD cluster improved performance and reliability when
• Cloud-native:  Customers can deploy the enhancements, improved performance and recording test scripts.
software product on premise or on preferred support of Z/OS platform.​
cloud of their choice – AWS, Azure, GCP or
OpenShift by using HCL SoFy. • Modernization of Continuous  Delivery with
external approvals, deployment triggers and
automation-as-code​.
150 Directors’ Report 151
 28. HCL Volt MX V9.0, V9.1, V9.2 (Temenos) Activities relating to exports, initiatives taken to increase the Annexure 5 to the Directors’ Report
exports, development of new export markets for products and
• HCL Volt MX is an industry-leading low-code services and export plans.
app-dev platform that empowers professional Directors’ Responsibility Statement as required under section 134(3)(c) of
developers, enterprise architects and digital
designers to rapidly deliver consumer-grade
During the year, a substantial portion of the revenue of the
Company was derived from the exports.
the Companies Act, 2013
apps, integrate diverse and complex systems
and add innovative experiences that meet ever- The foreign exchange earned and spent by the Company
evolving customer expectations. during the year under review is as follows:  a) The financial statements have been prepared in accordance with the accounting standards issued by the Institute of Chartered
(₹ in crores) Accountants of India and the requirements of the Companies Act, 2013 to the extent applicable to the Company. There have been no
Features and Benefits material departures from prescribed accounting standards while preparing these financial statements;
Year ended
• Modern and Responsive Web Experiences with Particulars March March b) The Board of Directors has selected the accounting policies described in the notes to the accounts, which have been consistently
capability, productivity and tooling enhancements. 31, 2021 31, 2020 applied, except where otherwise stated. The estimates and judgments relating to the financial statements have been made on a
prudent basis, in order that the financial statements reflect in a true and fair manner, the state of affairs of the Company as at March
• Enterprise DevOps & Automated Testing with Foreign exchange earnings 31,907 29,195 31, 2021 and the profit of the Company for the year ended on that date;
enhancements to the application workflow. Foreign exchange outgo
c) The Board of Directors has taken proper and sufficient care for the maintenance of adequate accounting records in accordance with
• Fabric Backend Services Updates. - Expenditure in foreign currency 6,922 6,913 the provisions of the Companies Act, 2013 for safeguarding the assets of the Company and for preventing and detecting fraud and
- CIF value of imports other irregularities;
(ii) Expenditure on R&D for the years ended March 31,
2021 and March 31, 2020 are as follows:          Capital goods 175 163 d) The annual accounts have been prepared on a going concern basis;
(₹ in crores)          Others 348 344
Year ended e) The Board of Directors has laid down internal financial controls to be followed by the Company and that such internal financial
- Dividend remitted in foreign currency 510 224 controls are adequate and are operating effectively; and
Particulars March March
31, 2021 31, 2020 7,955 7,644
f) The Board of Directors has devised proper systems to ensure compliance with the provisions of all applicable laws and that such
Amount charged to statement of systems are adequate and operating effectively.
473 381
profit and loss
R&D expenditure as a For and on behalf of the Board of Directors
1.33% 1.17% of HCL Technologies Limited
percentage of revenues
For and on behalf of the Board of Directors
of HCL Technologies Limited
d) FOREIGN EXCHANGE EARNINGS AND OUTGO

The Company is an export-oriented unit and majority of the Place: New Delhi, India ROSHNI NADAR MALHOTRA
Information Technology and Business Process Outsourcing Date: April 23, 2021 Chairperson Place: New Delhi, India ROSHNI NADAR MALHOTRA
services by the Company are for clients outside India. Date: April 23, 2021 Chairperson

152 Directors’ Report 153

 CORPORATE GOVERNANCE REPORT 3. Mr. Simon John England (DIN - 08664595) was appointed Re-appointment after the close of the financial year under
as an Additional Director by the Board of Directors of the review:
Good governance facilitates efficient, effective and entrepreneurial prosperity and to act in the best interest of the Company. The Company w.e.f. January 16, 2020, to hold office as an
management that can deliver stakeholder value over long term. Board plays a critical role in overseeing how the management Independent Director up to the date of the Twenty-Eighth AGM 1. Ms. Nishi Vasudeva (DIN – 03016991) was appointed as
It is about commitment to values and ethical business conduct. It serves the short-term and long-term interests of shareholders and held on September 29, 2020. At the Twenty-Eighth AGM, he an Independent Director of the Company at the Twenty-
is a set of laws, regulations, processes and customs affecting the other stakeholders. This is reflected in the Company’s governance was appointed as an Independent Director not liable to retire Fourth AGM held on September 27, 2016, for a period of five
way a company is directed, administrated, controlled or managed. practices, through which it strives to maintain an active, informed by rotation, to hold office for a term of five consecutive years consecutive years w.e.f. August 1, 2016 to July 31, 2021.
and independent Board. The Board ensures that the Company from January 16, 2020 till January 15, 2025. Pursuant to the recommendations of the Nomination and
Good corporate governance underpins the success and integrity of complies with all relevant laws, regulations, governance practices, Remuneration Committee, the Board in its meeting held on
the organizations, institutions and markets. It is one of the essential secretarial, accounting and auditing standards. It identifies key risk Re-appointment during the financial year under review April 21-23, 2021 has recommended to the shareholders the
pillars for building an efficient and sustainable environment. areas and key performance indicators of the Company’s business re-appointment of Ms. Nishi Vasudeva as an Independent
and constantly monitor these factors. 1. Ms. Roshni Nadar Malhotra (DIN - 02346621) was re-appointed Director not liable to retire by rotation for a second term of
Corporate governance is based on the principles of integrity, as a Director liable to retire by rotation at the Twenty-Eighth five consecutive years effective from August 1, 2021 till July
fairness, equity, transparency, accountability and commitment The Board is entrusted with the ultimate responsibility of the AGM held on September 29, 2020. 31, 2026.
to values. Good governance practices stem from the culture management, general affairs direction and performance of
and mind-set of the organization. The effectiveness of corporate the Company and has been vested with the requisite powers, 2. Mr. Thomas Sieber (DIN – 07311191) was re-appointed as an All the above appointments / re-appointments were recommended
governance in the company depends on regular review, preferably authorities and duties. Independent Director of the Company not liable to retire by by the Board of Directors after considering the relevant experience,
regular independent review. rotation by way of special resolution passed by the members expertise and integrity of the Directors.
BOARD SIZE AND COMPOSITION at the Twenty-Eighth AGM of the Company held on September
The Company considers fair and transparent corporate governance 29, 2020 for a second term of five consecutive years, effective Retirement by Rotation
as one of its most core management tenets. The Company has The Board is at the core of the Company’s corporate governance from September 29, 2020 till the conclusion of the AGM to be
adopted a Code of Conduct for its directors, employees, consultants, practices and oversees how the management serves and protects held in the year 2025, and in case the AGM in the year 2025 As per the provisions of Section 152(6) of the Act, Mr. Shikhar
vendors and customers and has also adopted a Code of Conduct on the long-term interests of all the stakeholders. The Company is not held to before September 28, 2025, his term will end on Malhotra shall retire by rotation at the ensuing AGM and being
Prohibition of Insider Trading and a Code of Practices and Procedures believes that an active, well informed and independent Board is September 28, 2025. eligible, has offered himself for re-appointment as the Director of
for fair disclosure of Unpublished Price Sensitive Information. Some of necessary to achieve highest standards of corporate governance. the Company liable to retire by rotation.
the important best practices of corporate governance framework are
timely and accurate disclosure of information regarding the financial The Board of the Company has an optimum combination of Composition of the Board and number of Directorship(s) / Committee Membership(s) / Chairmanship(s) held as on March 31,
position, performance, ownership and governance of the Company. Executive Director, Non-Executive Non-Independent Directors 2021 in the Company and other entities is as follows:
and Independent Directors who have an in-depth knowledge
PHILOSOPHY ON CODE OF GOVERNANCE of business, in addition to the expertise in their areas of Name of Director Position in the No. of No. of No. of No. of shares Other Listed
specialization. During the year, 75% of the Board comprised and DIN Company Directorships Committee Committee held of HCL Companies
The corporate governance philosophy of HCL Technologies Limited of Independent Directors. Independent Directors play a critical in Public memberships in Chairmanships Technologies where the
(the “Company”) is based on the following principles: role in imparting balance to the Board processes by bringing Limited Public Limited in Public Limited Limited (of Director is
independent judgments on issues of strategy, performance, Companies Companies (1) Companies (1) ₹2 each) appointed as
• Follow the spirit and not just the letter of the law. Corporate resources, conduct etc. (including HCL (including HCL (including HCL a Non-Executive
governance standards should go beyond the law. Technologies Technologies Technologies - Independent
As on March 31, 2021, the Board of the Company consists of twelve Limited) Limited) Limited) Director
• Be transparent and maintain high degree of disclosure levels.
When in doubt, disclose. members, of which three are Women Directors. The Board consists Ms. Roshni Nadar Chairperson (3) & 2 1 - 696 HDFC Asset
of one Managing Director, two Non-Executive Non-Independent Malhotra (2) Non-Executive Non- Management
• Make a clear distinction between personal convenience and Directors and nine Non-Executive Independent Directors. The (DIN 02346621) Independent Director Company Limited
corporate resources. Managing Director of the Company is a Promoter Director who is
• Communicate externally, in a truthful manner, about how the designated as the Chief Strategy Officer of the Company. Mr. Shiv Managing Director 1 1 - 736 -
Company runs internally. Nadar (2), (6) and Chief Strategy
• Have a simple and transparent corporate structure driven Ms. Roshni Nadar Malhotra, Non-Executive Non-Independent (DIN 00015850) Officer (3)
solely by business needs. Director, was appointed as the Non-Executive Chairperson of the Mr. Deepak Non-Executive 3 5 1 681 TATA Steel Limited
Board of Directors and the Company w.e.f. July 17, 2020, in place Kapoor Independent Director
• Comply with the laws of all the countries in which the Company
of Mr. Shiv Nadar who expressed his desire to step down from (DIN 00162957)
operates.
the position of the Chairman. Mr. Shiv Nadar continues as the
• Management is the trustee of shareholders’ capital and not Managing Director under the designation Chief Strategy Officer for Mr. S. Madhavan (4) Non-Executive 6 6 3 5,000 1. UFO Moviez
the owner. the remainder of his term. (DIN 06451889) Independent Director India Limited
2. Transport
Corporate governance is an integral part of the philosophy of Appointments during the financial year under review Corporation of
the Company in its pursuit of excellence, growth and value India Limited
creation. In addition to complying with the statutory requirements, 1. Dr. Mohan Chellappa (DIN - 06657830) was appointed as an 3. ICICI Bank
effective governance systems and practices towards improving Additional Director by the Board of Directors of the Company Limited
transparency, disclosures, internal control and promotion of ethics w.e.f. August 6, 2019, to hold office as an Independent Director 4. Sterlite
at workplace have been institutionalized. The Company recognizes up to the date of the Twenty-Eighth Annual General Meeting Technologies
that good governance is a continuing exercise and reiterates its (“AGM”) held on September 29, 2020. At the Twenty-Eighth Limited
commitment to pursue highest standards of corporate governance AGM, he was appointed as an Independent Director not liable Dr. Mohan Non-Executive 1 - - Nil -
in the overall interest of its stakeholders. to retire by rotation, to hold office for a term of five consecutive Chellappa Independent Director
years from August 6, 2019 till August 5, 2024. (DIN 06657830)
BOARD OF DIRECTORS Ms. Nishi Non-Executive 6 8 2 50 1. L&T Infra Debt
2. Mr. Shikhar Malhotra (DIN - 00779720) was appointed as an Vasudeva (5) Independent Director Fund Limited
The Board of Directors (“Board”) determines the purpose and values Additional Director by the Board of Directors of the Company (DIN 03016991) 2. L&T Finance
of the Company. The primary role of the Board is that of trusteeship w.e.f. October 22, 2019, to hold office as a Non-Executive Holdings
so as to protect and enhance stakeholders’ value through the Non-Independent Director up to the date of the Twenty-Eighth Limited
strategic supervision of the Company and its subsidiaries. AGM of the Company held on September 29, 2020. At the 3. ABB Power
Twenty-Eighth AGM, he was appointed as a Non-Executive Products and
The Company is headed by a Board that exercises leadership, Non-Independent Director of the Company liable to retire by Systems India
integrity and judgment in directing so as to achieve continuing rotation w.e.f. September 29, 2020. Limited

154 Corporate Governance Report 155

 Name of Director Position in the No. of No. of No. of No. of shares Other Listed career with PwC, he served in various leadership and client service at a company level and in the lives of employees and customers.
and DIN Company Directorships Committee Committee held of HCL Companies roles in India and overseas. He was also a member of the PwC Her awards and accomplishments include the prestigious Global
in Public memberships in Chairmanships Technologies where the Global Strategy Council, led the Deals practice for PwC India ‘CEO of the Year’ award by Platts Global Energy Awards 2015,
Limited Public Limited in Public Limited Limited (of Director is and was also the leader of Telecom, Entertainment and Media Award for ‘Excellence & Outstanding contribution to Public Sector
Companies Companies (1) Companies (1) ₹2 each) appointed as practice. He has extensive experience / expertise in areas relating Management’ under the Individual Leadership category by the
(including HCL (including HCL (including HCL a Non-Executive to financial reporting, audit, mergers and acquisitions, crisis Standing Committee on Public Sector Enterprises (SCOPE),
Technologies Technologies Technologies - Independent management and corporate advisory work. His experience in India Government of India, for the year 2013-14, ‘Exceptional Woman
Limited) Limited) Limited) Director and overseas encompasses multiple sectors including Consumer Achiever Award’ from the Federation of Indian Chambers of
Ms. Robin Ann Non-Executive 1 1 - Nil - products, Manufacturing, Telecom, Technology, Healthcare and Commerce and Industry in 2014. She has also been ranked one of
Abrams Independent Director Entertainment and Media. He is a Fellow member of the Institute of the top five ‘Most Powerful Women in Asia Pacific’ by FORTUNE
(DIN 00030840) Chartered Accountants of India, a Fellow member of the Institute of magazine in the year 2014.
Dr. Sosale Non-Executive 1 - - Nil - Company Secretaries of India and a member of the Certified Fraud
Shankara Sastry Independent Director Examiners, USA. Ms. Robin Ann Abrams
(DIN 05331243)
Mr. S. Madhavan Ms. Robin Ann Abrams, aged 69 years, holds both a Bachelor of
Mr. Shikhar Non-Executive Non- 1 - - Nil - Arts and a Juris Doctor degree from the University of Nebraska.
Malhotra (2), (6) Independent Director Mr. S Madhavan, aged 64 years, is a fellow member of the She was the interim CEO at ZiLOG. She had been the President of
(DIN 00779720) Institute of Chartered Accountants of India and also holds a Post Palm Computing and Senior Vice President at 3Com Corporation.
Mr. R. Srinivasan Non-Executive 2 - - Nil - Graduate Diploma in Business Management from the Indian She was formerly the President and CEO at VeriFone and
(DIN 00575854) Independent Director Institute of Management, Ahmedabad. He was a Senior Partner also held a variety of senior management positions with Apple
Mr. Simon Non-Executive 1 - - Nil - and Executive Director in PricewaterhouseCoopers for many Computer including Vice President and General Manager of the
John England Independent Director years. He held several positions in that organization, ranging from Americas where she oversaw sales and channel management for
(DIN 08664595) indirect taxes to client delivery and leadership development. Mr. U.S., Canada and Latin America. Ms. Abrams spent eight years
Mr. Thomas Sieber Non-Executive 1 - - Nil - Madhavan started his career in Hindustan Unilever Limited, India’s with Unisys in several senior level positions and served on several
(DIN 07311191) Independent Director largest multinational, where he spent several years in 1980s. He U.S. public company Boards, the Anita Borg Institute Board and
is currently the Co-Chairman of the GST Task Force in FICCI, several academic advisory committees.
Notes: has been the past President, Northern Region, Indo American
Chamber of Commerce and the past Co-Chairman of the Taxation Ms. Roshni Nadar Malhotra
(1) In accordance with the Regulation 26 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Membership(s) Committee, ASSOCHAM. Mr. Madhavan is on the board of several
/ Chairpersonship(s) of only Audit Committees and Stakeholders’ Relationship Committees in all public limited companies have been other listed companies such as ICICI Bank, UFO Moviez Limited, Ms. Roshni Nadar Malhotra, aged 39 years, is the CEO and
considered. Sterlite Technologies Limited and Transport Corporation of India Executive Director of HCL Corporation Private Limited. She
Limited and is a chairman / member of various board committees. brings a global outlook, strategic vision and passion for business,
(2) Mr. Shiv Nadar and Ms. Roshni Nadar Malhotra are related as Father and Daughter. Further, Mr. Shikhar Malhotra and Ms. Roshni social enterprise and institution-building to her varied roles at
Nadar Malhotra are related as Husband and Wife. Pursuant to this relationship, Mr. Shiv Nadar and Mr. Shikhar Malhotra are also Dr. Mohan Chellappa HCL Corporation and the Shiv Nadar Foundation. Ms. Roshni is
related to each other as Father-In-Law and Son-In-Law. Except this, no other Director is related to any other Director on the Board. a Trustee of the Shiv Nadar Foundation, which is committed to the
Dr. Mohan Chellappa, aged 73 years, currently the President, process of nation building by driving transformational leadership
(3) Ms. Roshni Nadar Malhotra, Non-Executive Non-Independent Director was appointed as the Chairperson of the Board and the Global Ventures, of Johns Hopkins Medicine International (JHMI). through education. Ms. Roshni is also the Founder & Trustee of the
Company w.e.f. July 17, 2020, in place of Mr. Shiv Nadar who expressed his desire to step down from the position of the Chairman. A founding member of JHMI, he is involved in the development Habitats Trust, a foundation working towards protecting habitats
of international clinical consultancy activities and clinical care and their indigenous species. Passionate about wildlife and nature,
(4) Mr. S. Madhavan has been appointed as the member and chairman of Audit Committee and member of Stakeholders’ Relationship programs, implementation of quality systems, and utilization Ms. Roshni founded the Trust with the mission of creating and
Committee of a listed public limited company after the close of the financial year under review. of IT in healthcare. Dr. Chellappa has been instrumental in conserving sustainable ecosystems through strategic partnerships
securing and establishing several engagements of Johns Hopkins and collaborations with all stakeholders at every level.
(5) Ms. Nishi Vasudeva has been appointed as a director of an unlisted public limited company and has ceased to be a director of Medicine globally, including the establishment of Johns Hopkins
another unlisted public limited company after the close of the financial year under review. Aramco Healthcare, a joint venture with Aramco, the world’s Ms. Roshni is the driving force behind the VidyaGyan schools in
largest energy company. He also serves on the boards of HCL Uttar Pradesh, a radical initiative of the Shiv Nadar Foundation to
(6) Mr. Shikhar Malhotra has been co-opted as a member of the Stakeholders’ Relationship Committee and Mr. Shiv Nadar has ceased Healthcare and Johns Hopkins Aramco Healthcare. He has a induct and transform meritorious rural children from economically
to be a member of the Stakeholders’ Relationship Committee of HCL Technologies Limited w.e.f. April 1, 2021. special interest in the effectiveness of corporate boards and underprivileged backgrounds and create leaders of tomorrow.
completed a program in that area at Harvard Business School. Under her leadership, VidyaGyan has started showing excellence
BRIEF PROFILE OF THE BOARD MEMBERS Hurun India Philanthropy List 2016. Determined to give back to the A surgeon by profession, Dr. Chellappa is a Fellow of the Royal in various fields, creating spirals of inspiration and delivering on
society, Mr. Nadar has been quietly supporting several significant College of Surgeons of Edinburgh and Fellow of the American the promise of creating catalytic leaders from rural India. As a
Mr. Shiv Nadar social causes through the Shiv Nadar Foundation. The Foundation College of Surgeons. Dr. Chellappa, who holds a business degree, representative of the Shiv Nadar Foundation, she was involved in
has established the not-for-profit SSN College of Engineering in has wide surgical experience, having worked in countries such as a joint initiative with the Rajiv Gandhi Foundation to promote the
Mr. Shiv Nadar, aged 75 years, is the Founder of HCL Technologies Chennai, ranked among India’s top ranked private engineering India, Malaysia, Singapore, the UK, and the USA. He underwent education of the Dalit and Muslim girl child in some of the most
Limited and Chairman of Shiv Nadar Foundation. An Electrical colleges. A young and a unique research-led interdisciplinary Shiv special training in Surgical Gastroenterology at the University of backward districts in the State of Uttar Pradesh in India. Ms. Roshni
Engineer from Coimbatore in South India, he established HCL as Nadar University has been identified as India’s first Ivy League Leeds and Hammersmith Hospital in 1982 and in liver and kidney is a part of the Forum of Young Global Leaders (YGL), a unique
a start-up in 1976. Acknowledged as a visionary by the IT industry institution. The Foundation has also established VidyaGyan transplantation at the University of Louvain in Brussels in 1986. He and diverse community of the world’s most outstanding, next-
and his peers, Mr. Shiv Nadar has often made daring forays based schools in Uttar Pradesh that provide free, world-class education is an avid follower of technology and has been part of the Artificial generation leaders, an initiative of the World Economic Forum.
on his conviction of the future. The University of Madras and IIT to rural toppers from economically disadvantaged backgrounds, Intelligence Consortium for Healthcare in Gulf Council country. She was conferred the prestigious NDTV Young Philanthropist
Kharagpur awarded him an Honorary Doctorate Degree in Science and the Shiv Nadar Schools, the iconic Kiran Nadar Museum - Indian of the Year award in 2014. In 2015, she was felicitated
for his outstanding contribution to IT in India. In recognition of his of Art and Shiksha, an innovative technology led intervention in Ms. Nishi Vasudeva with the World’s Most Innovative People Award for Philanthropic
pioneering role in business and philanthropy in India and across education envisioned to eradicate illiteracy from India. Mr. Nadar Innovation by the World Summit on Innovation & Entrepreneurship
the globe, Mr. Nadar has received several honours and accolades, has also diversified into healthcare business which provides Ms. Nishi Vasudeva, aged 65 years, is the first woman to chair an (WSIE), in partnership with the UN. In 2017, she was conferred
notable being the Padma Bhushan from the President of India in innovative medical services, products and training to meet the Oil & Gas company in India, and has extensive management and with Lewis Institute Community Changemaker Award by Babson
2008 and the BNP Paribas Grand Prize for Individual Philanthropy growing demand for quality healthcare and offers integrated care advisory experience. She is an MBA from the Indian Institute of College. In September 2017, Vogue India felicitated her with the
in 2013, the AIMA Managing India Corporate Citizen Award, the across India. Management, Calcutta, India and B.A. (Economics) from Lady Shri ‘Philanthropist of the Year’ award. She has been featured in the
ICSI Lifetime Achievement Award 2013 for excellence in Corporate Ram College, University of Delhi, India. She has expertise in the World’s 100 Most Powerful Women list compiled and released
Governance and the Golden Peacock Award for Social Leadership Mr. Deepak Kapoor areas like Corporate Strategy, Enterprise Resource Management, by Forbes in 2017 and 2018. Ms. Roshni holds an MBA from the
in 2014. He has been named as the Philanthropist of the Year Retail & Marketing, Information Systems, Business Transformation Kellogg Graduate School of Management with a focus on Social
by The Economic Times Family Business Awards in 2018 and Mr. Deepak Kapoor, aged 62 years, is the former Chairman & CEO & Margin Management and Regulatory Management. She is well Enterprise and Management & Strategy. At Kellogg, she received
as the Outstanding Philanthropist of the Year in 2015 by Forbes. of PwC India. He took retirement from PwC in March 2017 after known for her courage and dedication to making a difference, both the Dean’s Distinguished Service Award.
Mr. Nadar was also featured as the most generous Indian by the having been associated with it for 39 years. During his illustrious
156 Corporate Governance Report 157
Dr. Sosale Shankara Sastry (India) Limited. Prior to starting Redington in Singapore, he The Board’s current Skills Matrix as identified by the Board includes the following attributes:
spent three years in Indonesia with a leading Textile company.
Dr. Sosale Shankara Sastry, aged 64 years, is currently Professor His experience also includes a number of years with Readers Ms. Mr. Mr. Mr. S. Dr. Mohan Ms. Nishi Ms. Dr. Sosale Mr. Mr. R. Mr. Mr.
of EECS, Mechanical and Bio-Engineering. He was the Dean at Digest and the Coca-Cola Corporation in India. He has over 30 Roshni Shiv Deepak Madhavan Chellappa Vasudeva Robin Shankara Shikhar Srinivasan Simon Thomas
University of California, Berkeley till 2018. Dr. Sastry is B.Tech years of management experience across the globe. He has been Nadar Nadar Kapoor Ann Sastry Malhotra John Sieber
from Indian Institute of Technology, Bombay; M.S. EECS (1979), awarded the “Entrepreneur Award 2007” by CII, Tamil Nadu and Malhotra Abrams England
University of California, Berkeley; M.A. Mathematics (1980), “Outstanding contribution to the IT Channel Industry” by CRN in Leadership Y Y Y Y Y Y Y Y Y Y Y Y
University of California, Berkeley and Ph.D. EECS, University of 2007. Innate leadership skills including
California, Berkeley (1981). He has served on the faculty of MIT the ability to represent the
(1981-83) and Harvard (1994). He is currently the Director of the Mr. Simon John England organization and set appropriate
Blum Center for Developing Economies and the co-director of the Board and organization culture.
C3.ai Institute for Digital Transformation. His areas of personal Mr. Simon John England, aged 55 years, has a degree in Engineering Demonstrated strengths in
research are embedded control, cybersecurity, autonomous software from the University of Durham and has over 30 years of experience talent development, succession
for unmanned systems (especially aerial vehicles), computer vision, of leading, transforming and growing organisations across the planning and bringing change and
non-linear and adaptive control, control of hybrid and embedded public and private sector. He has spent much of his career working long-term future growth.
systems and network embedded systems and software. He has been with UK and Global Insurers, Healthcare providers and with the Strategic Planning and Y Y Y Y Y Y Y Y Y Y Y Y
concerned with cybersecurity and critical infrastructure protection. UK Government. He is a partner in the specialist advisory firm, Analysis
He has co-authored over 500 technical papers and 9 books. During Garwood Solutions, where he provides independent strategic and Ability to critically identify and
his career, the positions held by him include Member, Scientific business advice to clients in the Professional Services, Financial assess strategic opportunities
Advisory Board for Singapore National Research Foundation and Services, Health and Technology sectors. He spent 27 years with and threats and develop effective
Member of the UN Scientific Advisory Board (UNSAB). He is a Accenture and led several of Accenture’s largest businesses strategies in the context of
member of the National Academy of Engineering and the American and global client relationships, including Managing Director of long-term objectives and the
Academy of Arts and Sciences. He has honorary doctorates from Accenture’s UK and Ireland Insurance business and, prior to organizations’ relevant policies
the Royal Institute of Technology, Stockholm, Sweden, University of that, the UK Healthcare business. He was the Managing Director and priorities.
Waterloo, Canada and Politecnico di Torino in Italy. of Primary Care Support England (PCSE) for Capita where he Technology Y Y - - Y Y Y Y Y Y Y -
led the recovery and turnaround of this large, complex and high Reasonable knowledge and
Mr. Shikhar Malhotra profile outsourced operation for NHS England. He is accomplished experience in technology with an
in applying technology to achieve business results - creating ability to foresee technological
Mr. Shikhar Malhotra, aged 38 years, is an alumnus of Babson digital operations, shaping, planning and leading operational trends and changes, apply
College where he studied Entrepreneurship. He is an Executive transformation and performance improvement programmes and new technology and bring
Director and Board Member of HCL Corporation Private Limited. technology enabled business change at scale, and is experienced about innovations in business
Mr. Malhotra is also the Vice Chairman of HCL Healthcare Private in leading on and offshore outsourced operations. He is an expert strategies.
Limited and has led the organization since its inception in 2014. in complex stakeholder and commercial management, and
Governance Y Y Y Y Y Y Y Y Y Y Y -
HCL Healthcare focuses on making Corporate India a healthier organisation turnaround. He is involved in the UK Arts sector and
Understanding of the various
place by providing the continuum of care for chronic and acute led Accenture’s relationship with the Bright Ideas Trust – helping
governance and compliance
diseases across a range of healthcare delivery offerings. It operates nurture new entrepreneurs from disadvantaged communities. He
requirements under various
out of seven cities across India and serves over 70,000 families. As also worked closely with Whizz-Kidz – an energetic charity that is
applicable laws, supporting
a Trustee of the Shiv Nadar Foundation, Mr. Malhotra founded the transforming the delivery and management of wheelchair services,
a strong Board base and
Shiv Nadar Schools in 2012, the Foundation’s first foray into urban with the NHS, for children across many parts of the UK.
management accountability,
education. The Shiv Nadar Schools currently operate out of three
transparency, and protection of
campuses located in Noida, Gurugram and Faridabad. In a short Mr. Thomas Sieber
shareholder interests.
period of time, the Shiv Nadar School has gained a reputation for
its differentiated curriculum which focuses on academic excellence Mr. Thomas Sieber, aged 58 years, has a Business Administration Financial Y Y Y Y Y Y Y Y Y Y Y -
as well as an emphasis on holistic development making it among degree from the University of St. Gallen, Switzerland. He is serving Wide ranging knowledge and
the most sought-after schools in Delhi NCR. Mr. Malhotra is the as the Chairman of Axpo Holding AG which is the largest national financial skills, oversight for
Pro-Chancellor of Shiv Nadar University and in this role, is energy provider in Switzerland. He is also a member of the Board risk management and internal
instrumental in providing strategic vision and global outlook to the of Directors at Sierra Wireless, the Global leader in IoT (“Internet controls and proficiency in
University and is the trustee of The Habitats Trust, which aims to of Things”). Formerly, he was the CEO of Orange Switzerland (now financial management and
secure key natural habitats and their indigenous species. Salt Mobile SA) and later on became the Chairman of the Board financial reporting processes.
of Directors. He has an expertise in Leadership, Strategic and Diversity Y Y - - Y Y Y Y Y Y Y Y
Mr. R. Srinivasan International Business Management. An appropriate mix of varied
cultures, ethnicity, geography,
Mr. R. Srinivasan, aged 74 years, has an Electrical Engineering SUMMARY OF DIRECTORS’ SKILLS / EXPERTISE gender, age, philosophies, life
Degree from Madras University and MBA Degree from IIM, experiences and other diversity
Ahmedabad. He is the Founder of Redington (India) Limited, a In order to effectively discharge their duties, it is necessary that perspectives that expand the
Technology Products Supply Chain Solution Company operating collectively the Directors hold the appropriate balance of skills, Board’s understanding of the
in India, Middle East, Africa & Turkey, Sri Lanka, Bangladesh experience and expertise. The Board seeks a complementary needs of diverse stakeholders
and CIS countries. He has served as the Managing Director from diversity of skills and experience across its members, ensuring that and a better ability to respond to
July 1, 2006 to October 17, 2014 and as the Non-Executive Vice the Board is in compliance with the highest standards of corporate changes.
Chairman from October 17, 2014 to February 2, 2017 of Redington governance. Mergers & Acquisitions Y Y Y - Y Y Y Y Y Y - -
Significant experience in
mergers and acquisitions and
other business combinations,
with strong insight of risks and
opportunities, valuations and
diligence processes, structural
impact on the organization, and
ability to leverage integration
planning.

158 Corporate Governance Report 159

 Ms. Mr. Mr. Mr. S. Dr. Mohan Ms. Nishi Ms. Dr. Sosale Mr. Mr. R. Mr. Mr. Presentations by management: The Board is given presentations Name of the Director No. of No. of board Whether
Roshni Shiv Deepak Madhavan Chellappa Vasudeva Robin Shankara Shikhar Srinivasan Simon Thomas covering finance, sales, marketing, major business segments board meetings last AGM
Nadar Nadar Kapoor Ann Sastry Malhotra John Sieber and operations of the Company, global business environment meetings attended attended
Malhotra Abrams England including business opportunities, business strategy and the risk held during during
Global Business Y Y - Y Y - Y Y Y Y Y Y management practices before taking on record the financial results FY 2020-21 tenure
Understanding of diversified of the Company. Ms. Robin Ann Abrams 9 9 Yes
business environments, Dr. Sosale Shankara Sastry 9 9 Yes
economic, political, cultural and Access to employees: The Directors are provided free access Mr. Shikhar Malhotra 9 8 Yes
regulatory framework across the to communicate with the officers and employees of the Company.
Mr. R. Srinivasan 9 9 Yes
globe, and a broad perspective Management is encouraged to invite the Company personnel to
on global market opportunities. any Board meeting at which their presence and expertise would Mr. Simon John England 9 9 Yes
Marketing and Communications Y Y - - Y Y Y Y Y Y Y - help the Board to have a full understanding of the matters being Mr. Thomas Sieber 9 7 Yes
Ability to analyze the market and considered.
technological impacts, developing DECLARATION BY INDEPENDENT DIRECTORS
strategies for brand awareness Availability of information to Board members: The information
and brand building and enhancing placed before the Board includes annual operating plans and Every Independent Director, at the first meeting of the Board
market share. budgets including operating and capital expenditure budgets, in which he participates as a Director and thereafter at the first
quarterly financial results of the Company both consolidated meeting of the Board in every financial year, gives a declaration
and standalone basis, financials of each of the subsidiaries and that he/she meets the criteria of Independence as provided under
MEMBERSHIP ON OTHER BOARDS determine the Company’s success, results of operations and investments made by the subsidiaries, risk assessment and Section 149(6) of the Act and applicable rules made thereunder
financial condition of the Company and the subsidiaries and minimization procedures, update on the state of the market for and Regulation 16(1)(b) & 25(8) of the SEBI (Listing Obligations
Executive Director is also allowed to serve on the board / committee business segments. the business as well as on the strategy, minutes of subsidiaries, and Disclosure Requirements) Regulations, 2015 (as amended
of other corporate(s) or government bodies whose interest is minutes of all the Board Committees, related party transactions, from time to time) (“Listing Regulations”). The Company has
germane to the future of software business or on the board of key d) Establish effective systems: The Directors are responsible details of the treasury investments, details of foreign exchange received necessary declarations from each Independent Director
economic institutions of the nation or whose primary objective is for determining that effective systems are in place for periodic exposure, update on statutory and secretarial compliance reports that he/she meets the criteria of Independence in terms of the said
benefiting the society. and timely reporting to the Board on important matters and reports of non-compliances, if any, information on recruitment provisions.
concerning the Company including the following: / remuneration of senior officers, show cause / demand notices,
Independent Directors are expected not to serve on the board / • Current business and financial performance, degree of if any, details of joint ventures or collaboration agreements, Based on the disclosures received from all the Independent
committees of competing companies. Other than this, there is no achievement of approved objectives and the need to significant changes in the accounting policies, significant changes Directors and also in the opinion of the Board, the Independent
limitation on the directorships / committee memberships except address forward-planning issues. in laws, sale of any material nature, etc. Directors fulfill the conditions as specified in the Act and the Listing
those imposed by law and good corporate governance. Regulations and are independent of the Management.
• Compliance programs to assure the Company’s Post meeting follow-up mechanism: The guidelines for Board
DIRECTORS’ RESPONSIBILITIES compliance with laws and corporate polices. and Committee meetings facilitate an effective post meeting follow INDEPENDENT DIRECTORS’ MEETINGS
• Material litigation, governmental and regulatory matters. up review and reporting process for the decisions taken by the
a) In addition to the duties and responsibilities entrusted on Board and Committee(s) thereof. The important decisions taken In terms of the provisions of the Act and the Listing Regulations, the
the Directors of the Company as per the provisions of the BOARD MEETINGS - FUNCTIONING AND PROCEDURE at the Board / Committee meetings are promptly communicated to Independent Directors of the Company shall meet at least once in
Companies Act, 2013 (“Act”), it is the elementary responsibility the concerned departments / divisions. Action taken report on the a year, without the presence of Executive Directors and members
of the Board members to oversee the management of the Board Meeting - Calendar: The probable dates of the Board decisions of the previous meeting(s) is placed at the subsequent of management. The Independent Directors met on March 15,
Company and in doing so, serve the best interests of the meetings for the forthcoming year are decided in advance and meetings of the Board / Committee(s) for information and review by 2021 and inter-alia discussed and reviewed:
Company and its stakeholders. This responsibility inter-alia published as part of this Annual Report. the Board / Committee(s).
shall include: • the performance of Non-Independent Directors and the Board
• Reviewing and approving fundamental operating, financial Board Meeting - Frequency: The Board meets at least once a NUMBER OF BOARD MEETINGS AND THE DATES ON WHICH as a whole;
and other corporate plans, strategies and objectives. quarter to review the quarterly results and other items of the agenda. THEY WERE HELD
• Evaluating whether the corporate resources are being Whenever necessary, additional meetings are held. In case of • the performance of the Chairperson of the Company, taking
used only for appropriate business purposes. business exigencies or urgency of matters, resolutions are passed Nine Board Meetings were held during FY 2020-21 on May into account the views of the Executive Directors and Non-
by circulation. The Company effectively uses tele-conferencing / 6-7, 2020, May 27, 2020, July 16-17, 2020, August 31, 2020, Executive Directors; and
• Establishing a corporate environment that promotes video-conferencing facilities to enable the participation of Directors September 2-3, 2020, October 15-16, 2020, November 10, 2020,
timely and effective disclosure (including robust and who could not attend the meetings in person due to some January 14-15, 2021 and February 25, 2021. The necessary • the quality, quantity and timeliness of flow of information
appropriate controls, procedures and incentives), fiscal emergencies. quorum was present at all the meetings. Out of these, eight board between the Company management and the Board that is
responsibilty, high ethical standards and compliance with meetings were held through video conferencing and in remaining necessary for the Board to effectively and reasonably perform
all applicable laws and regulations. Board Meeting - Location: The location of the Board meetings one meeting, the quorum was present physically while the other their duties.
• Evaluating the performance of the Company and its is informed well in advance to all the Directors. Each Director is board members joined through video conferencing. The maximum
senior executives and taking appropriate action, including expected to attend the Board meetings. interval between any two meetings did not exceed 120 days. FAMILIARISATION PROGRAMME FOR INDEPENDENT DIRECTORS
removal, where warranted.
• Evaluating the overall effectiveness of the Board and its Board Meeting - Matters: All divisions / departments of the The following table gives the attendance record of the Board The Independent Directors are provided with necessary
Committees. Company are advised to schedule their work plans in advance, Meetings and the last AGM: documents, reports and internal policies to enable them to
particularly with regard to matters requiring discussions / approval familiarize with the Company’s procedures and practices. Further,
• Attending Board, Committee and Shareholders meetings. Name of the Director No. of No. of board Whether
/ decision of the Board / its Committee(s). All such matters are periodic presentations are made at the Board and Committee
b) Exercise business judgement: In discharging their fiduciary communicated to the Company Secretary in advance so that the board meetings last AGM meetings, on business and performance updates of the Company,
meetings attended attended
duties of care and loyalty, the Directors are expected to same can be included in the Agenda for the Board / Committee global business environment, business strategy and risks involved.
held during during
exercise their business judgement to act in what they meetings. FY 2020-21 tenure
Quarterly updates on relevant statutory changes are provided to
reasonably believe to be in the best interests of the Company the Directors in the Board meetings.
and its stakeholders. Board material / agenda distributed in advance: The agenda Ms. Roshni Nadar Malhotra 9 9 Yes
for each Board meeting is circulated in advance to the Board Mr. Shiv Nadar 9 9 Yes Upon appointment, the Independent Directors are issued a letter of
c) Understand the Company and its business: The Directors members. All material information is incorporated in the agenda Mr. Deepak Kapoor 9 9 Yes appointment setting out in detail the terms of employment including
have an obligation to remain informed about the Company and facilitating meaningful and focused discussions in the meeting. Mr. S. Madhavan 9 9 Yes their roles, function, responsibilities and their fiduciary duties as a
its business, including the principal operational and financial Where it is not practicable to attach any document in the agenda, Director of the Company. A draft letter is available on the website
Dr. Mohan Chellappa 9 9 Yes
objectives, strategies and plans of the Company, relative the same is tabled before the meeting. Every Board member is free of the Company and the weblink for the same has been provided
standing of the business segments within the Company to suggest items for inclusion in the agenda. Ms. Nishi Vasudeva 9 8 Yes at the end of this report.
and vis-a-vis the competitors of the Company, factors that

160 Corporate Governance Report 161

The details of such familiarization programme for Independent concept of diversity incorporates several different aspects, such S. Director Audit Nomination Stakeholders’ Corporate Finance Risk Diversity
Directors are posted on the website of the Company and the as professional experiences, business perspectives, skills, No. Committee and Relationship Social Committee Management Committee
weblink for the same has been provided at the end of this report. knowledge, gender, age, cultural and educational background, Remuneration Committee Responsibility Committee
ethnicity, and length of service. Committee Committee
BOARD EVALUATION 9 Dr. Sosale Shankara Sastry NA NA NA NA NA NA NA
The Company believes that Board diversity enhances decision
10 Mr. R. Srinivasan NA Chairperson NA NA Member NA NA
The Board, pursuant to the provisions of the Act and Regulation making capability and a diverse Board is more effective in dealing
17(10) of the Listing Regulations has carried out an Annual with organizational changes and less likely to suffer from group 11 Mr. Simon John England (4) NA NA NA NA NA NA NA
Evaluation of its own performance, performance of the Board thinking. 12 Mr. Thomas Sieber NA NA NA NA Member NA NA
Committees and of the individual Directors (including the
Independent Directors) on various parameters. BOARD COMMITTEES Notes:

The criteria for the evaluation of the performance of the Board, the The Board Committees play a crucial role in the governance (1) Mr. Shiv Nadar has ceased to be a member of the Stakeholders’ Relationship Committee, Finance Committee and Diversity
Committees of the Board and the individual Directors, including the structure of the Company and are being set out to deal with Committee w.e.f. April 1, 2021 and ceased to be a member of the Corporate Social Responsibility Committee w.e.f. April 10, 2021.
Chairperson of the Board was approved by the Nomination and specific areas / activities which concern the Company and need
Remuneration Committee (‘NRC’) of the Company. a closer review. They are set up under the formal approval of the (2) Mr. Shikhar Malhotra has been co-opted as a member of the Stakeholders’ Relationship Committee w.e.f. April 1, 2021.
Board to carry out their clearly defined roles. The Board supervises
The performance of the Board as a whole was evaluated by the the execution of its responsibilities by the committees and is (3) Dr. Mohan Chellappa has been co-opted as a member of the Nomination and Remuneration Committee w.e.f. April 1, 2021 and has
Board after seeking inputs from all the directors on the basis of the responsible for their actions. been co-opted as a member of the Corporate Social Responsibility Committee w.e.f. April 10, 2021.
criteria such as the Board composition and structure, effectiveness
of board processes, information and functioning, etc. As on March 31, 2021, the Company had seven Board Committees (4) Mr. Simon John England has been co-opted as a member of the Diversity Committee w.e.f. April 1, 2021.
viz. Audit Committee, Nomination and Remuneration Committee,
The performance of the Board Committees was evaluated by Finance Committee, Stakeholders’ Relationship Committee, 1. Audit Committee In connection with recommending the firm to be retained
the Board after seeking inputs from the Committee members Corporate Social Responsibility Committee, Risk Management as the Company’s statutory auditors, review and monitor
on the basis of criteria such as the composition of Committees, Committee, and Diversity Committee. As on March 31, 2021, the Audit Committee comprised of four the information provided by the management relating
effectiveness of Committee meetings, etc. Independent Directors namely: to the independence of such firm and performance and
Keeping in view the requirements of the Act as well as the Listing a) Mr. S. Madhavan (Chairperson) effectiveness of audit process, including, among other
The performance of the individual Directors (including the Regulations, the Board has decided the terms of reference of things, information relating to the non-audit services
Independent Directors) was reviewed by the Board on the basis of the various committees which set forth the purposes, goals b) Mr. Deepak Kapoor provided and expected to be provided by the statutory
the criteria such as the contribution of the individual Director to the and responsibilities of the Committees. All observations, c) Ms. Nishi Vasudeva auditors.
Board and Committee meetings, preparedness on the issues to be recommendations and decisions of the committees are placed d) Ms. Robin Ann Abrams
discussed, meaningful and constructive contribution and inputs in before the Board for information or for approval. The Committee is also responsible for:
meetings, etc. In addition, the Chairperson of the Board was also The Company Secretary acts as a Secretary to the Committee.
evaluated on the key aspects of her role. All the recommendations made by the various Board Committees i) ctively engaging in dialogue with the statutory
a
during FY 2020-21 were accepted by the Board. Terms of Reference auditors with respect to any disclosed relationship
In a separate meeting of the Independent Directors, the or services that may impact the objectivity and
performance of the Non-Independent Directors, performance of FREQUENCY AND LENGTH OF MEETING OF THE The terms of reference of Audit Committee are as under: independence of the statutory auditors; and
the Board as a whole and performance of the Chairperson was COMMITTEES OF THE BOARD AND AGENDA
evaluated. The same was discussed in the Board meeting that a) Statutory Auditors ii) recommending that the Board takes appropriate
followed the meeting of the Independent Directors. The Chairperson of each Committee of the Board, in consultation action in response to the statutory auditors’ report to
with the Chairperson of the Board, and appropriate members of the Recommend to the Board the appointment, satisfy itself of their independence.
BOARD DIVERSITY management determine the frequency and length of the meetings re-appointment and if required, the replacement or
of the Committees and develop the Committees agenda. The removal of the statutory auditors, including filing of a c) Review Audit Plan
The Company recognizes its obligation to maintain a Board agenda of the Committee meetings is shared in advance with all casual vacancy, fixation of audit fee / remuneration,
with a diversity of Directors. The Company considers that the the members of the Committee. terms of appointment and also provide prior approval of Review with the statutory auditors their plans for, and the
the appointment of and the fees for any other services scope of, their annual audit and other examinations.
rendered by the statutory auditors. Provided that the
CHAIRMANSHIP / MEMBERSHIP OF DIRECTORS IN COMMITTEES OF THE BOARD OF DIRECTORS OF THE COMPANY AS ON statutory auditors shall not render services prohibited to d) Conduct of Audit
MARCH 31, 2021: them by Section 144 of the Companies Act, 2013 or by
professional regulations. Discuss with the statutory auditors the matters required to
S. Director Audit Nomination Stakeholders’ Corporate Finance Risk Diversity be discussed for the conduct of the audit.
No. Committee and Relationship Social Committee Management Committee The Committee shall take into consideration the
Remuneration Committee Responsibility Committee qualifications and experience of the firm proposed to be e) Review and examination of Audit Results
Committee Committee considered for appointment as auditors as specified under
Executive Director Section 141 of the Companies Act, 2013 and whether Review and examination with the statutory auditors the
these are commensurate with the size, nature of business proposed report on the annual audit, areas of concern,
1 Mr. Shiv Nadar (1)
NA NA Member Member Member NA Member and requirements of the Company and also consider any the accompanying management letter, if any, the reports
Non-Independent Non-Executive Directors completed and pending proceedings against the proposed of their reviews of the Company’s interim financial
Ms. Roshni Nadar firm of Auditors before the Institute of Chartered Accountants statements, and the reports of the results of such other
2 NA Member Member Chairperson Member NA Member of India or any competent authority or any Court. examinations outside of the course of the statutory
Malhotra
auditors’ normal audit procedures that they may from time
3 Mr. Shikhar Malhotra (2) NA Member NA NA Member NA NA The Committee shall recommend to the Board, the name to time undertake.
Independent Non-Executive Directors of the audit firm who may replace the incumbent auditor
4 Mr. Deepak Kapoor Member NA NA NA NA Member NA on the expiry of their term. f) Review and examination of Financial Statements
5 Mr. S. Madhavan Chairperson NA Chairperson Member Chairperson Chairperson NA b) R
eview and monitor Independence and Performance Review and examination of the Company’s financial
6 Dr. Mohan Chellappa (3) NA NA NA NA NA NA NA of Statutory Auditors and Effectiveness of Audit reporting process and the disclosure of its financial
7 Ms. Nishi Vasudeva Member NA NA NA NA Member NA Process information to ensure that the financial statements are
accurate, sufficient and credible and evaluation of internal
8 Ms. Robin Ann Abrams Member Member NA NA NA Member Chairperson

162 Corporate Governance Report 163

 7) Assist the Board in maintenance and development of
financial controls and risk management systems, to obtain a material nature and ensure that proper corrective action s) Seek information / advice
a supportive culture, in relation to the management
reasonable assurance based on evidence regarding is taken. Any such matters shall be reported to the Board
of risk, appropriately embedded through procedures,
processes followed and their appropriate testing that if necessary and appropriate. The Audit Committee may seek information from any
training and leadership actions so that all employees
such systems are adequate and comprehensive and are employee and may obtain from external independent
are alert to the wider impact on the whole organization
working effectively. The Audit Committee shall review with n) Review systems of Internal Financial Controls sources any legal or other professional advice it considers
of their actions and decisions;
appropriate officers of the Company and the statutory necessary in the performance of its duties. It may also
auditors, the annual financial statements of the Company 8) Maintaining an aggregated view on the risk profile Review with the statutory auditor and the senior secure attendance of independent professional persons
prior to submission to the Board or public release thereof, of the Company/ Industry in addition to the profile of internal auditor to the extent deemed appropriate by with suitable qualifications and relevant experience in
focusing primarily on: individual risks; the Chairperson of the Committee, the adequacy of specific matters, if it considers this necessary.
1) Matters required to be included in the Director’s 9) Ensure the implementation of and compliance with the Company’s internal financial controls as defined in
Responsibility Statement to be included in the the objectives set out in the Risk Management Policy; Section 134 of the Companies Act, 2013. t) Approval for appointment of Chief Financial Officer
Board’s report in terms of Section 134(5) of the 10) Advise the Board on acceptable levels of risk
Companies Act 2013; appetite, tolerance and strategy appropriate to the o) Review and ensure the existence, adequacy The Committee shall approve the appointment of the
size and nature of business and the complexity and and effective functioning of a Vigil Mechanism CFO (the whole-time Finance Director or any other
2) Any changes in accounting policies and practices / Whistleblower Policy appropriate to the size, person heading the finance function) after assessing the
and reasons for the same; geographic spread of the Company’s operations;
complexity and geographic spread of the Company qualifications, experience and background etc. of the
3) Major accounting entries based on exercise of 11) Review and reassess the adequacy of this charter and its operations candidate.
judgment by management; periodically and recommend any proposed changes
to the Board for approval from time to time; The Vigil mechanism / Whistleblower Policy shall provide u) Review and monitor the Statement of Uses and
4) Qualifications in draft audit report;
12) The Committee shall have access to any internal for adequate safeguards against victimization of all Application of Funds
5) Significant adjustments made in the financial
information necessary to fulfill its oversight role. As persons referring any matter under the mechanism and
statements arising out of audit;
and when required the Committee may assign tasks shall also provide for direct access to the Chairperson Review and monitor, with the management, the statement
6) The going concern assumption; to the Internal Auditor, the Company’s internal Risk of the Audit Committee in appropriate or exceptional of uses / application of funds raised through an issue
7) Compliance with accounting standards; management team and any external expert advisors cases. Matters referred and the action taken shall be (public, rights, preferential issue etc.), the statement of
8) Compliance with stock exchange and legal considered necessary for any task and they will regularly reported to the Committee once a quarter or funds utilized for purposes other than those stated in
requirements concerning financial statements; provide their findings to the Committee. more frequently. The mechanism and policy shall cover the offer document / prospectus / notice and the report
whistleblower and complaint references of all kinds, submitted by the monitoring agency, monitoring the
9) Any related party transactions i.e. transactions of i) Review the performance of the Internal and External including alleged fraud by or against the Company, abuse utilization of proceeds of the public issue or rights issue,
the Company with its subsidiaries, promoters or the Auditors of authority, misbehavior and ill treatment and unfair and make appropriate recommendations to the Board.
management, or their relatives, etc. that may have treatment of all kinds including all allegations and charges
conflict with the interest of the Company at large; Review with the management the performance of of harassment, sexual or otherwise, whether made by a v) Review of other Information
10) Contingent liabilities; the statutory and internal auditors and the existence, named complainant or anonymously. Complaints which
11) Status of litigations by or against the Company; and adequacy and effective functioning of the internal control are prima facie frivolous in the view of the Ombudsperson The Audit Committee shall mandatorily review the
systems including internal control system over financial Function or the Whistleblower Committee of the Company following information:
12) Claims against the Company and their effect on the reporting, based on appropriate and effective evidence or other Committee or group of individuals responsible for
accounts. 1) Management discussion and analysis of financial
and such other matters as may be required. investigating complaints and taking suitable action may condition and results of operation;
The definition of the term “Financial Statement” shall be the be closed with appropriate reasons recorded. If any of
same as under section 2(40) of the Companies Act, 2013. j) Oversight Role the members of the Committee have a conflict of interest 2) Statement of related party transaction submitted by
in a given case, they should recuse themselves and the the management;
g) Review Quarterly Financial Statements Oversight of the company’s financial reporting process others on the Committee would deal with the matter on 3) Management letters / letters of internal control
and the disclosure of its financial information to ensure the hand. weaknesses issued by the statutory auditors;
Reviewing with the management, the quarterly / interim financial statements are correct, sufficient and credible. 4) Internal audit reports relating to internal control
financial statements before submission to the Board for p) Review other matters weaknesses;
approval k) Review Internal Audit function
5) The appointment, removal and terms of remuneration
Review such other matters in relation to the accounting,
of the Chief Internal Auditor;
h) The Audit Committee shall perform the following Risk Review the adequacy of the internal audit function, auditing and financial reporting practices and procedures
Management Functions including the structure of the internal audit department, of the Company as the Committee may, in its own 6) Inter-corporate loans and investments including
adequate staffing and the qualifications, experience, discretion, deem desirable in connection with the review review of utilization of loans and/or advances from /
1) Assist the Board in overseeing the responsibilities authority and autonomy of the person heading the functions described above. investment by the Company in any of its subsidiary
with regard to the identification, evaluation and department, the reporting structure, coverage and exceeding the prescribed limit of the asset size of the
mitigation of operational, strategic and external frequency of internal audit. q) Reporting to Board subsidiary as provided in SEBI (Listing Obligations &
environmental risks; Disclosure Requirements) Regulations, 2015;
l) Review Internal Audit plans Report its activities to the Board in such manner and at 7) Valuation of undertakings and assets of the Company
2) Review and approve the Risk management Policy
such times, as it deems appropriate. whenever necessary; and
and associated framework, processes and practices;
Review with the senior internal audit executive and 8) Internal control system in regard to prevention of
3) Assist the Board in taking appropriate measures to appropriate members of the staff of the internal auditing r) Investigation
achieve a prudent balance between risk and reward insider trading.
department, the plans for and the scope of their ongoing
in both ongoing and new business activities; audit activities and also review and approve the periodicity The Audit Committee has the authority to investigate w) Basis of Related Party Transactions
4) Evaluating significant risk exposures including and programme for conducting the internal audit. any matter in relation to the items specified in Section 1) The statement in summary form of transactions with
business continuity planning and disaster recovery 177 of the Companies Act, 2013 or referred to it by the related parties in the ordinary course of business shall
planning; m) Review Internal Audit reports Board and for this purpose; it shall have full access to be placed periodically before the audit committee.
5) Assessing management’s actions in mitigating the the information contained in the records of the Company.
Review with the senior internal auditing executive and It may also investigate any activity within its term of 2) Details of individual transactions with related parties,
risk exposures in a timely manner; which are not in the normal course of business, shall
appropriate members of the staff of the internal auditing reference. It has the authority to look into the reasons
6) Promote enterprise-wide Risk Management and department the periodic reports of the findings of the for substantial defaults in the payment to the depositors, be placed before the audit committee.
obtain comfort based on adequate and appropriate audit and reports and the necessary follow up and debenture holders, shareholders (for non-payment of 3) Details of individual transactions with related parties
evidence that the Management of the Company implementation of correction of errors and other necessary declared dividends) and creditors, if any and any other or others, which are not on arm’s length basis shall
ensures the implementation and effective functioning actions required. The Audit Committee shall also review instance of a failure of legal compliance. be placed before the Audit Committee together with
of the entire risk management process and embedding the findings of any internal investigations by the internal the management justification for the selection of the
of a comprehensive risk management culture in the auditors into the matters where there is suspected fraud related party and the price and other terms agreed.
Company at every stage of its operations; or irregularity or a failure of the internal control system of
164 Corporate Governance Report 165
 4) Approval or any subsequent modification of all f) reporting mechanism for the projects or programs; and
Management the Group’s external auditors and external 3. Remuneration to Directors, Key Managerial Personnel
transactions of the Company with related parties. g) details of need and impact assessment, if any, for the
legal counsel. and Senior Management involves a balance between
5) On satisfying itself adequately regarding the reasons projects undertaken by the company. fixed and incentive pay reflecting short and long-term
for the related party transactions undertaken and the ac) Registered Valuer 4. Institute a transparent monitoring mechanism for performance objectives appropriate to the working of
terms and conditions agreed including price and the implementation of CSR projects or programs or activities the company and its goals.
observation of the arms’ length principle, with suitable The Audit Committee shall prescribe the terms and undertaken by the Company.
explanations for any departures, the Committee shall conditions and the appointment of a registered valuer e) Formulate the criteria for determining the qualifications,
periodically approve the related party transactions. 5. Monitor the Annual Action Plan for the CSR activities of
having the requisite qualifications and experience. the Company from time to time. positive attributes and independence of Directors.

Explanation: Seven meetings of the Audit Committee were held during 6. Monitor the CSR Policy from time to time. f) Devise a Policy on Board Diversity.
FY 2020-21 on May 5-6, 2020, July 2, 2020, July 16, 2020, 7. Recommend to the Board, the treatment of short / excess
a) “Related Party Transaction” means a transaction October 15, 2020, November 4, 2020, January 14, 2021 and spending in any financial year, as per the provisions of the g) Review and approve / recommend the remuneration for
envisaged as a related party transaction defined February 4, 2021. The necessary quorum was present at all Companies Act, 2013 and the Rules made thereunder. the Corporate Officers / Whole-Time Directors of the
under the Companies Act, 2013 or under SEBI the meetings. Out of these, six meetings were held through 8. Review the need for Impact Assessment, if any, for the Company.
(Listing Obligations and Disclosure Requirements) video conferencing and in remaining one meeting, the quorum projects or programmes.
Regulation, 2015 (including any amendments thereof). was present physically while the other committee members h) Approve inclusion of senior officers of the Company as
joined through video conferencing. The CSR Policy of the Company is available on the website of Corporate Officers.
b) “Related Party” means a related party as defined under the Company and the weblink for the same has been provided
the Companies Act, 2013, rules made thereunder Attendance details of each member at the Audit Committee at the end of this report. i) Approve promotions within the Corporate Officers.
and under applicable accounting standards and SEBI meetings held during FY 2020-21 are as follows:
(Listing Obligations and Disclosure Requirements) During FY 2020-21, the CSR Committee met two times on j) Regularly review the Human Resource function of the
Regulations, 2015 (including any amendments thereof). Name of the Position No. of Number April 20, 2020 and October 07, 2020. The necessary quorum Company.
Committee Member meetings of was present at all the meetings. Both the meetings were held
held during meetings
x) To attend Annual General Meeting through video conferencing. k) Approve grant of stock options to the employees and / or
tenure attended
Directors (excluding Independent Directors and Promoter
The Chairman of the Audit Committee shall attend the Mr. S. Madhavan Chairperson 7 7 3. Nomination and Remuneration Committee Directors) of the Company and subsidiary companies and
Annual General Meetings of the Company to provide any Mr. Deepak Kapoor Member 7 7 perform such other functions and take such decisions as
clarification on matters relating to its scope sought by the As on March 31, 2021, the Nomination and Remuneration are required under the various Employees Stock Option
members of the Company. Ms. Nishi Vasudeva Member 7 7 Committee (‘NRC’) comprised of four members, with two of its Plans of the Company.
Ms. Robin Ann Abrams Member 7 7 members as Independent Directors, namely:
The statutory auditors of the Company shall be special l) Discharge such other function(s) or exercise such
invitees to the Audit Committee meetings, and they shall 2. Corporate Social Responsibility Committee a) Mr. R. Srinivasan (Chairperson) power(s) as may be delegated to the Committee by the
participate in discussions related to the audit and reviews b) Ms. Roshni Nadar Malhotra Board from time to time.
of the financial statements of the Company and any other As on March 31, 2021, the Corporate Social Responsibility c) Ms. Robin Ann Abrams
matter that in the opinion of the statutory auditors needs (‘CSR’) Committee comprised of three members including one d) Mr. Shikhar Malhotra m) Make reports to the Board as appropriate.
to be brought to the notice of the Committee or any matter Independent Director namely:
in which they are invited by the Committee to participate. Note: Dr. Mohan Chellappa has been co-opted as a member n) Review and reassess the adequacy of this charter
a) Ms. Roshni Nadar Malhotra (Chairperson) of the NRC w.e.f. April 1, 2021. periodically and recommend any proposed changes to
y) Subsidiary Companies b) Mr. Shiv Nadar the Board for approval from time to time.
c) Mr. S. Madhavan Terms of Reference
The Audit Committee of the holding company shall also During FY 2020-21, the NRC met five times on May 4, 2020, July
review the financial statements, in particular the inter- Note: Dr. Mohan Chellappa has been co-opted as a member The Terms of Reference of the NRC are as under: 15, 2020, August 31, 2020, October 13, 2020 and February 3,
corporate loans and investments made by or in the of the CSR Committee and Mr. Shiv Nadar has ceased to be 2021. The necessary quorum was present at all the meetings.
subsidiary companies. the member of the Committee w.e.f. April 10, 2021. a) Succession planning for certain key positions in the All the meetings were held through video conferencing.
Company viz. Directors, Chief Executive Officer (CEO),
z) Reporting of Fraud by the Auditors Terms of Reference Chief Operating Officer (COO), Chief Financial Officer Attendance details of each member at NRC meetings held
(CFO) and Senior Management. The Committee to identify, during the year ended March 31, 2021 are as follows:
In case the auditor has sufficient reason to believe that The Board of Directors of the Company in its meeting held on screen and review candidates, inside or outside the
an offence involving fraud is being or has been committed April 21-23, 2021, has revised the terms of the CSR Committee Company and provide its recommendations to the Board. Number of Number
against the Company by officers or employees of the pursuant to the provisions of the Companies (Corporate Social Name of the meetings of
Position
Committee Member held during meetings
Company, or by the Company the Auditor shall forward Responsibility Policy) Amendment Rules, 2021. b) Review and recommend to the Board the appointment
tenure attended
his report to the Committee and the Committee shall send and removal of Directors / Key Managerial Personnel and
its reply or observations to the Auditor and such matters The Terms of Reference of the CSR Committee are as under: persons in senior management. “Senior Management” Mr. R. Srinivasan Chairperson 5 5
shall be reported to the Board by the Committee. 1. Formulate and recommend to the Board, a CSR Policy. shall mean corporate officers of the Company. Ms. Roshni Nadar Member 5 5
Malhotra
aa) Cost Auditor 2. Recommend the amount of expenditure to be incurred on c) Review of criteria to carry out the performance evaluation Mr. Shiv Nadar * Member 1 1
CSR activities. of the Board as a whole and individual Directors. Ms. Robin Ann Abrams Member 5 5
If the Company is required by the Companies Act, 2013 3. Formulate and recommend to the Board the Annual
Action Plan, which shall include: Mr. Shikhar Malhotra * Member 4 4
or other legal provision to appoint a Cost Auditor to have d) Recommend to the Board a policy relating to remuneration of
a cost audit conducted, the Committee shall take into a) the list of CSR projects or programs that are approved Directors, Key Managerial Personnel and other employees. * Mr. Shikhar Malhotra was opted as a member of the NRC in
consideration the qualifications and experience of the to be undertaken in areas or subjects specified in place of Mr. Shiv Nadar w.e.f. May 6, 2020.
person proposed for appointment as the cost auditor and Schedule VII of the Companies Act, 2013; The Nomination and Remuneration Committee while
recommend such appointment to the Board, together with formulating the aforesaid policy shall ensure that – Remuneration Policy and criteria of making payments to
b) the manner of execution of such projects or programs;
the remuneration to be paid to the cost auditor. Executive and Non-Executive Directors
c) the modalities of utilization of funds for the projects 1. The level and composition of remuneration is
ab) Review of the Terms of Reference of the Audit Committee or programs; reasonable and sufficient to attract, retain and The Remuneration Policy of the Company is aimed at rewarding
d) Implementation schedules for the projects or motivate Directors of the quality required to run the performance, based on a review of achievements on a regular
The Committee shall review and reassess the adequacy of programs; company successfully; basis and is in consonance with existing industry practices.
the terms of reference of the Audit Committee on a periodical e) monitoring mechanism for the projects or programs;
basis, and where necessary obtain the assistance of the 2. Relationship of remuneration to performance is clear The criteria for making payments to Executive and
and meets appropriate performance benchmarks; and Non-Executive Directors of the Company are as under:
166 Corporate Governance Report 167
 Executive Director There were no other pecuniary relationships or transactions of The Company shall reimburse the travelling, hotel and other b) Ms. Roshni Nadar Malhotra
the Non-Executive Directors vis-à-vis the Company. out-of-pocket expenses incurred by the Directors for attending c) Mr. Shiv Nadar
The remuneration of the Executive Director is recommended the meetings and for other work on behalf of the Company. d) Mr. Shikhar Malhotra
by the NRC to the Board and after approval by the Board the The Remuneration Policy prepared as per provisions of the e) Mr. R. Srinivasan
same is put up for shareholders’ approval. Executive Director Section 178 (3) and (4) of the Act and Regulation 19 of the V. Remuneration Policy for Key Managerial Personnel f) Mr. Thomas Sieber
does not receive any sitting fees for attending the Board and Listing Regulations is provided below. The same is also
Committee meetings. available on the website of the Company and the weblink for The Company’s Remuneration Policy of Key Managerial Note: Mr. Shiv Nadar has ceased to be a member of the
the same has been provided at the end of this report. Personnel (other than Executive Directors covered above) and Finance Committee w.e.f. April 1, 2021.
During the financial year under review, the Board comprised other employees is driven by their success and performance
of one Executive Director viz. Mr. Shiv Nadar. There are no Remuneration Policy for Directors, Key Managerial of the Company. Through its compensation programme, the Terms of Reference
separate provisions for the service of notice period by the Personnel and other employees Company endeavors to attract, retain, develop and motivate
Executive Director and payment of severance fee to the a high performance workforce. The Company follows a The Terms of Reference of the Finance Committee are as
Executive Director at the time of his termination. I. Scope of the Policy compensation mix of fixed pay, performance based variable pay, under:
benefits and perquisites, long term cash incentive plans and
The remuneration paid to Mr. Shiv Nadar for the year ended The Remuneration Policy (“Policy”) applies to the Directors equity based reward plans. The Company may grant loans to the a) To review and approve the capital structure plans and
March 31, 2021 from the Company is as under: and Key Managerial Personnel of the Company and other employees as per its Employees’ Personal Loan Policy. Individual specific equity and debt financings and recommend the
employees of the Company and its subsidiaries. performance pay is determined by business performance and same for approval to the Board.
Particulars ₹ in crore the performance of the individuals measured through periodic b) To review and approve the annual budgets and other
Salary - II. Background appraisal process. The Company will ensure that level and financial estimates and provide its recommendations to
Perquisites and other benefits 0.91 composition of remuneration is reasonable and sufficient to the Board.
Total 0.91 A transparent, fair and reasonable process for determining attract, retain and motivate all employees to contribute to their
the appropriate remuneration at all career levels and roles potential and in turn run the Company successfully. c) To review the actual performance of the Company against
In addition, Mr. Shiv Nadar received salary and perquisites as prevalent in the Company is required to ensure that the the budgets.
USD 0.49 Million (equivalent to ₹3.64 crores) from HCL shareholders remain informed and confident about the VI. Disclosure d) To review and approve the capital expenditure plans and
America Inc., a wholly-owned step-down subsidiary of the management of the Company. specific capital projects and recommends the same to the
Company. The overall compensation is in accordance with the The Remuneration Policy shall be disclosed in the Directors’ Board for approval.
approval given by the shareholders of the Company. III. Objective Report, Annual Report and such other places as may be
required by the Act and rules framed thereunder, Equity Listing e) To evaluate the performance of and returns on approved
Non-Executive Directors The objectives of this Policy are: Agreement entered into with the stock exchanges (including capital expenditure.
any statutory modification(s) or re-enactment thereof) and
During the financial year under review, the Company had a) To create a transparent system of determining the such other laws for the time being in force. f) To consider and approve the proposal which involves
paid sitting fees to its Non-Executive Directors for attending appropriate level of remuneration throughout all career funding assets on operating and / or financial lease in the
the meetings of the Board of Directors, Audit Committee and levels and roles of the Company. VII. Implementation normal course of business.
Finance Committee of the Company. The Company also g) To review and approve the proposals for mergers,
b) Motivate the Directors, Key Managerial Personnel and
paid commission to its Non-Executive Directors as per the This Policy has been approved and adopted by the Board of the acquisitions and divestitures and provide its
other employees, to perform to their maximum potential.
limits approved by the Board and the shareholders of the Company after the recommendation of the Committee of the recommendations to the Board.
Company. The amount of such commission, taken together c) To reward performance and meritocracy, based on review Company. Any revisions to the Policy will be submitted to the
for all Non-Executive Directors, does not exceed 1% of of achievements on a regular basis and is in consonance Board for consideration and approval upon recommendation h) To evaluate the performance of acquisitions.
the net profits of the Company in a financial year. The said and benchmarked with the existing industry practices. by the Committee. i) To consider and approve the proposals for fresh
commission is decided each year by the Board of Directors investments by way of infusion of capital and / or providing
and distributed amongst the Non-Executive Directors based d) Allow the Company to compete in each relevant The details of remuneration paid to the Key Managerial
employment market. of loan and any further investments (by capital / loan) in
on their attendance and contribution at the Board and certain Personnel other than the Managing Director of the Company wholly owned subsidiaries / branches and providing any
Committee meetings, as well as the time spent on operational e) Provide consistency in remuneration and benefits for the year ended March 31, 2021 are as under: guarantees for funding the same.
matters other than at meetings. throughout the Company. (` in crores)
Sr. Name Designation Gross j) To evaluate the performance of Subsidiaries / JVs / Branches.
The sitting fees and commission paid / payable to the Non- f) Align the performance of the business with the performance
No. Salary k) To plan and prepare strategies for managing the foreign
Executive Directors for the year ended March 31, 2021 are as of key individuals and teams within the Company.
under: 1 Mr. C. Vijayakumar (1) Chief Executive Officer - exchange exposure – the Committee to approve the
IV. Remuneration Policy for Directors 2 Mr. Prateek Aggarwal (2) Chief Financial Officer 4.49 hedging policy and monitor its performance.
Sitting Fees Commission 3 Mr. Manish Anand Company Secretary 1.37 l) To approve the investment policy and review the
for the FY for the FY (a) Executive Directors performance thereof.
Name of the Director
2020-21 2020-21 Notes:
(₹ in crore) (₹ in crore) The remuneration of the Executive Directors will be m) To recommend dividend policy to the Board.
(1) Mr. C. Vijayakumar, Chief Executive Officer did not receive
Ms. Roshni Nadar Malhotra 0.02 0.75 recommended by the Nomination and Remuneration any remuneration from the Company. However, he received n) To review and approve the insurance coverage and
Committee (Committee) to the Board of Directors (Board) and USD 4.13 million (equivalent ₹30.60 crores) as remuneration program for the Company.
Mr. Deepak Kapoor 0.04 0.62 after approval by the Board, the same will be put up for the from HCL America Inc., a wholly-owned step-down subsidiary
shareholder’s approval. of the Company during the financial year 2020-21. o) To consider and approve the guarantees / bonds provided
Mr. S. Madhavan 0.04 0.80
by the Company either directly or through banks in
Dr. Mohan Chellappa 0.02 0.70 (b) Non-Executive Directors (2) Mr. Prateek Aggarwal, Chief Financial Officer apart from connection with the Company’s business.
receiving remuneration from the Company, also received USD
Ms. Nishi Vasudeva 0.03 0.62 p) To approve opening / closing of bank accounts of the
Non-Executive Directors will be paid commission as approved 0.16 million (equivalent ₹1.19 crores) as remuneration from
Company and change in signatories for operating the
Ms. Robin Ann Abrams 0.03 0.95 by the Board within the limits approved by the shareholders HCL America Inc., a wholly-owned step-down subsidiary of
bank accounts.
of the Company. The amount of such commission, taken the Company during the financial year 2020-21.
Dr. Sosale Shankara Sastry 0.02 0.70 together for all Non-Executive Directors, will not exceed 1% q) To perform any other activities or responsibilities assigned
Mr. Shikhar Malhotra 0.02 0.64 of the net profits of the Company in a financial year calculated 4. Finance Committee to the Committee by the Board of Directors from time to
as per the requirements of Section 198 of the Companies Act, time.
Mr. R. Srinivasan 0.02 0.88 2013 (“Act”). The said commission shall be decided each year As on March 31, 2021, the Finance Committee comprised of
by the Board of Directors and distributed amongst the Non- the following members: r) To delegate authorities from time to time to the Executives
Mr. Simon John England 0.02 0.70 / Authorised persons to implement the decisions of the
Executive Directors based on their attendance, contribution at
Mr. Thomas Sieber 0.02 0.78 the Board and certain Committee meetings and the time spent a) Mr. S. Madhavan (Chairperson) Committee within the powers authorised above.
on operational matters other than at meetings.
168 Corporate Governance Report 169
 During FY 2020-21, the Committee met three times on July
Terms of Reference 7. Diversity Committee Succession Planning is a part of the charter of the Nomination
13, 2020, August 30, 2020 and November 10, 2020. The
and Remuneration Committee of the Company. The Committee
necessary quorum was present at all the meetings. All the
The Terms of Reference of the Risk Management Committee In order to affirm, guide and support the commitment of the shall identify, screen and review candidates, inside or outside the
meetings were held through video conferencing.
are as under: Company to drive gender diversity, the Company has in place Company and provide its recommendations to the Board.
5. Stakeholders’ Relationship Committee a Committee of the Board named as Diversity Committee.
1. To assist the Board of Directors (“Board”) in overseeing INDEPENDENCE OF STATUTORY AUDITORS
As on March 31, 2021, the Stakeholders’ Relationship the responsibilities with regard to the identification, As on March 31, 2021, the Diversity Committee comprised of
Committee comprised of the following members: evaluation and mitigation of operational, strategic and the following members: The Board ensures that the statutory auditors of the Company
external environmental risks including cyber security are independent and have an arm’s length relationship with the
a) Mr. S. Madhavan (Chairperson) risks. a) Ms. Robin Ann Abrams (Chairperson) Company.
b) Ms. Roshni Nadar Malhotra b) Ms. Roshni Nadar Malhotra
2. To assist the Board in taking appropriate measures to c) Mr. Shiv Nadar TOTAL FEES PAID TO STATUTORY AUDITORS
c) Mr. Shiv Nadar
achieve a prudent balance between risk and reward in
Note: Mr. Shikhar Malhotra has been co-opted as a member of both ongoing and new business activities. Note: Mr. Simon John England has been co-opted as a • Fees for Audit Services
the Stakeholders’ Relationship Committee and Mr. Shiv Nadar member of the Diversity Committee and Mr. Shiv Nadar has
has ceased to be a member of the Stakeholders’ Relationship 3. To review and approve the Risk Management Policy and ceased to be a member of the Diversity Committee w.e.f. April For FY 2020-21, a total fee of ₹20 crores was paid / incurred by
Committee w.e.f. April 1, 2021 associated framework, processes and practices. 1, 2021. the Company and its subsidiaries for all audit services availed
(in India and overseas), on a consolidated basis, of which
The Chairperson of the Committee, Mr. S. Madhavan is a Non- 4. To evaluate significant risk exposures including business Terms of Reference ₹8 crores were paid / incurred by the Company, to the Statutory
Executive Independent Director on the Board of the Company. continuity planning and disaster recovery planning. Auditors of the Company, for statutory audit services provided
The Terms of Reference of the Diversity Committee are as by them; ₹2 crores was paid / incurred by subsidiaries, for
Terms of Reference 5. To assess management’s actions in mitigating the risk under: statutory audit and related services, to the Statutory Auditors
exposures in a timely manner. and their network firms; and ₹10 crores was paid / incurred
The Stakeholders’ Relationship Committee has been formed Gender Diversity – by the Company and its overseas subsidiaries, for audit of
to undertake the following activities: 6. To promote enterprise-wide Risk Management and obtain 1. To support the progression of women into senior roles. US GAAP financial statements on consolidated basis and
a) To review and take all necessary actions for redressal of comfort based on adequate and appropriate evidence audit of respective overseas subsidiaries, to the firms which
that the Management of the Company ensures the 2. To ensure fair representation of women candidates in the are member firms and/or licensees of the international
grievances and complaints of security holders as may be hiring process.
required in the interests of the security holders. implementation and effective functioning of the entire risk organization of which the Statutory Auditor of the Company is
management process and embedding of a comprehensive 3. To ensure fairness in promotion, compensation, rewards a sub-licensee.
b) To approve requests of re-materialisation of shares / risk management culture in the Company at every stage and leadership development process.
securities, issuance of split and duplicate shares / security of its operations. • Fees for Non-Audit Services
certificates. 4. To build the leadership pipeline to achieve balanced
gender ratio to all the levels of leadership.
During the year under review, the Committee physically met 7. To assist the Board in maintenance and development of a For FY 2020-21, a total fee of ₹2 crores was paid / incurred
5. To manage bias in talent review and succession planning.
once on February 16, 2021 and approved certain matters supportive culture, in relation to the management of risk, by the Company and its subsidiaries for all non-audit services
through resolutions passed by circulation. appropriately embedded through procedures, training Culture and Ethnicity – availed (in India and overseas), on a consolidated basis to
and leadership actions so that all employees are alert 1. To measure culture via setting of cultural indicators. the Statutory Auditors of the Company, their network firms and
Name, Designation and Address of Compliance Officer to the wider impact on the whole organization of their to the firms which are member firms and/or licensees of the
actions and decisions. 2. To promote inter-cultural competence. international organization of which the Statutory Auditor of the
Mr. Manish Anand 3. To ensure high impact leadership transitions. Company is a sub licensee.
Company Secretary 8. To maintain an aggregated view on the risk profile of the 4. To create a culturally balanced diverse workforce.
HCL Technologies Limited Company / industry in addition to the profile of individual MATERIALLY SIGNIFICANT RELATED PARTY TRANSACTIONS
5. To empower people of different ethnicity and diverse
Plot No.: 3A, Sector 126, Noida-201 304, UP, India risks.
cultural backgrounds.
Tel.: +91-120-6125000 There have been no materially significant related party transactions,
E-mail: investors@hcl.com. 9. To ensure the implementation of and compliance with the Individuals with Disabilities – monetary transactions or relationships between the Company and
objectives set out in the Risk Management Policy. 1. To ensure non-discrimination and recognition of the its Directors, management, subsidiary or relatives, except for those
Investors’ Grievances diversity of people with disabilities. disclosed in the financial statements for FY 2020-21. Detailed
10. To advise the Board on acceptable levels of risk appetite, information on materially significant related party transactions is
The following table shows the Shareholders’ complaints tolerance and strategy appropriate to the size and nature 2. To ensure that job opportunity announcements contain enclosed in Annexure 2 to the Board Report. A Policy on Related
received during FY 2020-21: of business and the complexity and geographic spread of language emphasizing hiring for individuals with Party Transactions formulated pursuant to the provisions of the
the Company’s operations. disabilities and accordingly identify the roles / open Act and the Listing Regulations and as approved by the Board is
No. of positions available. available on the website of the Company and the weblink for the
Particulars
Complaints 11. To review and reassess the adequacy of this charter 3. To ensure implementation of inclusive global policies. same has been provided at the end of this report.
Investor complaints pending at the beginning NIL periodically and recommend any proposed changes to 4. To ensure specialized training is provided to all employees
of the year the Board for approval from time to time. for ensuring accessible workplace. CODE OF BUSINESS ETHICS AND CONDUCT
Investor complaints received during the year 26 5. To track and monitor employment of individuals with
Investor complaints disposed off during the 26 12. The Committee shall have access to any internal The Board has prescribed a Code of Business Ethics and Conduct
disabilities (IWD) on a quarterly basis.
year information necessary to fulfill its oversight role. As (COBEC) that provides for transparency, ethical conduct, a gender
and when required the Committee may assign tasks During the year under review, the Committee met three times friendly workplace, legal compliance and protection of Company’s
Investor complaints remaining unresolved at NIL to the Internal Auditor, the Company’s internal Risk on July 15, 2020, October 13, 2020 and January 11, 2021. property and information. COBEC is a set of guiding principles and
the end of the year management team and any external expert advisors The necessary quorum was present at all the meetings. All the covers all directors, employees, third party vendors, consultants
6. Risk Management Committee considered necessary for any task and they will provide meetings were held through video conferencing. and customers across the world. COBEC also includes the duties
their findings to the Committee. of Independent Directors as mentioned in Schedule IV of the Act.
As on March 31, 2021, the Risk Management Committee SUCCESSION PLANNING COBEC is periodically reviewed taking into account the prevailing
comprised of the following members: During the year under review, the Committee met five times on business and ethical practices. The Code is also posted on the
July 2, 2020, November 4, 2020, February 4, 2021, February Succession Planning aids the Company in identifying and website of the Company and the weblink for the same has been
a) Mr. S. Madhavan (Chairperson) 11, 2021 and March 11, 2021. The necessary quorum was developing internal people with the potential to fill certain key provided at the end of this report.
b) Mr. Deepak Kapoor present at all the meetings. Out of these, four meetings positions in the Company viz. Chief Executive Officer, Chief
were held through video conferencing and in remaining one Operating Officer, Chief Financial Officer and Company Secretary. All Board members and senior management personnel have
c) Ms. Nishi Vasudeva
meeting, the quorum was present physically while the other It increases the availability of experienced and capable employees confirmed compliance with COBEC for FY 2020-21. A declaration
d) Ms. Robin Ann Abrams committee members joined through video conferencing. that are prepared to assume these roles as they become available. to this effect signed by the Managing Director and CEO of the
Company is provided in this Annual Report.
170 Corporate Governance Report 171
CODE FOR PREVENTION OF INSIDER TRADING probationers, apprentices, contract labor and also all visitors to GENERAL BODY MEETINGS
the Company. Any complaints about harassment shall be treated
The Company has comprehensive codes and polices on under this Policy. This Policy is not confined to the actual working The location and time of the AGMs held and details of special resolutions passed thereat during the preceding 3 years are as follows:
prevention of Insider Trading in line with the SEBI (Prohibition place of the employees in the sense of the physical space in which
of Insider Trading) Regulations, 2015 (as amended from time paid work may be performed as per the prescribed duty hours but Financial Date Time (IST) Venue Details of Special Resolution passed
to time). The Code of Conduct on Prohibition of Insider Trading also includes any place visited by the employee arising out of or Year
(‘Insider Trading Code’) inter-alia prohibits trading in the shares during the course of employment. The Company has constituted a 2019-20 September 29, 2020 11:00 A.M. Via Video Conferencing 1. Appointment of Dr. Mohan Chellappa as an
(including derivatives) of the Company by the Designated Persons committee for the redressal of all sexual harassment complaints. Independent Director of the Company.
(as defined under the Insider Trading Code) and their immediate These matters are also being reported to the Audit Committee. 2. Re-appointment of Mr. Thomas Sieber as an
relatives, while in possession of unpublished price sensitive During the year ended March 31, 2021, the Company has received Independent Director of the Company.
information in relation to the Company and its group companies. 11 complaints on sexual harassment in India and outside, which
The Company, within two trading days of receipt of the information were classified as significant incidents for investigation, out of 2018-19 August 6, 2019 11:00 A.M. The Stein Auditorium’, 1. Re-appointment of Mr. R. Srinivasan as an
under the initial and continual disclosures from the Designated which 10 complaints have been disposed after taking appropriate Habitat World, at India Independent Director of the Company.
Persons (as defined under the Insider Trading Code), discloses actions and 1 complaint remain pending as on March 31, 2021. Habitat Centre, Lodhi Road, 2. Re-appointment of Mr. S. Madhavan as an
the same to the extent required, to all the Stock Exchanges, where Internal review is under progress for the pending complaint, New Delhi-110003 Independent Director of the Company.
the shares of the Company are listed. following due process. 3. Re-appointment of Ms. Robin Ann Abrams as an
Independent Director of the Company.
ANTI-BRIBERY AND ANTI-CORRUPTION POLICY WHISTLEBLOWER POLICY
4. Re-appointment of Dr. Sosale Shankara Sastry as
To ensure that the Company is conducting its business activities The principles of trust through transparency and accountability an Independent Director of the Company.
with honesty, integrity and highest possible ethical standards and are at the core of the Company’s existence. To ensure strict 5. Payment of commission to Non-Executive
to demonstrate the Company’s commitment towards prevention, compliance with ethical and legal standards across the Company, Directors.
deterrence and detection of fraud, bribery and other corrupt a Whistleblower Policy is in place to provide appropriate avenues 2017-18 September 18, 2018 11:00 A.M. The Stein Auditorium’, No special resolution passed.
business practices, the Company has in place an Anti-Bribery and to the Directors, employees, contractors, contractors’ employees, Habitat World, at India
Anti-Corruption (‘ABAC’) Policy that applies to the employees at all clients, vendors, internal or external auditors, consultants, law Habitat Centre, Lodhi Road,
levels, directors, consultants, agents and other persons associated enforcement / regulatory agencies or other third parties to bring to
with the Company, its affiliates and subsidiaries. The Policy covers New Delhi-110003
the attention of the management any issues which are perceived
matters relating to hospitality, offset obligations, employment of to be of unethical behaviour including breach of Company’s Code
relatives, guidance on gifts, political / charitable contributions, of Conduct to regulate, monitor and report Insider Trading by DETAILS OF RESOLUTIONS PASSED THROUGH POSTAL BALLOT promoters, Directors, the management, senior management
extortion / blackmail responses etc. The policy is available on the Designated Persons and their immediate relatives, including any personnel, their relatives, etc., that may have any potential
website of the Company and the weblink for the same has been incident involving leak or suspected leak of unpublished price During the year under review, no resolution was passed through conflict with the interest of the Company. The Company has
provided at the end of this report. sensitive information, actual or suspected fraud or violation of postal ballot. Further, no special resolution is proposed to be obtained requisite declarations from all the Directors and
the Company’s Code of Business Ethics and Conduct. All cases conducted through postal ballot as on the date of this report. senior management personnel in this regard and the same
The Company has embarked on the journey to align its ABAC registered under the Whistleblower Policy of the Company are were placed before the Board of Directors.
framework with the ISO 37001:2016 Anti-Bribery Management reported to the external Ombudsperson who carries out preliminary SUBSIDIARY COMPANIES AND POLICY ON MATERIAL
Systems (ABMS) certification. This journey has helped strengthen investigations. SUBSIDIARY b) Compliances by the Company
the ABAC framework to encourage all employees and business
associates to understand and embrace the ethical standards and Complaints received against “C” Level Officers (CEO/CFO/CHRO/ The Company has formulated and adopted a Policy for The Company has complied with the applicable requirements
make informed and ethical decisions. The certification agency, the President/Corporate Officers) or complaints against any Director or determining Material Subsidiary in line with the requirements of of the Stock Exchanges, SEBI and other statutory authorities
British Standards Institution (BSI), has issued the ISO 37001:2016 Chairperson of the Company are overseen by the Chairperson of the Listing Regulations. The Policy aims to set out the principles on all matters relating to capital markets during the last three
certificate dated December 17, 2020 to the Company for a period the Audit Committee and disciplinary action is decided by the Audit for determining a material subsidiary. The said policy is available years. No penalties or strictures have been imposed on the
of 3 years till December 16, 2023. Committee. Complaints against other employees are overseen on the website of the Company and the weblink for the same has Company by the Stock Exchanges, SEBI or any other statutory
by the Head of Internal Audit and disciplinary action is decided been provided at the end of this report. authorities relating to the above during the last three years.
PREVENTION AND REDRESSAL OF SEXUAL HARASSMENT by the Whistleblower Committee. The Whistleblower has direct
AT WORKPLACE POLICY access to the Chairperson of the Audit Committee in appropriate During the financial year under review, HCL America, Inc., HCL c) Other Disclosures
or exceptional cases and the Chairperson of the Audit Committee Bermuda Limited and HCL Technologies Corporate Services
In order to provide a safe and healthy work environment free is authorized to prescribe suitable directions in this regard. The Limited were the material subsidiaries of the Company as per the 1. The Company has in place the Whistleblower Policy
of any hassles and all kinds of harassment including sexual identity of the Whistleblower is kept confidential. criteria given under Regulation 16 of the Listing Regulations. which provides the Whistleblower, direct access to the
harassment and to prevent and redress such harassment Chairperson of the Audit Committee in appropriate or
complaints, the Company has in place Prevention and Redressal The Audit Committee reviews the policy and its implementation on The Audit Committee of the Company reviews the financial exceptional cases. Further, no employee has been denied
of Sexual Harassment at Workplace Policy. This policy applies periodic basis and is provided a quarterly update on the status statements in particular the inter-corporate loans and investments access to the Audit Committee.
to all employees of the Company, its group companies and joint of various complaints received and investigated. The policy is made by or in the subsidiary companies. The minutes of the board
ventures operating out of India like regular, temporary, ad-hoc, daily available on the website of the Company at and the weblink for the meetings as well as the statement of significant transactions and 2. During the year, the Company did not raise any money
wagers, contractual staff, vendors, clients, consultants, trainees, same has been provided at the end of this report. arrangements entered into by the unlisted subsidiary companies, through public issue, rights issue, preferential issue or
if any, are placed before the Board of Directors of the Company qualified institutional placement and there was no unspent
from time to time. money raised through such issues.

CEO / CFO CERTIFICATION 3. Maintenance of cost records has not been specified by
The Certificate by the President and Chief Executive Officer the Central Government under section 148(1) of the Act,
and the Chief Financial Officer of the Company on the financial and accordingly such accounts and records are not made
statements for FY 2020-21, as stipulated in Regulation 17(8) of and maintained by the Company.
the Listing Regulations read with Part B of Schedule II was placed
before the Board. The said Certificate is provided in this Annual 4. In terms of the provisions of the Listing Regulations, the
Report. Company has in place an “Archival Policy” and a “Policy
for Determination of Materiality of Events or Information”.
DISCLOSURES Both the policies are available on the website of the
Company and the weblinks for the same have been
a) Related party transactions provided at the end of this report.

During the year under review, the Company has not entered
into any transaction of a material nature with its subsidiaries,
172 Corporate Governance Report 173
 5. Credit Ratings e) Intimation to the Stock Exchanges: The Company intimates CERTIFICATE FROM PRACTICING COMPANY SECRETARY directors of companies by SEBI / Ministry of Corporate Affairs or
to the Stock Exchanges all price sensitive information or such ON NON-DISQUALIFICATION OF DIRECTORS any such statutory authority, is annexed hereto.
a) ICRA Limited has re-affirmed its long-term rating other matters which in its opinion are material and of relevance
[ICRA]AAA (Stable) and short-term rating [ICRA] to the Shareholders. As required under Regulation 34(3) and Schedule V of the ANNUAL SECRETARIAL COMPLIANCE REPORT
A1+ to the Company in respect of its bank limits Listing Regulations, certificate dated April 20, 2021 obtained from
during the financial year under review. f) NSE Electronic Application Processing System: As per M/s. Chandrasekaran Associates, Practicing Company Secretaries As required under Regulation 24A of the Listing Regulations, the
the mandate received from National Stock Exchange of India (also the Secretarial Auditors of the Company) confirming that Annual Secretarial Compliance Report dated April 20, 2021 issued by
b) CRISIL has re-affirmed its corporate credit rating Limited (‘NSE’), the Company has been uploading its financial none of the Directors on the Board of the Company have been M/s. Chandrasekaran Associates, Practicing Company Secretaries
‘CCR AAA/Stable’ to the Company during the information, shareholding pattern, Report on Corporate debarred or disqualified from being appointed or continuing as (also the Secretarial Auditors of the Company), is annexed hereto.
financial year under review. Governance and press releases on the dedicated website of
NSE i.e. https://neaps.nseindia.com/NEWLISTINGCORP/. GENERAL SHAREHOLDER INFORMATION
c) S&P Global Ratings (S&P) has assigned credit
rating A-/Stable/-- to the Company, which is the g) Online Portal-BSE Corporate Compliance & Listing a. Annual General Meeting: As mentioned in the AGM Notice
Guarantor to the USD 500 million senior unsecured Centre: As per the mandate received from BSE Limited Date :
notes (“Notes”) issued by HCL America Inc., a step- (‘BSE’), the Company has been uploading its financial Time :
down wholly owned subsidiary of the Company information, shareholding pattern, Report on Corporate Venue :
incorporated under the laws of California. S&P has Governance and press releases on the dedicated website of b. Financial Year : April 1, 2020 to March 31, 2021
also assigned "A-" long-term issuer credit rating BSE i.e. https://listing.bseindia.com/home.htm. c. Date of Book Closure : Book Closure, if any, shall be specified in the AGM Notice.
to HCL America Inc. with a stable outlook and "A-" d. Dividend Payment Date (subject to : NA
long- term issue rating to the Notes. h) Designated exclusive e-mail ID: The Company has the approval of shareholders)
following designated e-mail ID: investors@hcl.com exclusively
d) Fitch Ratings Limited (Fitch) has assigned long- for investors servicing. e. Listing of Equity Shares on stock : National Stock Exchange of India Ltd. (NSE)
term rating of A- with stable outlook. Fitch has exchanges in India at Exchange Plaza, 5th Floor, Plot No. C/1, G Block,
also assigned long-term rating of A- to the USD GREEN INITIATIVES DRIVE BY THE MINISTRY OF CORPORATE Bandra Kurla Complex, Bandra East, Mumbai – 400 051, India.
500 million senior unsecured notes issued by HCL AFFAIRS, GOVERNMENT OF INDIA Tel.: +91-22-26598236, Fax: +91-22-26598237
America Inc., a step-down wholly owned subsidiary BSE Limited (BSE)
of the Company incorporated under the laws of The Company, as a corporate entity, is committed to protect and Phiroze Jeejeebhoy Towers, Dalal Street,
California. conserve the natural environment in its operations and services. Mumbai – 400 001, India
As a responsible corporate citizen, the Company welcomes and Tel.: +91-22-22721233, Fax: +91-22-22723121
MEANS OF COMMUNICATION supports the ‘Green Initiative’ taken by the Ministry of Corporate f. Stock Codes : NSE – HCLTECH
Affairs, Government of India, enabling electronic delivery of BSE – 532281
a) Financial Results, Newspapers in which results normally documents to the shareholders at their e-mail addresses registered g. ISIN for Equity Shares : INE860A01027
published: The quarterly, half-yearly and annual financial with the Depository Participants / Registrar & Share Transfer Agent.
results of the Company are generally published in leading h. Listing of Non-Convertible Debentures : NA
newspapers in India inter-alia, in Mint (all editions) and The Annual Report (2020-21) and the Notice of the Twenty-Ninth on stock exchanges in India at
Hindustan Hindi (Delhi Edition). The results are also displayed AGM will be sent to all the members in the manner prescribed or i. Debenture Trustee : NA
on the Company’s website https://www.hcltech.com/investors/ as may be prescribed in the applicable laws. j. ISIN for Debentures : NA
results-reports. k. Listing Fees : Paid to all Stock Exchanges for the year 2020-21
Shareholders holding shares in demat form are requested to
b) Website: The Company’s corporate website i.e. www.hcltech.com register their e-mail addresses with their respective depository l.. Corporate Identification Number (CIN) : L74140DL1991PLC046369
provides comprehensive information on the Company’s portfolio participants and shareholders holding shares in physical form are of the Company
of businesses. The website has an entire section dedicated requested to register their e-mail addresses with the Registrar & m. Registered Office : 806, Siddharth, 96, Nehru Place, New Delhi – 110 019, India
to Company’s profile, its core values, corporate governance, Share Transfer Agent, to ensure electronic delivery of all necessary Tel.: +91-11-26436336
business lines and industry sections. An exclusive section documents / communication by the Company. Homepage: www.hcltech.com
on ‘Investors’ enables them to access information at their
convenience. The entire Annual Report as well as quarterly, half- INVESTOR RELATIONS - ENHANCING INVESTOR DIALOGUE n. Stock Market Data
yearly, annual financial statements, press releases, quarterly
shareholding patterns and quarterly corporate governance As a listed entity and a responsible corporate citizen, the Company The details of the monthly high and low prices of the Equity Shares of the Company and its comparison to broad based indices BSE
reports are available in downloadable format as a measure of recognizes the imperative need to maintain continuous dialogue Sensex and NSE Nifty for period April 1, 2020 to March 31, 2021 are as follows:
added convenience to the investors. with the investor community. The objective of Investor Relations
is to keep investors abreast of significant developments that Month Share price on BSE BSE-Sensex
c) News Releases, Presentations, etc.: Official news releases, determine Company’s overall performance while at the same time High Low High Low
detailed presentations made to media, analysts, institutional addressing investor concerns. This translates into disseminating (₹) (₹) (₹) (₹)
investors, etc. are displayed on the Company’s website timely, accurate and relevant information that helps investors in
April 2020 550.00 399.65 33,887 27,501
https://www.hcltech.com/investors Official media releases are making informed investment decisions.
also sent to the Stock Exchanges. May 2020 563.80 502.10 32,845 29,968
To ensure effective communication, the Investor Relations Division June 2020 593.30 550.50 35,707 32,348
d) Annual Report: The Annual Report containing, inter-alia, the provides comprehensive information in the form of Annual Reports, July 2020 684.95 551.00 38,236 34,927
Audited Annual Standalone Financial Statements, Audited Quarterly Earnings Reports, Investor Releases on the Company’s
August 2020 728.80 678.00 39,112 36,911
Annual Consolidated Financial Statements, Directors’ Report, Website under ‘Investors’ section at https://www.hcltech.com/investors.
Auditor’s Report on Standalone and Consolidated financial September 2020  849.70 682.80 39,360 36,496
statements, Management Discussion and Analysis Report, Additionally, Conference Calls, Management Interviews, Face to October 2020 910.75 811.25 41,048 38,410
Corporate Governance Report, Business Responsibility Face Investor Meetings and AGM(s) ensure a direct interaction of November 2020 872.70 800.60 44,825 39,335
Report and other important information is circulated to market participants with the management team.
December 2020 934.00 815.05 47,056 44,118
members and others entitled thereto as per the provisions of
the applicable laws. The Annual Report of the Company for The management is committed to build investor relations on January 2021 1,073.55 940.75 50,184 47,270
FY 2020-21 shall be available on the Company’s website in a the pillars of trust, consistency and transparency. Its proactive February 2021 986.00 890.00 52,517 46,434
user-friendly and downloadable form. approach has enabled the investor community to better understand March 2021 1,023.90 916.00 51,822 48,236
the nature of the Company’s business, management strategies
and operational performance over a period of time. Source: This information is compiled from the data available from the website of BSE.

174 Corporate Governance Report 175

 o. Registrar & Shares Transfer Agent (RTA) amendment will help in curbing frauds and manipulation of
HCLTechStockPriceMovementversusBSESensex
HCL share price versus the S&P BSE Sensex (Sensex) risk in physical transfer of securities by unscrupulous persons.
The details of the RTA are as below - Further, holding of securities in dematerialized form will also
300 improve ease, convenience and safety of transactions for the
M/s. Link Intime India Private Limited investors.
250 Unit- HCL Technologies Limited
C-101, 247 Park, L.B.S. Marg, Transfer of shares in dematerialized form is done through the
Vikhroli (West), Mumbai, depositories with no involvement of the Company.
200
Maharashtra - 400 083
SEBI Registration No.: 1NR000004058 As per the requirement of Regulation 40(9) of the Listing
150 Corporate Identity Number: U671 9OMH1999PTC118368 Regulations, the Company has obtained half-yearly certificates
Telephone: 022-49186270 from Practising Company Secretary for due compliance of
100 Fax: 022-4918 6060 share transposition and transmission and filed the same with
E-mail: rnt.helpdesk@linkintime.co.in the Stock Exchanges.
50 p. Share Transfer System As on March 31, 2021, no equity share was pending for
transmission or transposition.
0 99.97% of the equity shares of the Company are in dematerialized
form. SEBI has amended the relevant provisions of the Listing q. Reconciliation of Share Capital Audit Report
AprͲ20 MayͲ20 JunͲ20 JulͲ20 AugͲ20 SepͲ20 OctͲ20 NovͲ20 DecͲ20 JanͲ21 FebͲ21 MarͲ21 Regulations to disallow the listed companies from accepting
requests for transfer of securities which are held in physical As required under Regulation 76 of the SEBI (Depositories
Sensex HCLTech form, w.e.f. April 1, 2019. The shareholders who continue and Participants) Regulations, 2018, the reconciliation of
to hold shares and/or other types of securities of the listed share capital audit report on the total admitted capital with
Note: HCL share price and Sensex values on April 1, 2020 have been baselined to 100. companies in physical form even after this date, will not be able National Securities Depository Limited (“NSDL”) and Central
to lodge requests for transfer of securities with the Company Depository Services (India) Limited (“CDSL”) and the total
/ RTA. They would be required to first convert the securities issued and listed capital for each of the quarter in FY 2020-21
in dematerialized form if they wish to effect any transfer. Only was carried out. The audit reports confirm that the total issued
Month Share Price on NSE NSE-Nifty the requests for transmission and transposition of securities in / paid-up share capital is in agreement with the total number of
High Low High Low physical form will be accepted by the Companies / RTA. This shares in physical form and the total number of dematerialized
(₹) (₹) (₹) (₹) shares held with NSDL and CDSL.
April 2020 565.50 399.30 9,889 8,056
May 2020 546.00 502.40 9,585 8,807 r. Shareholding as on March 31, 2021
June 2020 593.50 550.00 10,553 9,544 i) Distribution of shareholding as on March 31, 2021
July 2020 684.80 551.00 11,240 10,300
Number of Equity Shares held No. of Shareholders No. of Shares Shares
August 2020 729.00 677.05 11,562 10,882
Shareholders (%) (%)
September 2020  849.90 682.40 11,618 10,790
1 – 500 5,10,931 95.43 2,83,52,304 1.04
October 2020 910.70 811.20 12,025 11,347
November 2020 872.80 800.25 13,146 11,557 500 – 1,000 12,164 2.27 90,93,752 0.34
December 2020 935.00 815.10 13,778 12,963 1,001 – 2,000 5,290 0.99 77,60,468 0.29
January 2021 1,067.00 941.00 14,754 13,929 2,001 – 4,000 2,383 68,52,024 0.25
0.45
February 2021 986.50 896.35 15,432 13,662
4,001 – 6,000 897 0.17 44,64,424 0.16
March 2021 1,023.90 915.65 15,336 14,264
6,001 – 8,000 498 0.09 34,96,425 0.13
Source: This information is compiled from the data available from the website of NSE. 8,001 – 10,000 360 0.07 33,28,297 0.12
10,001 and above 2,884 0.54 2,65,03,17,402 97.67
HCL share price versus the HCLTechStockPriceMovementversusNifty50
NSE Nifty 50 index
Total 5,35,407 100.00 2,71,36,65,096 100.00
300
ii) Categories of equity shareholders as on March 31, 2021
250
Category Number of shares held Voting Strength (%)
200 Promoters 1,63,71,90,274 60.33
Mutual Funds 18,42,68,248 6.79
150
Financial Institutions / Banks 41,57,386 0.15
100 Insurance Companies 9,20,20,341 3.39
Foreign Portfolio Investors / Foreign Institutional Investors 65,51,06,035 24.14
50
Alternate Investment Funds 56,12,721 0.21
0 Foreign Banks 29,644 0.00
AprͲ20 MayͲ20 JunͲ20 JulͲ20 AugͲ20 SepͲ20 OctͲ20 NovͲ20 DecͲ20 JanͲ21 FebͲ21 MarͲ21 Non-Institution (any other) 1,44,66,779 0.53
Bodies Corporate 1,48,68,779 0.55
Nifty50 HCLTech Individuals 8,73,16,391 3.22
Note: HCL share price and NSE Nifty 50 index values on April 1, 2020 have been baselined to 100. NRIs / OCBs 1,38,22,757 0.51

176 Corporate Governance Report 177

 Category Number of shares held Voting Strength (%) Dividend
Dividend Record Date / Book Dividend Payment Due Date of
NBFC’s registered with RBI 1,96,823 0.01 Year Date of Declaration Amount
Type Closure Dates Dates transfer to IEPF
per share (₹)
Foreign Nationals 1,48,668 0.01
2015-2016 Interim August 3, 2015 August 10, 2015 August 17, 2015 5.00 September 2, 2022
Trusts 1,15,222 0.00   Interim October 19, 2015 October 26, 2015 November 2, 2015 5.00 November 18, 2022
Trust Employees 1,26,483 0.00  
Interim January 19, 2016 January 28, 2016 February 4, 2016 6.00 February 18, 2023
Central Government / State Government(s) / President of India 4,82,297 0.02
2016-2017 Interim April 28, 2016 May 6, 2016 May 13, 2016 6.00 May 29, 2023
Investor Education and Protection Fund 2,03,962 0.01   Interim August 3, 2016 August 11, 2016 August 19, 2016 6.00 September 3, 2023
HUF 14,46,727 0.05  
  Interim October 21, 2016 October 29, 2016 November 7, 2016 6.00 November 21, 2023
Clearing Members 20,85,559 0.08
Interim January 24, 2017 February 2, 2017 February 9, 2017 6.00 February 24, 2024
Grand Total 2,71,36,65,096 100.00
2017-2018 Interim May 11, 2017 May 25, 2017 June 2, 2017 6.00 June 10, 2024
  Interim July 27, 2017 August 4, 2017 August 11, 2017 2.00 August 26, 2024
s. Dematerialization of Shares and Liquidity  
The shares of the Company are under compulsory dematerialization (“Demat”) category and consequently, shares of the Company   Interim October 25, 2017 November 2, 2017 November 9, 2017 2.00 November 24, 2024
can be traded only in electronic form. Interim January 19, 2018 January 30, 2018 February 5, 2018 2.00 February 18, 2025
The system for getting the shares dematerialized is as under: 2018-2019 Interim May 2, 2018 May 10, 2018 May 17, 2018 2.00 June 1, 2025
  August 6 to August 6,
a) Share certificate(s) along with Demat Requisition Form (DRF) is to be submitted by the shareholder to the Depository Participant   Interim July 27, 2018 August 14, 2018 2.00 August 26, 2025
2018 *
(DP) with whom he / she has opened a Depository Account.  
Interim October 23, 2018 October 31, 2018 November 9, 2018 2.00 November 22, 2025
b) DP processes the DRF and generates a unique number viz. DRN. Interim January 29, 2019 February 6, 2019 February 14, 2019 2.00 February 28, 2026
2019-2020 Interim May 9, 2019 May 17, 2019 May 24, 2019 2.00 June 8, 2026
c) DP forwards the DRF and share certificates to the Company’s Registrar & Shares Transfer Agent.
Interim August 7, 2019 August 17, 2019 August 26, 2019 2.00 September 6, 2026
d) The Company’s Registrar & Shares Transfer Agent after processing the DRF confirms or rejects the request to the Depositories. Interim October 23, 2019 November 1, 2019 November 8, 2019 2.00 November 22, 2026
Interim January 17, 2020 January 27, 2020 February 4, 2020 2.00 February 16, 2027
e) Upon confirmation, the Depository gives the credit to shareholder in his / her depository account maintained with DP.
Final September 29, 2020 September 16-17, 2020* October 5, 2020 2.00 October 30, 2027
As on March 31, 2021, about 99.97% of the equity shares issued by the Company are held in dematerialized form. 2020-21 Interim July 17, 2020 July 25, 2020 August 7, 2020 2.00 August 17, 2027
The Company’s equity shares are regularly traded on NSE and BSE, in dematerialized form. Interim October 16, 2020 October 24, 2020 November 9, 2020 4.00 November 16, 2027
Interim January 15, 2021 January 23, 2021 February 8, 2021 4.00 February 15, 2028
The Company’s ISIN in NSDL and CDSL for Equity Shares is INE860A01027.
* Book Closure dates
Since the trading in the shares of the Company can be done only in electronic form, it is advisable that the shareholders who have The Company sends regular reminders to the shareholders to claim their dividends in order to avoid the transfer of dividends /
the shares in physical form get their shares dematerialized. shares to the IEPF Authority. Notices in this regard are also published in the newspapers and the details of unclaimed dividends and
shareholders whose shares are liable to be transferred to the IEPF Authority, are uploaded on the website of the Company and the
t. Outstanding GDRs / ADRs / Warrants or any Convertible Instruments, conversion date and likely impact on equity weblink for the same has been provided at the end of this report.

The Company has not issued any GDRs / ADRs / warrants or other instruments, which are pending for conversion. w. Financial Calendar (tentative and subject to change)

u. Commodity price risk or foreign exchange risk and hedging activities Financial reporting for the first quarter ending June 30, 2021 Third week of July, 2021
Financial reporting for the second quarter and half year ending September 30, 2021 Third week of October, 2021
The Company does not deal in commodities and hence the disclosure pursuant to SEBI Circular dated November 15, 2018 is Financial reporting for the third quarter ending December 31, 2021 Third week of January, 2022
not required to be given. For details on foreign exchange risk and hedging activities, please refer to Management Discussion and Financial reporting for the fourth quarter and year ending March 31, 2022 Last week of April, 2022
Analysis Report which forms part of this Annual Report.
AGM for the year ending March 31, 2022 August, 2022
v. Transfer of Unpaid / Unclaimed Dividend to Investor Education and Protection Fund (IEPF)
x. Address for Shareholders’ correspondence
Pursuant to the provisions of Section 124 of the Act, the dividend amount which have remained unpaid or unclaimed for a period of
seven years from the date of transfer to unpaid dividend account have been transferred by the Company to the Investor Education The Secretarial Department
and Protection Fund (“IEPF”) established by the Central Government pursuant to Section 125 of the Act. Shareholders who have not HCL Technologies Limited
enchased their dividend warrants relating to the dividend specified in table below are requested to immediately send their request for 14th Floor, Tower- 6,
issue of duplicate warrants. Once the unclaimed dividend is transferred to the IEPF, the same can be claimed from the IEPF Authority Plot No.3A, Sector -126,
after following the procedures prescribed in the IEPF Rules. Noida-201 304, UP, India
Tel.: + 91 11 26436336
Dividend E-mail ID: investors@hcl.com
Dividend Record Date / Book Dividend Payment Due Date of
Year Date of Declaration Amount
Type Closure Dates Dates transfer to IEPF
per share (₹) y. Compliance Certificate on the Corporate Governance from the Auditors
2013-2014 Interim April 17, 2014 April 23, 2014 April 30, 2014 4.00 May 17, 2021
The certificate dated April 23, 2021 obtained from the Statutory Auditors of the Company, M/s. B S R & Co. LLP, confirming compliance
2014-2015 Interim July 31, 2014 August 6, 2014 August 14, 2014 12.00 August 30, 2021 with the Corporate Governance requirements as stipulated under Schedule V read with Regulation 34(3) of the Listing Regulations,
  Interim October 17, 2014 October 23, 2014 November 3, 2014 6.00 November 16, 2021 is annexed hereto.
 
  Interim January 30, 2015 February 5, 2015 February 11, 2015 8.00 March 1, 2022
Interim April 21, 2015 April 27, 2015 May 5, 2015 4.00 May 21, 2022

178 Corporate Governance Report 179

z. Centres’ Locations Bengaluru STPI Bengaluru (Sankalp)
GR Tech Park Sankalp Semiconductor Pvt. Ltd.
Chennai STPI No-137, Ground Floor, Vayu Block, ‘B’ Wing (A HCL Technologies Limited Company)
Sterling Technopolis D-12, SIDCO Industrial Estate, Ambattur 64 & 65, Second Main Road, Salarpuria, Whitefield, Bangalore 401E, B-Wing (East), 4th Floor
4/293, Rajiv Gandhi Salai Industrial Estate, Ambattur (AMB-1) Ambattur Industrial Estate, Ambattur Karnataka – 560 066 RMZ Ecoworld Infrastructure Pvt. Ltd.
Old Mahabalipuram Road, Kandanchavadi Chennai, Tamil Nadu - 600 058 (AMB-3), Chennai Tel.: +(91) 80 4921 4600 SEZ 20 & 21, Devarabeesanahalli
Perungundi, Chennai, Tamil Nadu - 600 096 Tel.: +(91) 44 4200 4800 Tamil Nadu - 600 058 Sarjapura Outer Ring Road
Tel.: +(91) 44 6665 7930 Tel.: +(91) 44 6648 3900 Bengaluru, Karnataka – 560 103
94, South Phase, Ambattur Industrial Estate 73-74, South Phase, Ambattur Industrial 8, South Phase, MTH Road, Ambattur Tel: +(91) 80 4935 6500
Ambattur (AMB-4), Chennai Estate, Ambattur (AMB-5), Chennai Industrial Estate, Ambattur (AMB-6), Noida STPI
Tamil Nadu - 600 058 Tamil Nadu - 600 058 Chennai, Tamil Nadu - 600 058
Tel: +(91) 44 6107 4600 Tel: +(91) 44 6107 5000 Tel: +(91) 44 6612 8000 A - 8 & 9, Sector 60 A-11, Sector 16, Noida A-2, Sector - 3, Noida
Noida, U.P. – 201 301 U.P. -201 301 U.P. – 201 301
Chennai SEZ Tel.: +(91) 120 438 4000 Tel.: +(91) 120 438 3000 Tel.: +(91) 120 426 2900
ELCOT–SEZ Special Economic Zone Bayline Infocity Ltd. Ozone Technopark, Fax: +(91) 120 438 4606 Fax: +(91) 120 251 0713
602 / 3, 138, Medavakkam High Road SEZ-I, Block 1, Special Economic Zone SEZ Unit - 1, 2/1 Abu Garden, A - 9, 10, 11, Sector - 3 B-34/3, Sector - 59, Noida A - 22, Sector 60, Noida
Sholinganallur Village Kancheepuram (District) 33, Rajiv Gandhi Salai, Navallur Village 6th Floor, Platinum Holdings Pvt. Ltd. Noida, U.P. -201 301 U.P. – 201 301 U.P. – 201 301
Chennai, Tamil Nadu - 600 119 and Panchayat, Thiruporur Panchayat OMR Navalur, Kancheepuram Dist. Tel.: +(91) 120 401 3000 Tel.: +(91) 120 401 1800 Tel.: +(91) 120 438 7300
Tel.: +(91) 44 6105 000 Union, Chengalpet Taluk, Kanchipuram (Chengalpattu New District) Tel.: +(91) 120 438 2800
District, Chennai, Tamil Nadu – 600 119 Chennai, Tamil Nadu – 600 130
Tel.: +(91) 44 4746 10000 Tel.: +(91) 44 6156 9000 Lotus Business Park
Plot No. 8, Tower B
Statestreet HCL Services India Pvt. Ltd. Statestreet HCL Services India Pvt. Ltd. 1st - 3rd Floor, Sector - 127
Bayline Infocity Ltd. Platinum Holdings Pvt. Ltd. Noida, U.P. -201 304
Block 2 & 3 (Part), Special Economic Zone Ozone Technopark, SEZ Unit Tel.: +(91) 120 635 1004
33, Rajiv Gandhi Salai, Navallur Village and 5th Floor No: 2/1, Abu Garden
Panchayat, Thiruporur Panchayat, Union Old Mahabalipuram Road, Navalur Noida SEZ Lucknow SEZ
Chengalpet Taluk, Kanchipuram District Village and Panchayat, Chennai Golden Tower Infratech Pvt. Ltd. Noida Technology Hub (SEZ) Village Kanjehara & Mastemau
Chennai, Tamil Nadu – 600 119 Tamil Nadu – 600 130 4th & 5th Floor, Plot No. 8, Sector – 144 Plot No: 3A, Sector - 126 Chuck Gajaria Farms
Tel.: +(91) 44 4746 1000 Noida, U.P. – 201 306 Noida, U.P. – 201 303 Sultanpur Road
Madurai SEZ Madurai Tel.: +(91) 120 733 7200/7300 Tel.: +(91) 120 612 5002 Lucknow, U.P. – 262 002
Tel.: +(91) 522 678 8000
ELCOT Special Economic Zone SPA IT Towers, Tel.: +(91) 522 714 8000
SEZ Unit – 1, Tower - 1, 2, 3 Survey No. 155/1 and 155/2, 120 Feet
Survey No: ½, 4/2 & 5 Road, Near Preethi, Hospital, Opp Gurugram SEZ Kochi SEZ Hubli STPI
Plot No. 5 & 7, Ilandaikulam Village Mattuthavani Bus Stand, Madurai HCL Technologies Ltd. Athulya Building, SDB Block Sankalp Semiconductor Pvt. Ltd. (A
Madurai, Tamil Nadu – 625 020 Tamil Nadu – 625 020 SEZ Unit, 1st Floor, Tower 11, Ground Floor, Infopark Kochi PO HCL Technologies Limited Company)
Tel.: +(91) 452 666 7201 Tel.: +(91) 452 402 2600 M/s. Gurgaon Info Space Ltd. Phase 1 SEZ, Kakkanad Plot No: 9, Survey No 89
Coimbatore Coimbatore SEZ Sector 21 Village, Dundahera Kerala – 682 042 Aryabhata Tech Park, Navanagar
Gurugram, Haryana - 122 016 Hubli – 580025, Karnataka, India
Rathinam Tech Zone Campus, Statestreet HCL Services India Pvt. Ltd.
Block 2, First floor, Pollachi Main Road IT Park (Tidel Park Coimbatore Limited) Kolkata SEZ Kolkata STPI Kolkata SEZ
Echanari, Coimbatore, Tamil Nadu – 641 021 ELCOT IT/ITES SEZ, Vilankurichi CANDOR Kolkata One Hi-Tech Structure Pvt. Ltd. SDF Building, 1st & 3rd Floors Sankalp Semiconductor Pvt. Ltd.
Tel.: +(91) 422 664 7502 Civil Aerodrome Post, Coimbatore SEZ-IT/ITES, Plot No – 1, Block No. A2 & A3 Module Nos. 212-214, 228-230 (A HCL Technologies Limited
Tamil Nadu - 641 014 DH Street No: 316, 3rd & 4th Floor, New Town Block – GP, Sector - V, Salt Lake Company)
Hyderabad SEZ Hyderabad (C3i) Rajarhat, District, North 24 Parganas, Kolkata Kolkata, West Bengal – 700 091 CANDOR Kolkata One Hi-Tech
West Bengal – 700 156 Tel.: +(91) 33 4030 8200 Structure Pvt. Ltd. SEZ-IT/ITES
Avinash Hitech City 2 Society GAR Corporation Pvt. Ltd. C3i Support Services Pvt. Ltd. (A Tel.: +(91) 33 6605 2430/2386 Plot No – 1, Block No. A2 & A3
Plot H-01B and H08, Sy. No. 30, 34, 35 & 38 SEZ, 3rd Floor, Tower 8, Laxmi Infobahn HCL Technologies Limited Company) Tel.: +(91) 33 3027 2341 DH Street No: 316, 4th Floor (Part)
Gachibowli Village, Serillimgampally Mandal Sy. No 89, Kokapet (V), Gandipet Mandal (STPI), 5th Floor, Orion Building New Town Rajarhat, District North 24
Ranga Reddy District, Hyderabad Ranga Reddy District, Hyderabad Plot No. 17, Software Units Layout Parganas, Kolkata,
Telangana – 500 081 Telangana - 500 075 Madhapur, Hyderabad West Bengal – 700 156
Tel.: +(91) 40 3090 4000 Telangana – 500 081
Tel.: +(91) 40 665 64600 Pune STPI
Fax: +(91) 40 665 64599 Plot 6 & 8, World Trade Centre 1st Floor, Wing 1, Tower - A
Bengaluru SEZ Rajiv Gandhi Infotech Park, MIDC Phase 1 Survey No: 1 Business Bay, Survey No. 103
Hinjewadi, Pune, Maharashtra – 411 057 Tower - 3, 9th Floor Hissa No. 2, Airport Road Yerwada
Special Economic Zone, 129, Jigani Industrial Manyata Embassy Business Park – SEZ Karle Town Centre Survey Nos. 72 Tel.: +(91) 20 4028 4445 Kharadi, Pune Pune, Maharashtra – 411 006
Area, Bommasandra Jigani Link Road Block C4(ELM), 1st Floor Wing A & Wing 91/3 and 91/4, Nagavara Village Tel.: +(91) 20 4028 4444 Maharashtra – 411 014 Tel.: + (91) 20 6741 1000/1001
Bangalore, Karnataka – 562106 B, Outer Ring Road, Nagavara & Kasaba Hobli, North Taluk Tel.: + (91) 20 6712 8800
Tel.: +(91) 80 67810000 Rachenahalli Villages, KR Puram Hobli Bangalore, Karnataka – 560 045
Fax: + (91)80 66311111 Bangalore, Karnataka – 560 045 Tel.: + (91) 80 6639 0100 Quadra - Unit No-3, Plot 1
Sr. No 238 & 239, Hadapsor, Taulka Haveli
Cessana Business Park- SEZ Aviator Building, Wing B Pune, Maharashtra – 411 028
Ground & 1st Floor, Building 9 5th Floor, Ascendas ITPL-SEZ Tel.: +(91) 20 4850 8555
Village, Varthur Hobli, Outer Ring Road, East Whitefield Main Road
Taluk, Bangalore, Karnataka -560 087 Bengaluru, Karnataka – 560 066
Tel: +(91) 80 6148 5000 Tel.: +(91) 80 4851 4643

180 Corporate Governance Report 181

 Pune SEZ LIST OF WEBLINKS REFERRED TO IN DIRECTORS’ REPORT AND CORPORATE GOVERNANCE REPORT
Embassy Tech Zone Tower 7, Level Upper Ground Floor Qubix Business Park Pvt. Ltd.
Plot No. 3A, 1st and 2nd Floor (Wing A & B), Hadapsar Cybercity SEZ, Survey No. 145/6, Block - IT5 Particulars Website Link
Rajiv Gandhi Infotech Park Magarpatta, SEZ 5th & 6th Floor, Rajiv Gandhi Infotech Investors’ Section https://www.hcltech.com/investors
Phase 2 Hinjewadi Pune, Maharashtra – 411 013 Park, MIDC, Phase-1, Hinjewadi Financial Results https://www.hcltech.com/investors/results-reports
Pune, Maharashtra – 411 057 Tel.: + (91) 20 6689 6300 Pune, Maharashtra – 411 057 Financial Statements of Subsidiaries https://www.hcltech.com/investors/subsidiaries-financials
Tel.: + (91) 20 6193 7012 Tel.: + (91) 20 4028 4090
Annual Return https://www.hcltech.com/investors/results-reports
Statestreet HCL Services (India) Pvt. Ltd.
Embassy Tech Zone, Plot No. 3A Dividend Distribution Policy https://www.hcltech.com/investors/governance-policies.
3rd to 7th Floor, Rajiv Gandhi Infotech Park Statement of Employees Pursuant to Rule 5(2) and 5(3) of the Companies
https://www.hcltech.com/investors/results-reports
Phase 2 Hinjewadi, Pune (Appointment and Remuneration of Managerial Personnel) Rules, 2014
Maharashtra – 411 057 Code of Practices and Procedures for fair disclosure of Unpublished
Tel.: + (91) 20 6193 7012 https://www.hcltech.com/investors/governance-policies.
Price Sensitive Information (‘Fair Disclosure Code’)
Mumbai STPI Nagpur SEZ Letter of Appointment of Independent Director https://www.hcltech.com/investors/governance-policies
Reliable Tech Park Ground Floor, Arena House Plot No. 5, Sector - 12, Unit-1 Familiarization Programme for Independent Director https://www.hcltech.com/investors/governance-policies
703, A & B Wing, 7th Floor Road No. 12, MIDC, Andheri East MIHAN SEZ, Nagpur Corporate Social Responsibility Policy https://www.hcltech.com/investors/governance-policies
Airoli, Mumbai Mumbai, Maharashtra – 400 093 Maharashtra – 441 108 Remuneration Policy https://www.hcltech.com/investors/governance-policies
Maharashtra – 400 708 Tel.: +(91) 22 4032 0320 Tel.: +(91) 71 2678 0000 Policy on Related Party Transactions https://www.hcltech.com/investors/governance-policies
Tel.: +(91) 22 6705 6556
Code of Business Ethics and conduct https://www.hcltech.com/investors/governance-policies
Vijayawada Vijayawada SEZ
Anti-Bribery and Anti-Corruption Policy https://www.hcltech.com/investors/governance-policies
Statestreet HCL Services (India) Pvt. Ltd. Statestreet HCL Services (India) Pvt. HCL Technologies Limited (SEZ)
SEZ Unit I & II, IT Tower Medha Ltd., 1st Floor, Infosight, Pothuru Junction SEZ Unit 1, Rs. No. 20/3, Nh-5 Whistleblower Policy https://www.hcltech.com/investors/governance-policies
3rd & 4th Floor, Ace Urban Hitech City Ltd. Tadepalli, Guntur District Kesarapalli Village, Ganavaram Policy for determining Material Subsidiary https://www.hcltech.com/investors/governance-policies
Sy. No. 53, Kesarapalli Village, Gannavaram Andhra Pradesh – 522 501 Mandal, Vijayawada Archival Policy https://www.hcltech.com/investors/governance-policies
Mandal, Vijayawada, Krishna District Krishna District Policy for Determination of Materiality of Events or Information https://www.hcltech.com/investors/governance-policies
Andhra Pradesh – 521 102 Andhra Pradesh – 521 102
Tel.: +(91) 86 6458 6100 Details of unclaimed dividends and shares liable to be transferred to IEPF https://www.hcltech.com/investors/iepf-details.
Transcripts of Earnings Calls https://www.hcltech.com/investors/results-reports

COMPLIANCE WITH MANDATORY AND NON-MANDATORY REQUIREMENTS

The Listing Regulations provides certain mandatory requirements which have to be fulfilled by the Company. The Company has complied
with all the mandatory requirements of the Listing Regulations. Specifically, the Company confirms compliance with corporate governance
requirements specified in Regulations 17 to 27 and clauses (b) to (i) of Regulation 46(2) of the Listing Regulations, as applicable.

The Listing Regulations further states certain non-mandatory requirements which may be implemented as per the discretion of the
Company. The Company complies with the following non-mandatory requirements:

1. Shareholders’ Rights

The Clause states that half-yearly declaration of financial performance including summary of the significant events in the last six
months, may be sent to each shareholder.

The Company communicates with investors regularly through e-mail, telephone and face to face meetings either in investor’s
conferences, Company visits or on road shows.

The Company leverages the internet in communicating with its investors. After the announcement of the quarterly results, a business
television channel in India telecasts discussions with the management. This enables a large number of retail investors in India
to understand the Company’s operations better. The announcement of quarterly results is followed by media briefing in press
conferences and earning conference calls. The earning calls are also webcast live on the internet. Further, transcripts of the earnings
calls are posted on the website of the Company and the weblink for the same has been provided at the end of this report.

The quarterly financial results are also published in English and Hindi daily newspapers.

2. Audit Qualifications

It is always the Company’s endeavour to present unqualified financial statements. There is no audit qualification in the Company’s
financial statements for FY 2020-21.

3. Separate posts of Chairman and CEO

The positions of the Chairperson and the CEO are held by separate individuals. Ms. Roshni Nadar Malhotra, Non Executive Director,
is the Chairperson of the Company and Mr. C. Vijayakumar is the CEO of the Company. The Chairperson and the CEO are also not
related to each other.

182 Corporate Governance Report 183

 CERTIFICATE OF NON-DISQUALIFICATION OF DIRECTORS SECRETARIAL COMPLIANCE REPORT OF HCL TECHNOLOGIES LIMITED
FOR THE YEAR ENDED ON 31st MARCH, 2021
(Pursuant to Regulation 34(3) and Schedule V Para C clause (10)(i) of the SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015)

To, To,
The Members The Board of Directors
HCL Technologies Limited HCL Technologies Limited
806, Siddharth, 96, Nehru Place, 806, Siddharth, 96, Nehru Place,
New Delhi - 110019 New Delhi-110019

We have examined the relevant registers, records, forms, returns and disclosures received from the Directors of HCL Technologies We M/s. Chandrasekaran Associates have examined:
Limited having CIN L74140DL1991PLC046369 and registered office at 806, Siddharth, 96, Nehru Place, New Delhi-110019 (hereinafter
referred (a) All the documents and records made available to us and explanation provided by HCL Technologies Limited. (“the listed entity”),
to as ‘the Company’), produced before us by the Company for the purpose of issuing this Certificate, in accordance with Regulation
34(3) read with Schedule V Para-C Sub clause 10(i) of the Securities Exchange Board of India (Listing Obligations and Disclosure (b) The filings/ submissions made by the listed entity to the stock exchanges,
Requirements) Regulations, 2015.
(c) Website of the listed entity,
In our opinion and to the best of our information and according to the verifications (including Directors Identification Number (DIN) status
at the portal www.mca.gov.in) as considered necessary and explanations furnished to us by the Company & its officers, We hereby (d) Any other document/ filing, as may be relevant, which has been relied upon to make this certification,
certify that none of the Directors on the Board of the Company as stated below for the Financial Year ended 31st March, 2021 have been
debarred or disqualified from being appointed or continuing as Directors of companies by the Securities and Exchange Board of India, for the year ended on 31st March, 2021 (“Review Period”) in respect of compliance with the provisions of:
Ministry of Corporate Affairs or any such other Statutory Authority:
(a) the Securities and Exchange Board of India Act, 1992 (“SEBI Act”) and the Regulations, circulars, guidelines issued thereunder; and
S. NO. NAME OF THE DIRECTOR DIN DATE OF APPOINTMENT IN COMPANY
1. Mr. Shiv Nadar 00015850 11/01/1993 (b) the Securities Contracts (Regulation) Act, 1956 (“SCRA”), rules made thereunder and the Regulations, circulars, guidelines issued
2. Ms. Robin Ann Abrams 00030840 13/09/1999 thereunder by the Securities and Exchange Board of India (“SEBI”);
3. Mr. Deepak Kapoor 00162957 26/07/2017 The specific Regulations, whose provisions and the circulars/ guidelines issued thereunder, have been examined, include:-
4. Mr. Srinivasan Ramanathan 00575854 19/04/2011
5. Mr. Shikhar Neelkamal Malhotra 00779720 22/10/2019 (a) Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 to the extent applicable;
6. Ms. Roshni Nadar Malhotra 02346621 29/07/2013
(b) Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018 to the extent applicable;
7. Ms. Nishi Vasudeva 03016991 01/08/2016
8. Dr. Sosale Shankara Sastry 05331243 24/07/2012 (c) Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 to the extent applicable;
9. Mr. Subramanian Madhavan 06451889 15/01/2013
10. Dr. Mohan Chellappa 06657830 06/08/2019 (d) Securities and Exchange Board of India (Buyback of Securities) Regulations, 2018; Not Applicable during the year under review.
11. Mr. Thomas Sieber 07311191 17/10/2015 (e) Securities and Exchange Board of India (Share Based Employee Benefits) Regulations, 2014; Not Applicable during the year
12. Mr. Simon John England 08664595 16/01/2020 under review.

(f ) Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008; Not Applicable during the year
Ensuring the eligibility for the appointment / continuity of every Director on the Board is the responsibility of the management of the under review.
Company. Our responsibility is to express an opinion on these based on our verification. This certificate is neither an assurance as to
the future viability of the Company nor of the efficiency or effectiveness with which the management has conducted the affairs of the (g) Securities and Exchange Board of India (Issue and Listing of Non- Convertible and Redeemable Preference Shares) Regulations,
Company. 2013; Not Applicable during the year under review.

For Chandrasekaran Associates (h) Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015;
 Company Secretaries
(i) The Depositories Act, 1996 and the Regulations and Bye-laws framed thereunder to the extent of Regulation 76 of Securities and
Exchange Board of India (Depositories and Participants) Regulations, 2018;
Sd/-
 Dr. S. Chandrasekaran (j) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993;
 Senior Partner
 Membership No. FCS 1644 (k) Securities and Exchange Board of India (Investor Protection and Education Fund) Regulations, 2009.
Date: April 20, 2021  Certificate of Practice No. 715
Place: New Delhi  UDIN: F001644C000142048 and based on the above examination, We hereby report that, during the Review Period:

Note: (a) The listed entity has complied with the provisions of the above Regulations and circulars/ guidelines issued thereunder, except in
i. Due to restricted movement amid COVID-19 pandemic, we have verified the disclosures and declarations received by way of electronic respect of matters specified below:-
mode from the Company and could not be verified from the original records. The management has confirmed that the records submitted
to us are the true and correct. Sr. No Compliance Requirement (Regulations/ circulars / Deviations Observations/ Remarks of the
guidelines including specific clause) Practicing Company
Secretary
NIL NIL NIL

(b) The listed entity has maintained proper records under the provisions of the above Regulations and circulars/ guidelines issued
thereunder in so far as it appears from my/our examination of those records.

184 Corporate Governance Report 185

(c) The Company has suitably included the conditions as mentioned in Para 6(A) and 6(B) of the SEBI Circular CIR/CFD/CMD1/114/2019, INDEPENDENT AUDITORS’ CERTIFICATE ON COMPLIANCE WITH THE CORPORATE GOVERNANCE REQUIREMENTS UNDER
dated October 18, 2019 in the terms of appointment of statutory auditor of the Company. SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015

(d) The following are the details of actions taken against the listed entity/ its promoters/ directors/ material subsidiaries either by SEBI
or by Stock Exchanges (including under the Standard Operating Procedures issued by SEBI through various circulars) under the
aforesaid Acts/ Regulations and circulars/ guidelines issued thereunder: TO THE MEMBERS OF HCL Technologies Limited

Sr. Action taken by Details of violation Details of action taken Observations/ remarks of 1. This certificate is issued in accordance with the terms of our engagement letter dated 18 December 2019.
No. E.g. fines, warning the Practicing Company
letter, debarment, etc. Secretary, if any 2. We have examined the compliance of conditions of Corporate Governance by HCL Technologies Limited (“the Company”), for the
NIL NIL NIL NIL year ended 31 March 2021, as stipulated in regulations 17 to 27, clauses (b) to (i) of regulation 46(2) and paragraphs C, D and E
of Schedule V of the Securities Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015
(e) The listed entity has taken the following actions to comply with the observations made in previous reports: as amended from time to time (“Listing Regulations”) pursuant to the Listing Agreement of the Company with the National Stock
Exchange Limited and the BSE Limited (collectively referred to as the ‘Stock exchanges’) and to be sent to the shareholders of the
Sr. Observations of the Observations made in the Actions taken by the Comments of the Company.
No. Practicing Company secretarial compliance report for listed entity, if any Practicing Company
Secretary in the year ended… Secretary on the actions Management’s Responsibility
the previous reports (The years are to be mentioned) taken by the listed entity
Not Applicable during the year under review 3. The compliance of conditions of Corporate Governance as stipulated under the listing regulations is the responsibility of the Company’s
Management including the preparation and maintenance of all the relevant records and documents. This responsibility includes
the design, implementation and maintenance of internal control and procedures to ensure the compliance with the conditions of
Corporate Governance stipulated in the Listing Regulations.
For Chandrasekaran Associates
Company Secretaries Auditors’ Responsibility

4. Our examination was limited to procedures and implementation thereof, adopted by the Company for ensuring the compliance of
Sd/- the conditions of the Corporate Governance. It is neither an audit nor an expression of opinion on the financial statements of the
Dr. S. Chandrasekaran Company.
Senior Partner
Membership No. FCS 1644 5. Pursuant to the requirements of the Listing Regulations, it is our responsibility to provide a reasonable assurance whether the
Date: April 20, 2021  Certificate of Practice No. 715 Company has complied with the conditions of Corporate Governance as stipulated in Listing Regulations for the year ended 31 March
Place: New Delhi  UDIN: F001644C000142026 2021.

Note: 6. We conducted our examination of the above corporate governance compliance by the Company in accordance with the Guidance
(i) Due to restricted movement amid COVID-19 pandemic, we conducted the secretarial audit by examining the Secretarial Records Note on Reports or Certificates for Special Purposes (Revised 2016) and Guidance Note on Certification of Corporate Governance
including Minutes, Documents, Registers and other records etc., and some of them received by way of electronic mode from the both issued by the Institute of the Chartered Accountants of India (the “ICAI”), in so far as applicable for the purpose of this certificate.
Company and could not be verified from the original records. The management has confirmed that the records submitted to us are The Guidance Note requires that we comply with the ethical requirements of the Code of Ethics issued by the ICAI.
the true and correct. This Report is limited to the Statutory Compliances on laws / regulations / guidelines listed in our report of which,
the due date has been ended/expired on or before March 31, 2021 pertaining to Financial Year 2020-21. 7. We have complied with the relevant applicable requirements of the Standard on Quality Control (SQC) 1, Quality Control for Firms
that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements.

Opinion

8. In our opinion and to the best of our information and according to the explanations given to us, we certify that the Company has
complied with the conditions of Corporate Governance as stipulated in the above-mentioned Listing Regulations.

9. We state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or effectiveness
with which the management has conducted the affairs of the Company.

Restriction on use

10. The certificate is addressed and provided to the Members of the Company solely for the purpose of enabling the Company to comply
with the requirement of the Listing Regulations and should not be used by any other person or for any other purpose. Accordingly,
we do not accept or assume any liability or any duty of care for any other purpose or to any other person to whom this certificate is
shown or into whose hands it may come without our prior consent in writing.

For B S R & Co. LLP

Chartered Accountants
Firm’s Registration No: 101248W/W-100022

Sd/-
Rakesh Dewan
Partner
Membership No: 092212
UDIN: 21092212AAAAAS1829

Place: Gurugram
Date: 23 April 2021

186 Corporate Governance Report 187

 DECLARATION BY CHIEF EXECUTIVE OFFICER PURSUANT TO REGULATION 34(3) OF THE SEBI (LISTING OBLIGATIONS
AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015 Business Responsibility Report
We, Shiv Nadar, Managing Director & Chief Strategy Officer and C. Vijayakumar, President & Chief Executive Officer of HCL Technologies With our strong commitment towards an adherence on sustainability and sustainable best practices across our eco-system, we are
Limited (“the Company”) confirm that the Company has adopted a Code of Business Ethics and Conduct (“Code of Conduct”) for its Board delighted to present herewith, the Business Responsibility Report of the Company for the financial year ended March 31, 2021. This report
members and senior management personnel and the Code of Conduct is available on the Company’s website. is prepared pursuant to Regulation 34(2)(f) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and follows
the National Voluntary Guidelines on Social, Environmental and Economical Responsibilities of Business, as stipulated by the Ministry of
We, further confirm that the Company has in respect of the financial year ended March 31, 2021, received from its Board members as well Corporate Affairs, Government of India.
as senior management personnel affirmation as to compliance with the Code of Conduct.
This Business Responsibility Report covers the responses towards the governance, stakeholders’ relations and environmental parameters
for the various business units directly under HCL Technologies Limited.

Shiv Nadar  C Vijayakumar Introduction:

Managing Director and Chief Strategy Officer  President & Chief Executive Officer
HCL Technologies Limited (“HCL” or the “Company”) is a leading global technology company that empowers global enterprises with
Place: New Delhi, India  Place: Cary, USA technology for the next decade today. HCL’s Mode 1-2-3 strategy, based on its deep-domain industry expertise, client-centricity and
Date: April 23, 2021 entrepreneurial culture of Ideapreneurship™, enables businesses to transform into nextgen enterprises.
___________________________________________________________________________________________________________
The Company offers its services and products through three business units: IT and Business Services (ITBS), Engineering and R&D
CERTIFICATE BY CHIEF EXECUTIVE OFFICER (CEO) AND CHIEF FINANCIAL OFFICER (CFO) PURSUANT TO REGULATION
Services (ERS) and Products & Platforms (P&P).
17(8) OF THE SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015
ITBS enables global enterprises to transform their businesses through offerings in the areas of applications, infrastructure, digital process
The Board of Directors operations and next generation digital transformation solutions.
HCL Technologies Limited
New Delhi ERS offers engineering services and solutions in all aspects of product development and platform engineering.

Dear members of the Board, P&P provides modernized software products to global clients for their technology and industry specific requirements. Through its cutting-
edge co-innovation labs, global delivery capabilities and broad global network, the Company delivers holistic services in various industry
1. We have reviewed the financial statements and the cash flow statement of the Company for the year ended March 31, 2021 and to verticals, categorized as Financial Services, Manufacturing, Technology and Services, Telecom and Media, Retail and CPG, Life Sciences
the best of our knowledge and belief – and Healthcare and Public Services.

(i) these statements do not contain any materially untrue statement or omit any material fact or contain statements that might be As a leading global technology company, the Company takes pride in its diversity, social responsibility, sustainability, and education
misleading; initiatives. For the financial year ended March 31, 2021, the Company had consolidated revenue of ₹75,379 crores. Its 1,68,977
Ideapreneurs operate out of 50 countries.
(ii) these statements together present a true and fair view of the Company’s affairs and are in compliance with existing accounting
standards, applicable laws and regulations. Section A: General Information about the Company
1 Corporate Identity Number (CIN) of the Company L74140DL1991PLC046369
2. There are, to the best of our knowledge and belief, no transactions entered into by the Company during the year which are fraudulent, 2 Name of the Company HCL Technologies Limited
illegal or violative of the Company’s code of conduct. 3 Registered address 806, Siddharth, 96, Nehru Place, New Delhi - 110019, India
3. We accept responsibility for establishing and maintaining internal controls for financial reporting and that we have evaluated the 4 Website www.hcltech.com
effectiveness of internal control systems of the Company pertaining to financial reporting. We have not come across any reportable 5 E-mail id investors@hcl.com
deficiencies in the design or operation of such internal controls. 6 Financial year reported April 1, 2020 to March 31, 2021
7 Sector(s) that the Company is engaged in IT Infrastructure Services, Software Application Services, Engineering
4. We have indicated to the Auditors and the Audit Committee – (industrial activity code-wise) and R&D Services and Business Process Services.
NIC Code of the product / service - 620
(i) that there are no significant changes in internal control over financial reporting during the year;
8 List three key products / services that the The Company offers an integrated portfolio of products and services
(ii) that there are no significant changes in accounting policies during the year; and Company manufactures / provides (as in balance through three business units. These are IT and Business Services
sheet) (ITBS), Engineering and R&D Services (ERS), and Products and
(iii) that there are no instances of significant fraud of which we have become aware and that there is no involvement of the Platforms (P&P).
management or employee having a significant role in the Company’s internal control system over financial reporting. ITBS enables global enterprises to transform their businesses via
Digital Foundation, our modernized infrastructure stack built around
hybrid cloud, software-defined networks, the digital workplace, and
C. Vijayakumar  Shiv Nadar other elements; Digital Business, a combination of our application
President & Chief Executive Officer  Managing Director and Chief Strategy Officer services and consulting capabilities; and Digital Operations, a three-
pronged setup for modernized and efficient operations at enterprise
Place: Cary, USA  Place: New Delhi, India level.
ERS offers engineering services and solutions in all aspects of product
Prateek Aggarwal  Prahlad Rai Bansal development and platform engineering.
Chief Financial Officer  Deputy Chief Financial Officer
Under P&P, the Company provides modernized software products to
global clients for their technological and industry-specific requirements.
Place: Noida (U.P.), India  Place: Delhi, India
Date: April 23, 2021

188 Business Responsibility Report 189

 Section A: General Information about the Company Principle-wise (as per NVGs) BR Policy / policies (Reply in Y / N)
9 Total number of locations where business activity
is undertaken by the Company- BRR Principle Mapping to the policies of the organisation

(a) Number of International Locations (Provide a) International Locations - The Company records its presence
Principle-wise (as per NVGs) BR Policy / policies (Reply in Y/N)
details of major 5) across 50 countries across the globe including India.
Sl. P1 P2 P3 P4 P5 P6 P7 P8 P9
Five Major International Locations are: USA, UK, Guatemala, No. Questions
Philippines, Poland 1. Do you have a policy / policies for P1 to P9 Y Y Y Y Y Y Y Y Y
For more details, refer - https://www.hcltech.com/geo-presence 2. Have the policy been formulated in consultation with the Y Y Y Y Y Y Y Y Y
relevant stakeholders?
(b) Number of National Locations b) National Locations - The Company is located across 15 states in
India having 79 offices in totality. 3. Does the policy conform to any national / international Y Y Y Y Y Y Y Y Y
standards?
10 Markets served by the Company Americas
Europe, Middle East & Africa 4. Has the policy been approved by the Board? If yes, Y Y Y Y Y Y Y Y Y
Asia Pacific has it been signed by MD / owner / CEO / appropriate
Board Director?
For details, refer to - https://www.hcltech.com/geo-presence 5. Does the Company have a specified committee of the Y Y Y Y Y Y Y Y Y
Board / Director / Official to oversee the implementation
SECTION B: FINANCIAL DETAILS OF THE COMPANY of the policy?
1 ₹542.73 crores 6. Indicate the link for the policy to be viewed online? https://www.hcltech.com/socially-responsible-business#other-policies
Paid up Capital (`): (as on March 31, 2021)
2 Total Turnover (`) (as per the consolidated ₹75,379 crores https://www.hcltech.com/investors/governance-policies
Financial Statements for the year ended March 31,
7. Has the policy been formally communicated to all relevant Y Y Y Y Y Y Y Y Y
2021)
internal and external stakeholders?
3 Total Profit After Taxes (`) (as per the ₹11,169 crores
8. Does the Company have in-house structure to Y Y Y Y Y Y Y Y Y
consolidated Financial Statements on March 31,
implement the policy / policies?
2021)
9. Does the Company have a grievance redressal Y Y Y Y Y Y Y Y Y
4 Total Spending on Corporate Social Responsibility During the year, the Company has contributed ₹195.15 crores for
mechanism related to the policy / policies to address
(CSR) as percentage of profit after tax CSR activities.
stakeholders’ grievances related to the policy / policies?
For details, refer to Annexure 3 of the Directors’ Report which forms 10. Has the Company carried out independent audit Y Y Y Y Y Y Y Y Y
part of this Annual Report. / evaluation of the working of this policy by an internal
5 List of CSR Activities in which expenditure has Refer to Annexure 3 of the Directors’ Report which forms part of or external agency?
been Incurred this Annual Report.
Sl.
SECTION C: OTHER DETAILS No. Policy Name Principal Mapping
1. Employee Code of Business Ethics and Conduct P1
1 Does the Company have any subsidiary company Yes.
/ companies? 2. Equal Opportunity Employer P4, P5
2 Do the subsidiary company / companies participate Yes. As on March 31, 2021 the Company has 140 subsidiaries and 11 3. Environment Policy P6, P2
in the BR Initiatives of the parent company? If associates. All subsidiaries and associate companies participate in our 4. Occupational Health and Safety Policy P3, P5
yes, then indicate the number of such subsidiary BR initiatives. 5. Anti-Bribery and Anti-Corruption Policy P1
company(s) 6. Prevention and Redressal of Sexual Harassment P3, P5
3 Do any other entity / entities (e.g. suppliers, Being a responsible organization, the Company believes in educating 7. Whistleblower Policy P1, P5
distributors etc.) that the Company does business its suppliers and distributors on the BR initiatives of the Company.
with, participate in the BR initiatives of the 8. Procurement Policy P2
The Company conducts vendor meets and participates in various
Company? If yes, then indicate the percentage knowledge sharing platforms with an objective to share BR initiatives 9. Siting Policy P8
of such entity / entities? [Less than 30%, 30-60%, with its suppliers. This covers between 30-60% of our supply chain. 10. Social Media Policy P7
More than 60%] 11. Supplier Diversity Policy P4
12. Stakeholder Engagement Framework P4, P9
SECTION D: BR INFORMATION 13. Business Gifts and Entertainment Policy P1
Details of Director / Directors responsible for BR
1 Details of the Director / Directors responsible for implementation of the BR policy / policies P. No. BRR Principle
DIN Number 00030840 1. Businesses should conduct and govern themselves with Ethics, Transparency and Accountability
Name Ms. Robin Ann Abrams 2. Businesses should provide goods and services that are safe and contribute to sustainability throughout their life cycle
Designation Independent Director 3. Businesses should promote the well-being of all employees
2 Details of BR Head of the Company 4. Businesses should respect the interests of and be responsive towards all stakeholders, especially those who are
disadvantaged, vulnerable and marginalized
DIN Number (if applicable) N.A.
5. Businesses should respect and promote human rights
Name Mr. Ravi Kathuria
6. Businesses should respect, protect and make efforts to restore environment
Designation Global Head - Communications, Corporate Affairs and Advocacy,
Senior Vice President, Marketing (EMEA and APAC) 7. Businesses, when engaged in influencing public and regulatory policy, should do so in a responsible manner
Telephone number 0120 - 6125000 8. Businesses should support inclusive growth and equitable development
E-mail id Ravi.Kathuria@hcl.com 9. Businesses should engage with and provide value to their customers and consumers in a responsible manner

190 Business Responsibility Report 191

Governance related to BR 2 For each such product, provide the Yes, the Company has been undertaking various initiatives in the field of clean
A. Indicate the frequency with which the Board of Di- The CEO Office of the Company assesses the BR performance of the Com- following details in respect of resource use technology, energy efficiency and renewable energy.
rectors, Committee of the Board or CEO to as- pany on periodic basis. Further, the Board of Directors also reviews the BR (energy, water, raw material etc.) per unit of
sess the BR performance of the Company. performance of the Company annually. product (optional): The Company has taken initiatives to procure renewable power through Open
Access System and On-site installations. In total, 24,115 MWh of Renewable
B. Does the Company publish a BR or a Sustain- Yes, the Company publishes BRR on an annual basis. Given below is the
a) Reduction during sourcing / production / Power has been consumed in the financial year 2020-21.
ability Report? What is the hyperlink for viewing link:
distribution achieved since the previous
this report? How frequently it is published? https://www.hcltech.com/socially-responsible-business#sustainability
year throughout the value chain? In addition to the above, Measurable Energy Conservation Plan, implemented by
the Company led to energy saving of 5,876 MWh.
SECTION E: PRINCIPLE-WISE PERFORMANCE b) Reduction during usage by consumers
(energy, water) has been achieved Summary of the above-mentioned operational efficiency related interventions are
Principle 1: Businesses should conduct and govern themselves with Ethics, Transparency and Accountability since the previous year? tabulated below:
1 Does the policy relating to ethics, bribery and Yes, the Company has an Anti-Bribery and Anti-Corruption Policy in place that
corruption cover only the Company? Yes governs the ethics, bribery and corruption related matters at the Company. These Carbon
/ No. Does it extend to the Group / Joint policies are applicable to the employees across all grades including senior FY20-21 Footprint
Energy related Intervention Particulars
Ventures / Suppliers / Contractors / NGOs executives, members of the Board and fixed-term or temporary employees like (MWH) Reduction
/ Others? contractors, consultants, trainees, interns, volunteers, third-party agents or any (tCO2)
other person associated with the Company. These policies are also applicable to all Renewable Power Purchase 24,115 20,015
the affiliates and subsidiaries of the Company and also across the entire value Operational related intervention
chain of the Company.
Chiller Operational Performances Improvement 361 300
The policy document has been uploaded on HCL’s web portal – HVAC Operational Performances Improvement 748 621
https://www.hcltech.com/investors/governance-policies Energy Efficient Lighting & Controls 3,821 3,172
2 How many stakeholder complaints have All Stakeholders' complaints were resolved satisfactorily except for 3 complaints Effective utilization of UPS 909 755
been received in the past financial year which were open as on March 31, 2021 and were in process of resolution.
and what percentage was satisfactorily Elevator & STP Operation optimization 37 31
resolved by the Management? If so, provide
details thereof, in about 50 words or so. Grand Total 29,991 24,894

Principle 2: Businesses should provide goods and services that are safe and contribute to sustainability throughout their life cycle Water related Intervention FY20-21
Remarks
1 List up to 3 of your products or services HCL Supply Chain Solutions - Suite of solutions, enabled by Blockchain, Internet Particulars (KL)
whose design has incorporated social of Things (IoT), Robotic Process Automation (RPA) & analytics, allowing Third Party STP Treated Water Use 43,546 Noida Sector 126 Campus
or environmental concerns, risks and / Logistics (3PLs) to improve and optimize their operations, in areas such as fleet Noida Sector 126 Campus &
opportunities. performance, driver safety, route optimization, shipment visibility etc. and thereby Water Aerators 1,883
Rest of NCR facilities
help to improve the employee safety and reduce carbon footprint.
Lucknow
Water Reuse 39
HCL Virtual Distributed Agile (VDA) - Scale Agile Framework designed to help SEZ & STPI facilities
large organizations to eliminate disruptions in exigent circumstances or otherwise Noida Sector 126 Campus,
and deliver on all essential distributed agile attributes like rapid decision making, Efficient Operational Controls
2,213 Bangalore Jigani Campus and
close knit and self-sufficient teams, and fast execution. It facilitates high degree (Water)
Chennai Ambattur - 5 & 6 facilities
of collaboration between remote team members, therefore, reduces the need for
travel, which in turn helps to reduce carbon footprint. Grand Total 47,681

HCL BFSI Solutions - Blockchain and Machine Learning (ML) based suite of
solutions designed to foster improved stakeholder data security as well as reduce 3 Does the Company have procedures in Yes, the Company has a Procurement Policy in place which discourages
fraud incidence to facilitate hassle free transactions. place for sustainable sourcing (including discrimination with any vendor on the basis of gender, nationality, ethnicity,
transportation)? If yes, what percentage of religion, disability etc. In accordance with local legislations and best practices, the
HCL DRYiCETM iControl & Zero Impact Framework (ZIF) - This solution helps in your inputs was sourced sustainably? Also, Company’s procurement process is transparent, objective and non-discriminatory
achieving sustainability for enterprises operating in Oil & Gas and manufacturing provide details thereof, in about 50 words in the selection of its vendors. The Company works towards sustainable sourcing
industries by meeting Net Zero CO2 emissions 2050 goals. It has been leveraged or so. and ensure that its social and environmental performance extends to its supply
by a leading German Automotive client to monitor and achieve over 7% reduction in chain by sharing its expectations with the vendors from time to time. The Company
energy consumption & CO2 emissions over two years. also promotes localization of business by giving preferences to local vendors. The
Company is committed to do business with environmentally responsible vendors
with an objective to minimize the adverse effects on the community, the environment
and natural resources while safeguarding health and safety of the public.
The Company intends to procure 5% of its goods and services from marginalized
and vulnerable sections of society e.g. women and people with disabilities.
4 Has the Company taken any steps to Yes, the Company encourages to on-board suppliers / vendors who comply with
procure goods and services from local and local laws and policies to maintain and balance diversity requirements.
small producers, including communities
surrounding their place of work? If yes, The Company’s Procurement Policy particularly focusses on local vendors. While
what steps have been taken to improve selecting the vendors, preference is given to local vendors for outsourcing jobs
their capacity and capability of local and pertaining to facilities management, procurement of materials for infrastructure
small vendors? development and other operations with an objective of creating employment and
economic opportunities in the areas where the Company operates.
The Company also maintains Minority and Women based vendors’ data in CL
(Contingent Labour) vendors’ database to fulfil business needs as per business
demand.

192 Business Responsibility Report 193

 5 Does the Company have a mechanism to Yes, the Company has established various mechanisms to recycle products and 7 Please indicate the number of complaints In order to provide a safe and healthy work environment free of any hassles and all
recycle products and waste? If yes what is waste. relating to child labour, forced labour, kinds of harassment including sexual harassment and to prevent and redress such
the percentage of recycling of products and involuntary labour, sexual harassment in harassment complaints, the Company has in place a Prevention and Redressal of
waste (separately as <5%, 5-10%, >10%). Some of the key steps adopted by the Company are listed below: the last financial year and pending, as on Sexual Harassment at Workplace Policy. This policy applies to all employees of the
Also, provide details thereof, in about 50 Water Management the end of the financial year. Company, its group companies and joint ventures operating out of India like regular,
words or so. temporary, ad hoc, daily wagers, contractual staff, vendors, clients, consultants,
 Installation of sensor taps to optimize water usage.
trainees, probationers, apprentices, contract labour and also all visitors to the
 Installation of dual flush system to minimize water wastage. Company. Any complaints about harassment shall be treated under this Policy. This
 Installation of Sewer Treatment Plant (STP) within campus to treat the sewer Policy is not confined to the actual working place of the employees in the sense of
water and reuse for flushing, landscaping and HVAC. the physical space in which paid work may be performed as per the prescribed duty
 Zero water discharge from campus. hours but also includes any place visited by the employee arising out of or during the
course of employment. The Company has constituted a committee for the redressal
 Installation of timer-based automatic controls for water sprinklers to of all sexual harassment complaints. These matters are also being reported to the
conserve water used for lawn maintenance. Audit Committee. During the year under review, the Company has received 11
 100% replacement of plastic and paper cups with ceramic mugs. complaints on sexual harassment that were classified as significant incidents for
 100% replacement of tissue towels from washroom with blowers. investigation, out of which 10 have been disposed after taking appropriate actions
and 1 complaint remain pending as on March 31, 2021. Internal review is under
 Deployment of printer pin to save paper. progress for the pending complaint, following due process.
 Installation of environment friendly refrigerants.
 Creation of rainwater harvesting pits. The details of the number of complaints received through ‘Secure’ channel during
the reporting period are as follows:
Waste Management – The Company does a 100% recycle of waste products and
the details are as mentioned below: Number of cases pending at the beginning of FY 2020-21 Nil

 E-waste – Conventional lights have been replaced with LED based lights, Number of cases received during FY 2020-21 11
thereby reducing the harmful effects of mercury and reducing the health and Number of cases disposed during FY 2020-21 10
environmental concerns. Projectors have also been replaced with LEDs, thus
contributing significantly to power consumption and at the same time reducing Number of cases pending at the end of FY 2020-21 1
the waste. Child labour / Forced labour / Involuntary labour NA
 Paper – The campus strives to become a paperless campus and thus, Discriminatory Employment Nil
suitable measures like, printer pin deployment, printer on alternate floors,
setting up maximum printing limit, double side printing and reduction in font size 8 What percentage of your under mentioned During FY 2020-21, over 1,12,324 employees have availed 5.77 million hours
are encouraged. These measures have resulted in significant conservation of employees were given safety and skill up- of training for enhancing their current skills and learning new skills. Over 44,317
paper. grading training in the last year? employees were also trained in digital skills during this period.
 Reduce, Recycle, Reuse – The waste management programs are based on a) Permanent Employees
the principles of 3R. All the waste generated by us is measured and quantified. b) Permanent Women Employees FTE Employees’Headcount 1,68,977
The waste is categorized according to the source and disposal. c) Casual / Temporary / Contractual Permanent Women 27.2%
Employees Employees
The hazardous waste is disposed off in environment friendly manner and
paper waste is recycled and reused. Bio medical waste is disposed off in a safe d) Employees with Disabilities Contractual employees’ 12,942
manner. Food remains and garden waste are reused to make manure. headcount
Employees with Disabilities Being an equal opportunity employer
and following the law, the Company
Principle 3: Businesses should promote the well-being of all employees does not mandate disclosure of
disability. However, As on March 31,
1 Please indicate the total number of The global full time employee count of the Company and its subsidiaries stands at
2021, 310 persons with disabilities
employees. 1,68,977 as on March 31, 2021.
have voluntarily declared their
2 Please indicate the total number The contract employee count of the Company and its subsidiaries stands at 12,942 status.
of employees hired on temporary / as on March 31, 2021.
contractual / casual basis
The management is committed towards occupational health, safety and
3 Please indicate the number of permanent 27.2% of the total full-time workforce at the Company and its subsidiaries is environment protection. The Company, through its Occupational Health Safety and
women employees. comprised of women employees. Environmental Policy, strives to achieve occupational health & safety excellence in
4 Please indicate the number of permanent Being an equal opportunity employer, the Company does not discriminate specially- all its facilities, products, services and activities.
employees with special abilities. abled people at the time of recruitment. As per the Company’s policies, disclosure
of special ability is not mandatory. However, as on March 31, 2021, 310 specially-
abled people have voluntarily declared their status.

5 Do you have an employee association that While the Company does not restrict any employee from being a member of any
is recognized by Management? employee related association and gives all the freedom, the Company also ensures
to abide by the local laws present across the geographies that it operates in.

6 What percentage of your permanent All the employees are free to join any employee related associations. The Company
employees is members of this recognized does not prohibit them and hence this becomes a matter of employees’ own choice.
employee association?

194 Business Responsibility Report 195

Principle 4: Businesses should respect the interests of, and be responsive towards all stakeholders, especially those who
are disadvantaged, vulnerable and marginalized. Details of the stakeholder engagement and outcomes are provided below:
1 Has the Company mapped its internal and Yes, the Company has mapped its internal and external stakeholders.
external stakeholders? Yes / No
Internal Stakeholders of the Company include employees, senior leaders, Stakeholder Key Sustainability Priority Sections in which
managers, Board of Directors, members of HCL Foundation and the support staff. priorities are
addressed
The external stakeholders of the Company include the communities the Company
engages with, like the rural communities, urban slum communities and government Employees Wellness and well-being, career Redefine Workplace,
schools. The external stakeholders also include customers, investors, regulatory development, learning forums, Repay Society
bodies and media. grievance channels, hobby clubs and
community volunteering
The stakeholder engagement exercise helped in reconfirming the materiality matrix Customers Innovative IT solutions, Green IT, CSR Responsible Business,
against the below mentioned four pillars: Partnerships with customers Repay Society
 Responsible Business Vendors and Adherence to quality norms and Responsible Business,
 Redefine Workplace Suppliers ethical procurement Redefine Workplace
Immediate Education, employability trainings, Repay Society
 Renew Ecosystem
Communities women empowerment and health
 Repay Society in which we / sanitation, environmental initiatives
The priorities, whether high, medium or low, are based on what the stakeholders operate
and the Company value collectively on a mutual sustainable journey. The Investors and Transparency and maintenance of Responsible Business
issues that are mentioned toward the core of this matrix are of high significance Shareholders high degree of disclosure levels and
to the organization and also to stakeholders. The significance of material issues is focus on good corporate governance
determined by the measure of two parameters: NGOs and Community development, capacity Renew Ecosystem,
Advocacy building, advocacy on human rights Repay Society
 Importance to stakeholders
Groups issues such as diversity, safety,
 Importance to the business advocacy on environment and climate
The stakeholders’ engagement at the Company is a continuous process and there change
has been no change in the materiality matrix identified by the Company for reporting.
2 Out of the above, has the Company The following groups have been identified as disadvantaged, vulnerable and
identified the disadvantaged, vulnerable marginalized stakeholders:
and marginalized stakeholders?
 Rural and urban slum communities living below poverty line
Sustainability Matrix:
 Children, women and youth
 People with disabilities
 Senior citizens
 HCL support staff
3 Are there any special initiatives taken The Company aims at addressing the needs of the disadvantaged, vulnerable
by the Company to engage with and marginalized sections of the society through its CSR programs. These
the disadvantaged, vulnerable and programs are as follows:
marginalized stakeholders? If so, provide
details thereof, in about 50 words or so.  HCL Samuday
 HCL Grant
 HCL Uday
 Power of One
Details of the above initiatives are provided under Principle 8.

Principle 5: Businesses should respect and promote human rights

1 Does the policy of the Company on The Human Rights Policy at the Company is applicable to all the employees (both
human rights cover only the Company permanent and contractual) across the Company. This policy further extends to all
or extend to the Group / Joint Ventures / third-party vendors and suppliers, contractors, NGOs as well as to all the affiliates
Suppliers / Contractors / NGOs / Others? and subsidiaries of the Company.

2 How many stakeholder complaints have The Company has not received any complaints from human rights perspective
been received in the past financial year during the financial year 2020-21.
and what percent was satisfactorily
resolved by the Management?

196 Business Responsibility Report 197

Principle 6: Businesses should respect, protect and make efforts to restore the environment 2. High Side - Chiller Operational Performance Improvement
1 Does the policy relate to Principle 6 cover The Company has a dedicated Environmental Policy that serves as the guideline Chiller performance improvement program has been enabled in all major facilities
only the Company or extends to the for developing initiatives for protecting and restoring environment. by improving the cooling tower effectiveness with the help of auto chemical
Group / Joint Ventures dozing, fills replacement and condenser descaling and equipment performance
/ Suppliers / Contractors / NGOs / others? This policy is applicable across the Company and its subsidiaries for achieving measurements activities, which has helped the Company to save energy of 361
excellence in environmental performance. This policy also applies to the
suppliers, contractors and all other partners across the value chain for addressing MWh during FY 2020-21 and this has helped to reduce carbon footprint of 300
the global environmental challenges. tCO2e* (Ton of Carbon Emission) under operational investment of ₹25 lakhs to
improve the overall operation efficiency.
2 Does the Company have strategies / Yes, the Company being environmentally conscious and socially responsible
initiatives organization follows a thoroughly responsible approach towards the environmental
3. Low Side - HVAC Operational Performance Improvement
to address global environmental issues causes and has thus undertaken various initiatives internally that help reduce the
such as climate change, global warming, carbon footprints, pollution and help maintain the energy conservation. To cite some
Effective operation of low side HVAC System implemented in major facilities
etc.? Y / N. If yes, please give hyperlink for are the Company’s transportation initiatives of cab pooling, CNG driven cabs etc.
has been ensured through energy efficient unit installation, defective coils, filters
webpage etc. The details of many other such initiatives could be found in the next set of responses replacement and operational control enhancement such as AHU timer-based
in the Report. The Company promotes Reduce, Reuse, Recycle philosophy which control and temperature set point changes related activities. This has helped
reflects its Go-Green approach. the Company to save energy of 748 MWh during FY 2020-21 and resulted to
reduce carbon footprint of 621 tCO2e* (Ton of Carbon Emission) under capex
Please refer to the following link for policy context investment of ₹48 lakhs. Existing conventional split air conditioning units have
https://www.hcltech.com/socially-responsible-business been replaced with star rated (3*) high energy efficient products (2 TR * 2nos.),
3 Does the Company identify and assess The Company identifies and assesses potential environment risk in all areas of (11 TR * 2nos.).
potential environmental risks? Y / N its operations. The effective Environmental Management System is in place which
is in line with ISO 14001 Standard’s requirements. 4. Energy Efficient Lighting & Control
4 Does the Company have any project Clean Development Mechanism is not applicable to the Company; hence the
related to Clean Development Company has not undertaken any project in this regard. LED lightings are being used in all major facilities such as workspace, café /
Mechanism? If so, provide details thereof, pantry, pathways and basements. Operational control enhancement measures
in about 50 words or so. However, the Company regularly participates in “Carbon Disclosure Project” run by such as motion sensors which operate based on occupancy and movement
Also, if Yes, whether any environmental global organization CDP which enables the companies, cities, states and regions along with daylight harvesting feature has been installed in these areas which
compliance report is filed? to measure and manage their environmental impacts. result in optimum usage of lighting and results in energy savings.
The Company is also working on a “Green IT Report”.
Energy savings accrued towards “Interact LED, Non-Interact LED and Efficient
Lighting Controls” led to save 3,821 MWh of absolute energy consumption
5 Has the Company undertaken any other Yes, the Company strives to improve energy efficiency, switch to renewable energy
in FY 2020-21 which has helped the Company to reduce 3,172 tCO2e* (Ton
initiatives on – clean technology, energy and promote clean technology. Given below is a detailed list of initiatives taken in
of Carbon Emission). Under Capex investment of ₹24.6 lakhs, conventional
efficiency, renewable energy, etc.? this regard.
lightings have been replaced with LED lightings towards energy conservation
and optimization in addition to LED lightings implemented under Project URJA
As a responsible corporate, the Company believes that it has got accountability to
in FY’2016 which has continued to save energy and contributed significantly in
the future and an imperative role to play in addressing Global challenges, climate
savings of 3,449 MWh in this total saving quantum in reference to base year
change, and environmental sustainability. and this is being tracked till Payback Period.
The Company has made a commitment to conserve the environment by adopting 5. Effective Utilization of UPS
“Go Green Initiatives” and being responsible for Energy & Water Management in
its area of operations and perform efficiency by consuming Energy & Water in an Effective utilization of UPS systems in the shortlisted facilities has been realized
efficient, economical, and environment friendly manner throughout all its premises. by replacing energy efficient units as per load demand and by increasing the
efficiency of existing UPS system through switching of overcapacity UPS’s. This
To conserve the environment by adopting “Go Green Initiatives” and increase has led to save 909 MWh of absolute energy consumption in FY 2020-21, and
operational efficiency, the Initiatives and Good Practices attributed towards helped to reduce 755 tCO2e* (Ton of Carbon Emission) of carbon footprint.
reduction in carbon footprint during the financial year 2020-21 are described below:
Under capex investment of ₹52 lakhs, energy efficient products have been
1. Renewable Power Purchase purchased and installed in Chennai Ambattur 3 & 5 facilities and conventional
UPS systems having efficiency of 89% have been replaced with latest
In continuation with its commitment to reduce “Carbon footprint”, the Company has technology (EXM-IGBT front end rectifier system) having efficiency of 95%.
procured renewable power equal to 24,115 MWh for its major campuses during By validating the physical consumption pattern before vs after implantations
FY 2020-21 under Zero investment. The source of purchased power was Wind, of this initiatives, consumption reductions in terms of efficiency improvement
Solar and Hydel based electricity. The Green Power Purchase has enabled the of 20% has been evidenced. In addition to that, the overall UPS size has been
Company to reduce carbon footprint of 20,015 tCO2e* (Ton of Carbon Emission) downsized from 680 KVA to 420 KVA based on load demand.
over the other available power resources like Grid and Captive. 1,918 MWh
generated from onsite solar plant installations has contributed to 7.8% of overall 6. Elevator & STP Operation optimization
Renewable Power usage across India. Renewable Power has contributed to
13.3% of overall PAN India YTD consumption. Revised operating schedule of elevators has been adopted during a weekends
and non-business hours (low footprint timing) in major campuses. This has
helped the Company to save 37 MWh of absolute energy consumption in FY
2020-21 and to reduce 31 tCO2e* (Ton of Carbon Emission) of carbon footprint
under Zero investment.

198 Business Responsibility Report 199

 7. Water Conservation Principle 8: Businesses should support inclusive growth and equitable development
1 Does the Company have specified The Company contributes progressively to the socio-economic and environmental
The Company’s focus on water conservation has also strengthened by undertaking
programmes / initiatives / projects in development of the world with ‘Corporate Social Responsibility’ at the heart of its
activities such as reuse and optimization of treated sewage water for flushing,
pursuit of the policy related to Principle 8? overall functioning. Aligned to the Global Sustainable Development Goals, welfare
landscaping, soft water applications, rainwater collection under operational
If yes details thereof. of people and planet through establishing most meaningful partnerships at all
investment and dish wash machine installations, new EWC installations,
levels, the Company contributes effectively to the peace and prosperity for all.
purchase of new pneumatic pumps with flow / speed control and use of 3 LPM
Enshrined in its culture, is the ethos of ‘giving back’, in ways that matter. While the
water aerators in hand wash taps under the capex investment of ₹31.8 lakhs.
human rights framework is engrained in the corporate social responsibility agenda
This has helped to conserve ground water of 47,682 KL in FY 2020-21.
of the Company, it is also adherent to the highest standards of environmental
sustainability.
Dish washing machines with capacity of 90 liters have been installed for plate
washing purpose in the cafeteria, which has helped organization to improve
The Company carries out its developmental agenda through its CSR arm, the
operation process efficiency by moving from manual operations to system based
HCL Foundation. The various flagship programs and initiatives of HCL Foundation
operations and this has resulted in reducing the actual water consumption from
strive to contribute towards national and international development goals, bringing
7.7 KL/day to 4.4 KL/day and has led to overall savings of 43%.
about lasting positive impact on people and planet through long term sustainable
6 Are the Emissions / Waste generated by Yes, the emissions and waste generated at the Company are within the programs with thematic focus Education, Health & Sanitation, Skill Development &
the Company within the permissible limits permissible limits. Livelihood, Environment and Disaster Risk Reduction & Response.
given by CPCB / SPCB for the financial An annual report of the total emission and total waste generated by the Company
year being reported? is submitted to both CPCB and SPCB. Child protective strategies, inclusion and gender transformative approaches remain
central in all initiatives of the HCL Foundation, thus ensuring equitable development
and opportunities for all.
7 Number of show cause / legal notices The Company has not received any show cause or legal notices from CPCB or
received from CPCB / SPCB which are SPCB during FY 2020-21. Established in the year 2011, HCL Foundation completed a decade of impact and
pending (i.e. not resolved to satisfaction) stewardship in 2021. In the last 10 years, HCL Foundation has impacted more
as on end of Financial Year. than 2.14 million people in India, ensured treatment & protection for 18,000+
animals, greened and brought 52,000+ acres of land under sustainable community
governance and rejuvenated 82 water bodies across 21 States and 3 Union
Territories of India.
Principle 7: Businesses, when engaged in influencing public and regulatory policy, should do so in a responsible manner Details of the various flagship programs and special initiatives are given below:
1 Is your Company a member of any trade Yes, the Company is a member of various Industry Associations / Chambers and
and chamber or association? If Yes, Name bodies, such as: Rural Programs
only those major ones that your business
deals with. World Economic Forum (WEF) Driven by a commitment to nation building, HCL Samuday & HCL Grant have one
Ever since the Company has joined WEF at Davos, it has always made its ambition – to create a source code for rural development. Taking an immersive and
presence felt at the global platform of Thought Leadership, Innovation and expansive approach, they work in engagement with the local communities to seed
Technological Dialogues towards the Humanitarian and Socio-Economic World sustainable transformative models and solutions.
Order. The latest exaltation at WEF witnessed the Company launching its Vision
2030 and hosting the Choicest of the Global Leaders at HCL Pavilion. 1. HCL Samuday - was launched in the Hardoi district in Uttar Pradesh. It takes
an immersive approach, drilling deep into the rural communities, builds assets
NASSCOM and infrastructure they need the most and galvanizes them to take charge.
The Company has been one of the founding members of National Association of The objective of this program is achieved through optimal interventions across
Software Services Companies since 1999 and has extended its vitality towards Agriculture, Education, Health, Infrastructure, Livelihood, and WASH (Water,
the apex Chamber of Software Service Companies in India as well as across its Sanitation and Hygiene) sectors in selected villages. The program is designed
Global Trade contours. to help local communities identify their problems, co-create solutions, and then
Confederation of Indian Industry (CII) implement these solutions with professional support from team Samuday. This
The Company has remained member of the CII since 1999; thereby abiding by approach helps lending the dimension of sustainability and ownership to the
the rules and regulations that cover the operations of CII as the apex chamber of whole vision of development.
commerce in India.
HCL Samuday successfully ensured the following:
In addition, the Company is also an active member of most of the country specific
trade bodies and associations like IGCC, IFCCI, AIMA and works very closely with
DIT, Invest India, Sweden Trade and Invest, Invest in Denmark, Australian Trade and • Agriculture: Benefitted 42,792 farmers through various agriculture-related
Investment Commission. interventions for income enhancement; and increased access to Nutritional
2 Have you advocated / lobbied through Yes, the Company believes in the public good and rightly so as part of its Food with 3,470 Nutrition Gardens.
above associations for the advancement or responsible socio-economic behavior that is carried forward towards various
improvement of public good? Y / N. If platforms, advocacy channels and forums by way of lending Company’s ideas, • Education & PRIs: 28,358 students benefitted in 238 new schools supported,
yes specify the broad areas (drop box: visions expertise and thought leadership. taking the number of such schools to 758; 4,628 students benefitted from Pados
Governance and Administration, Economic Pathshala intervention during Coivd-19 pandemic; 6,521+ neo-literates through
Reforms, Inclusive Development Policies, The Company has aligned itself with relevant organizations w h i c h work in the adult literacy classes; facilitated strengthening of 46 new panchayat offices and
Energy security, Water, Food Security, larger business / social / environmental and community interests. In addition, the 38 Jan Seva Kendra; ensured service delivery in Gram Panchayats through 15
Sustainable Business Principles, Others). Company also creates and owns innovative pieces of work and solutions. rural banking facilities and 5 Public Addressing Systems.

200 Business Responsibility Report 201

 • Launch of OER Portal for Class 1-5: In FY 2020-21, despite the pandemic, HCL Uday continued its effort to support
and stand by the communities. Working through its network of partners, we
OER portal for content distribution across Uttar Pradesh launched: were able to reach out 4 lakh+ people across the 11 HCL Uday locations
o 1,151 video content of more than 300+ hours uploaded for classes 1-5. providing comprehensive care and services across various verticals including
o Question bank with 1,749 questions created to assess learning levels. early childhood care and development, education, skill development &
livelihood, health, water, sanitation & hygiene. In addition, 1,83,062 saplings
• Health: 2,464 severely acute malnourished and severely underweight children were planted, 22 water bodies were rejuvenated, and 16,424 animals were
managed through home -based nutrition intervention; facilitated 6,363 safe provided protection, care and treatment under the ‘Harit- The Green Initiative’
institutional deliveries through strengthened health centres; and clocked 14,426 across HCL Uday locations.
OPD services through telemedicine and 18,590 OPD and diagnostic services
through mobile health clinics. To ensure targeted support, a rapid assessment was launched under HCL Uday in
month of April 2020 to study the social, economic and psychological wellbeing and
• Renewable Energy Infrastructure: Ensured electricity availability to 41 villages the needs of HCL Uday supported communities and families during the pandemic.
through 32 solar mini-grids (inclusive of 2 constructed this year); 3600+ HHs Through the telephonic survey, they were also made aware of the various
receiving reliable electricity from the solar mini-grids; 68 govt. institutions like government entitlements/ social security schemes with the objective of improving
anganwadi centres, panchayat bhawans, community centres, etc. electrified its uptake during the pandemic. 54,000+ of the 4 lakh people covered under HCL
from the mini-grids; and continued supporting 12 public health facilities to run Uday participated in the detailed survey. Major findings include:
24*7 on electricity.
o 18% increase in the ‘no income’ category beneficiaries during Covid-19
• Livelihood: 5,840 dairy farmers benefitted with increased income; 3,936 women (signifying loss of jobs and livelihood)
mobilized under Self Help Groups’ intervention; and 1,052 handicraft artisans o ~5 times increase in unemployment situation of the HCL Uday beneficiaries,
supported in production & training. during the pandemic.
o During the pandemic, only 3.45% of the people from HCL Uday supported
• Water, Sanitation & Hygiene: Facilitated access to toilets and their usage for communities migrated to their native villages.
3,480 HHs, with a total of 64,000+ households now practicing safe sanitation.
2. Clean Noida is the Company’s commitment to transform NOIDA into one of
the cleanest cities in the world. Implemented in full partnership with its citizens
2. HCL Grant takes an expansive route where it identifies and partners with the and the NOIDA Development Authority (NDA), it is one of a kind Public-Private
most credible and finest NGOs, through an open competitive process. It aims Partnership initiative. The program engages with the citizens, local government
to achieve sustainable rural development by supporting NGOs involved in and the sanitation workers to create awareness about proper waste management
path-breaking work in India across three thematic categories of Environment, practices. It also works towards evolving structured, technology-driven systems
Education and Health. A grant of ` 5 crores is awarded to one NGO in each and practices for efficient management of waste in the city and surrounding
of the three categories every year. In addition, the remaining 6 HCL Grant urban villages.
finalist NGOs are awarded a grant of ` 25 lacs for a 1-year project. So far,
the partnerships across various remote corners of the country have ushered Under Clean NOIDA
the emergence of innovative community-led solutions and enabled delivery of o 17,000 sq. ft. of wall artwork has been conducted across the city on existing
solutions at scale. and potential GVPs sites.
o 1 lakh bags have been distributed to discourage use of plastic.
So far, HCL Grant has already committed ` 60+ crores with an aim to reach 1.7 o 22 online and 6 onsite events have been conducted to create awareness on
million people. ₹39.35 crores has already been deployed on ground, impacting waste management.
733,040 lives. As part of the environment initiatives, 173,000+ saplings were
planted and 52,315 acrs of land were brought under sustainable community ICT-based Integrated Control and Command Centre for Noida Authority:
governance. Under Clean NOIDA, an ICT-based Integrated Command and Control Centre
has been set up to help NOIDA Authority to manage vehicles and employees.
Urban Programs
With a bold vision to create a future in which cities embrace their most vulnerable Overall, the program was able to achieve the following:
citizens, and services converge to offer a life of dignity and self-respect, HCL
Foundation is creating a source code for urban socio-economic development. o RWAs: 60 RWAs covered and engaged on waste management; Around
Designing an integrated solution to break the vicious cycle of urban poverty, 67,000 HHs contacted and capacitated on waste segregation through IEC
HCL Foundation works towards building clean, green, healthy and empowered campaigns; and Specially designed 64 E-loaders provided and operational
communities through its urban flagship programs - HCL Uday and Clean Noida. in RWAs enabling waste segregation.

1. HCL Uday leverages the scale of the government, expertise of NGO partners o Chakachak Village Campaign: 48 cleaning drives conducted in 44 villages;
and the volunteering spirit of its employees to bridge the access gap and reach 2,748 tons of legacy waste cleared in urban villages; 2,539 dustbins
the city’s poorest residents with quality services. It works through an integrated distributed in adjoining markets of urban villages; 85 major GVP spots
community development approach to increase access to entitlements and ensure cleared; and 11,442 HHs contacted and sensitized on various theme of
waste management through Door-to-Door campaign.
ownership of economic assets in urban slum communities across HCL cities. It
works through an integrated community development approach, targeting critical o Model Urban Villages: 8 urban villages operationalized under end-to-
areas of a person’s well-being - health, education, sports, livelihoods, skilling end waste management process; 29,362 HHs provided with D2D waste
and the environment. HCL Uday leverages the strength of each stakeholder collection and segregation services; and Daily cleaning of drains and street
using a convergence approach to create a comprehensive and holistic model sweeping provided in all 8 urban villages.
of urban development well-being - health, education, sports, livelihoods, skilling
and the environment. Uday leverages the strength of each stakeholder using a o 6,953 volunteers identified and engaged.
convergence approach to create a comprehensive and holistic model of urban
development.

202 Business Responsibility Report 203

 Special Initiatives 4. What is your Company’s direct contribution During the year, the Company has contributed ₹195.15 crores for CSR activities.
to community development projects- For details of the expenditure, refer to Annexure 3 of the Director’s Report which
• Sports for Change (SFC): Harnessing the transformational power of sports, Amount in ` and the details of the projects forms part of this Annual Report.
SFC ensures inclusive and high-quality sporting experiences for children undertaken?
and youth in HCL Foundation supported geographies. Enabling balanced The community development initiatives undertaken by HCL Foundation are aligned
participation, excellence and holistic development, HCL Foundation nurtures to Schedule VII of the Companies Act, 2013, sustainable development goals and
and champions sporting talent at the grassroots through this initiative. various national missions.
List of all such community initiatives undertaken by HCL Foundation are given
5,500+ students engaged through e-training and coaching sessions on below:
sports and fitness.
• Eradicating hunger, poverty and malnutrition, promoting healthcare including
• HCL Foundation Academy: Mission bound to seed, spark and accelerate preventive health care and sanitation and making available safe drinking water;
collaborative thinking, the HCL Foundation Academy is a platform ‘for and of • Promoting education including special education and skill development
practitioners’ in the development sector. Engaging the learners in a vibrant trainings for children, women, elderly and the differently abled besides livelihood
cycle of knowledge and practice, its curated courses are designed to unleash enhancement projects;
new ideas, new solutions and new models of social change.
• Promoting gender equality, empowering women, setting up homes and hostels
20,000+ participants engaged through various webinars & courses on the for women and orphans, setting up old age homes, day care centers and such
platform. other facilities for senior citizens;
• Undertaking measures for reducing inequalities faced by socially and
• Power of One: Fosters a spirit of ‘giving back’ in HCL employees by aggregating economically backward groups;
their contributions in three critical areas; payroll giving, active volunteerism • Ensuring environmental sustainability and ecological balance, protecting flora
and capacity building of communities. It is driven by the belief that even small
and fauna, promoting animal welfare and agro-forestry, conserving natural
contributions can make a huge impact on the lives of people.
resources and maintaining quality of soil, air and water;
4,760 e-volunteering hours clocked, 1,362 volunteers, 295 scholars • Protecting national heritage, art and culture including restoration of monuments
supported, ₹65 lakh disbursed as scholarships through Po1 funds. and sites of historical importance and works of art, setting up public libraries,
promoting and developing traditional arts and handicrafts;
• Launch of E-Haat: Under the Skill Development & Livelihood initiative of HCL • Undertaking measures for the benefit of armed forces veterans, war widows
Uday, ‘My E-Haat’ portal was launched – www.myehaat.in. and their dependents;
• Providing trainings for promotion of rural sports, nationally recognized sports,
o ‘My E-Haat’ aims to strengthen the value chain of the Arts & Crafts sector
and create a level-playing field for artisans. The platform, through backward Paralympics’ sports and Olympic sports through HCL Uday and HCL Samuday;
integration and forward linkages will help the artisans improve their human, and
social & financial capital and well-being. • Undertaking rural development projects through HCL Grant and HCL Samuday.
o Products from all HCL Foundation programs and initiatives listed. 5. Have you taken steps to ensure that this The objective of the community initiatives undertaken by HCL Foundation is to
o 18+ partners & 350+ products enlisted. community development initiative is create positive and sustainable impacts in the lives of the communities in the
o 2,268 domestic users visited the site and 140 international visitors logged successfully adopted by the community? long run. This is possible only when the communities adopt the initiatives of HCL
in to the portal. Please explain in 50 words, or so. Foundation and incorporate them in their daily lives. Various measures taken by
o Top line growth of ` 143,000 for the 213 items sold since inception. HCL Foundation to facilitate this successful adoption of community initiatives are:
2. Are the programmes / projects undertaken All the programmes and projects are undertaken through HCL Foundation in
through in-house team / own foundation collaboration with HCL employees, customers and external NGOs. For details,  Improving community ownership through identification and capacity building of
/ external NGO / government structures / please refer https://www.hclfoundation.org/ community leaders for sustaining and perpetuating these initiatives;
any other organization?  Linking available systems like government initiatives and plans with HCL’s
3. Have you done any impact assessment Yes, HCL Foundation carries out impact assessment of various initiatives community initiatives by promoting convergence; and
of your initiative? undertaken by it. For the purpose of assessing the impact of these initiatives,  Developing action plan to promote community awareness and exposure,
HCL Foundation has identified various indicators under different focus areas. building road map for creating positive impact, engaging HCL Foundation’s
It has also developed various tools and monitoring mechanisms to ensure volunteers, creating manuals for various sectors etc.
the achievement of these indicators. Stakeholders’ engagement and consultation is
also taken during all such impact assessments.
Funds Utilization Certificates (FUC) and Audit Reports are two primary instruments
used to monitor the expenditure of the projects undertaken. The quarterly reports
and half-yearly reports furnished by HCL Foundation’s implementing partners are
studied carefully and verified through field visits by field and programme officers.
Case studies are collected for all the projects and informal feedback sessions are
held with the beneficiaries to understand their satisfaction levels. Besides this,
members of the senior management undertake surprise visits to understand the
overall impact of community initiatives. The periodic field audits are supplemented
by the regular interaction between HCL volunteers and the community members.
All these checks help HCL Foundation in understanding gaps in the implementation
of the community initiatives and to timely bridge these identified gaps.

204 Business Responsibility Report 205

Principle 9: Businesses should engage with and provide value to their customers and consumers in a responsible manner
1 What percentage of customer complaints NIL
/ consumer cases are pending as on the
end of financial year?
2 Does the Company display product Not Applicable
information on the product label, over
and above what is mandated as per
local laws? Yes / No / N.A. / Remarks
(additional information).
3 Is there any case filed by any stakeholder The Company has not registered any significant complaints in the said category
against the Company regarding unfair during FY 2020-21.
trade practices, irresponsible advertising
and / or anti-competitive behavior during Besides, the robust mechanism of the Company’s internal checks and balances
the last five years and pending as on places an un-denying responsibility on the leadership and teams to drive the soul
end of financial year? If so, provide details of the policies on sustainable basis. This reduces the possibility of any pilferages.
thereof, in about 50 words or so.
4 Did your Company carry out any consumer Yes, the Company completely understands the criticality and significance of the
survey / consumer satisfaction trends? knowledge pertaining to its presence, markets, key market drivers, customer line-
up and their satisfaction. It is henceforth, of utmost importance for the Company to
place extreme and necessary imperatives on its consumer segment.

The Company has a Customer Advisory Council that meets twice a year to
deliberate upon and present their recommendations on Company’s strategies. The
Company has been awarded with Forrester Groundwell Award in the “Business-
to-Business Embracing Category”. The surveys that we do are carried out by the

Standalone
3rd party.

It is indeed a matter of pride for the Company that in the financial year under review,
the Company has concluded the annual CSAT for over 650+ key accounts covering
over 3900+ global customers.

Ind AS
High responses have been received from industry in each of the LOB with the
organization clocking a 74% response.

The Company has been able to sustain high CSAT in over 80% of the top accounts.
The CSAT score in the financial year 2020-21 stands at 74.9 (an all-time high) vis-
à-vis 71.3 for FY 2019-20; on a scale of -100 to +100.

Financial Statements

206 Standalone Financial Statements 207

 INDEPENDENT AUDITORS’ REPORT The key audit matter How the matter was addressed in our audit
Evaluation of tax positions and litigations (See note 1(g) and 3.25 to the standalone financial statements)
To the Members of HCL Technologies Limited Basis for Opinion
The Company is required to estimate its income tax liabilities In view of the significance of the matter we applied the following audit
Report on the Audit of the Standalone Financial Statements We conducted our audit in accordance with the Standards on in accordance with the tax laws applicable in India. Further, procedures in this area, among others to obtain sufficient appropriate
Auditing (SAs) specified under section 143(10) of the Act. Our there are matters of interpretation in terms of application of audit evidence:
Opinion responsibilities under those SAs are further described in the tax laws and related rules to determine current tax provision
Auditor’s Responsibilities for the Audit of the Standalone Financial and deferred taxes. • testing the design, implementation and operating effectiveness of
We have audited the standalone financial statements of HCL Statements section of our report. We are independent of the the Company’s key controls over identifying uncertain tax positions
Technologies Limited (“the Company”), which comprise the Company in accordance with the Code of Ethics issued by the The Company has material tax positions and litigations on and matters involving litigations/disputes.
a range of tax matters. This requires management to make
significant judgments to determine the possible outcome of • obtaining details of tax positions and tax litigations for the year
Standalone Balance Sheet as at 31 March 2021, and the Institute of Chartered Accountants of India together with the ethical
Standalone Statement of Profit and Loss (including other requirements that are relevant to our audit of the standalone uncertain tax positions and litigations and their consequent and as at 31 March 2021 and holding discussions with designated
comprehensive income), Standalone Statement of Changes in financial statements under the provisions of the Act and the Rules impact on related accounting and disclosures in the management personnel.
Equity and Standalone Statement of Cash Flows for the year then thereunder, and we have fulfilled our other ethical responsibilities
ended, and notes to the standalone financial statements, including in accordance with these requirements and the Code of Ethics. We
standalone financial statements. • assessing and analysing select key correspondences with tax
authorities and inspecting external legal opinions obtained by
a summary of the significant accounting policies and other believe that the audit evidence we have obtained is sufficient and management for key uncertain tax positions and tax litigations.
explanatory information (hereinafter referred to as ‘the standalone appropriate to provide a basis for our opinion on the standalone
financial statements’). financial statements. • evaluating underlying evidence and documentation to determine
whether the information provides a basis for amounts reserved / not
In our opinion and to the best of our information and according to Key Audit Matters reserved in the books of account.
the explanations given to us, the aforesaid standalone financial • involving our internal tax specialists and evaluating management’s
statements give the information required by the Companies Act, Key audit matters are those matters that, in our professional underlying key assumptions in estimating the tax provisions and
2013 (“Act”) in the manner so required and give a true and fair view judgment, were of most significance in our audit of the standalone estimate of the possible outcome of significant tax litigations; and
in conformity with the accounting principles generally accepted in financial statements of the current period. These matters were
India, of the state of affairs of the Company as at 31 March 2021, addressed in the context of our audit of the standalone financial • in respect of tax positions and litigations, assessing the computation
and profit and other comprehensive income, changes in equity and statements as a whole, and in forming our opinion thereon, and we of provisions and consequent impact on related accounting and
its cash flows for the year ended on that date. do not provide a separate opinion on these matters. disclosures in the standalone financial statements.

Other Information In preparing the standalone financial statements, the Management

Description of Key Audit Matters and Board of Directors are responsible for assessing the
The Company’s management and Board of Directors are responsible Company’s ability to continue as a going concern, disclosing, as
The key audit matter How the matter was addressed in our audit for the other information. The other information comprises the applicable, matters related to going concern and using the going
Revenue Recognition on fixed price contracts (See note 1(f) and 3.19 to the standalone financial statements) information included in the Company’s annual report, but does not concern basis of accounting unless the Board of Directors either
include the standalone financial statements and our auditors’ report intends to liquidate the Company or to cease operations, or has no
Revenue and onerous obligation in respect of open fixed price In view of the significance of the matter we applied the following audit thereon. realistic alternative but to do so.
contracts involves critical estimates as there is an inherent procedures in this area, among others to obtain sufficient appropriate
and presumed fraud risk involved around the recognition of audit evidence: Our opinion on the standalone financial statements does not cover The Board of Directors is also responsible for overseeing the
revenue, given the customized and complex nature of these the other information and we do not express any form of assurance Company’s financial reporting process.
contracts. • evaluating the design, implementation and operating effectiveness of
internal controls relating to estimation of efforts required and recording conclusion thereon.
Estimation of efforts is a critical estimate to determine of efforts incurred to complete the remaining contract performance Auditor’s Responsibilities for the Audit of the Standalone
revenue and liability for onerous obligations for open fixed obligations. In connection with our audit of the standalone financial statements, Financial Statements
price contracts. The estimate has a high inherent uncertainty our responsibility is to read the other information and, in doing so,
as it requires consideration of progress of contracts, efforts • obtaining an understanding of the systems, processes and controls consider whether the other information is materially inconsistent Our objectives are to obtain reasonable assurance about whether
incurred till date and efforts required to complete the implemented by management for recording and computing revenue with the standalone financial statements or our knowledge obtained the standalone financial statements as a whole are free from material
remaining contract performance obligations. and associated contract assets, and unearned and deferred revenue in the audit or otherwise appears to be materially misstated. If, misstatement, whether due to fraud or error, and to issue an auditor’s
balances. based on the work we have performed, we conclude that there is a report that includes our opinion. Reasonable assurance is a high
• involving our Information Technology (‘IT’) specialists to assess the material misstatement of this other information, we are required to level of assurance, but is not a guarantee that an audit conducted
design, implementation and operating effectiveness of key IT controls report that fact. We have nothing to report in this regard. in accordance with SAs will always detect a material misstatement
over the IT environment in which business systems operate, including when it exists. Misstatements can arise from fraud or error and are
IT general controls and application controls pertaining to allocation Management’s and Board of Directors’ Responsibility for the considered material if, individually or in the aggregate, they could
of resources and budgeting systems which prevents unauthorized Standalone Financial Statements reasonably be expected to influence the economic decisions of users
changes to recording of costs incurred and controls relating to the taken on the basis of these standalone financial statements.
estimation of contract costs required to complete the project. The Company’s Management and Board of Directors are
responsible for the matters stated in section 134(5) of the Act with As part of an audit in accordance with SAs, we exercise professional
• selecting specific/statistical samples of contracts and testing revenue
recognition and estimation of onerous obligation, if any, by performing respect to the preparation of these standalone financial statements judgment and maintain professional skepticism throughout the
the following procedures. that give a true and fair view of the state of affairs, profit/loss and audit. We also:
other comprehensive income, changes in equity and cash flows of
- evaluating identification of performance obligation and allocation the Company in accordance with the accounting principles generally • Identify and assess the risks of material misstatement of the
of transaction price to each performance obligation; accepted in India, including the Indian Accounting Standards (Ind standalone financial statements, whether due to fraud or error,
- performing retrospective review of the costs incurred with AS) specified under section 133 of the Act. This responsibility also design and perform audit procedures responsive to those risks,
estimated costs to identify significant variations and verifying includes maintenance of adequate accounting records in accordance and obtain audit evidence that is sufficient and appropriate
that variations have been considered in estimating the remaining with the provisions of the Act for safeguarding of the assets of to provide a basis for our opinion. The risk of not detecting
costs to complete the contract; and the Company and for preventing and detecting frauds and other a material misstatement resulting from fraud is higher than
irregularities; selection and application of appropriate accounting for one resulting from error, as fraud may involve collusion,
- assessing the appropriateness of work in progress (contract policies; making judgments and estimates that are reasonable and forgery, intentional omissions, misrepresentations, or the
assets) on balance sheet date by verifying the underlying prudent; and design, implementation and maintenance of adequate override of internal control.
information and identify possible changes in estimated costs to internal financial controls that were operating effectively for ensuring
complete the remaining performance obligations. accuracy and completeness of the accounting records, relevant • Obtain an understanding of internal control relevant to the
to the preparation and presentation of the standalone financial audit in order to design audit procedures that are appropriate
statements that give a true and fair view and are free from material in the circumstances. Under section 143(3)(i) of the Act, we
misstatement, whether due to fraud or error. are also responsible for expressing our opinion on whether
208 Standalone Financial Statements 209
 the company has adequate internal financial controls with comprehensive income), the Standalone Statement of Annexure A referred to in our Independent Auditors’ Report regularly deposited during the year by the Company
reference to standalone financial statements in place and the Changes in Equity and the Standalone Statement of with the appropriate authorities though there have been
operating effectiveness of such controls. Cash Flows dealt with by this Report are in agreement slight delays in case of payment of duty of customs. As
with the books of account. With reference to the Annexure A referred to in the Independent explained to us, the Company did not have any dues on
• Evaluate the appropriateness of accounting policies used Auditors’ Report to the members of HCL Technologies Limited on account of duty of excise.
and the reasonableness of accounting estimates and related (d) In our opinion, the aforesaid standalone financial the standalone financial statements for the year ended 31 March
2021, we report the following: (b) According to the information and explanation given
disclosures in the standalone financial statements made by the statements comply with the Ind AS specified under
to us, no undisputed amounts payable in respect of
Management and Board of Directors. section 133 of the Act. (i) (a) The Company has maintained proper records showing Provident Fund, Employee’s State Insurance, Income-
full particulars, including quantitative details and Tax, Goods and Service tax, duty of Customs, Cess
• Conclude on the appropriateness of the Management and (e) On the basis of the written representations received situation of its fixed assets. and other statutory dues were outstanding, at the year
Board of Directors use of the going concern basis of accounting from the directors as on 31 March 2021 taken on record end, for a period of more than six months from the date
(b) The Company has a regular programme of physical
and, based on the audit evidence obtained, whether a material by the Board of Directors, none of the directors is they became payable.
verification of its fixed assets by which all fixed assets
uncertainty exists related to events or conditions that may cast disqualified as on 31 March 2021 from being appointed are verified in a phased manner over a period of
significant doubt on the Company’s ability to continue as a as a director in terms of Section 164(2) of the Act. (c) According to the records of the Company, the dues
three years. In our opinion, this periodicity of physical of Income-tax, Service tax, Sales tax, Goods and
going concern. If we conclude that a material uncertainty exists, verification by management is reasonable having
we are required to draw attention in our auditor’s report to the (f) With respect to the adequacy of the internal financial Service Tax, Duty of Customs, and Provident Fund
regard to the size of the Company and the nature which have not been deposited by the Company with
related disclosures in the standalone financial statements or, controls with reference to standalone financial statements of its assets. Pursuant to the programme, certain
if such disclosures are inadequate, to modify our opinion. Our of the Company and the operating effectiveness of such the appropriate authorities on account of any disputes
fixed assets were physically verified during the year as at 31 March 2021, are as follows:
conclusions are based on the audit evidence obtained up to controls, refer to our separate Report in “Annexure B”. and no material discrepancies were noticed on such
the date of our auditor’s report. However, future events or verification. Forum where
conditions may cause the Company to cease to continue as a (B) With respect to the other matters to be included in the Name of the Nature of INR* Period to which dispute is
going concern. Auditors’ Report in accordance with Rule 11 of the (c) According to the information and explanations given to Statue the dues (in crores) amount relates pending
us, the title deeds of immovable properties included in
Companies (Audit and Auditors) Rules, 2014, in our opinion Income Tax Act, Income Tax 70.6 Financial year Deputy
property, plant and equipment are held in the name of 1961 2016-17 Commissioner of
• Evaluate the overall presentation, structure and content of the and to the best of our information and according to the Company. In respect of immovable properties taken Income Tax-Delhi
standalone financial statements, including the disclosures, and explanations given to us: on lease and disclosed as right-of-use-assets in the Income Tax Act, Income Tax 171.6 Financial Year Commissioner
whether the standalone financial statements represent the standalone financial statements, the lease agreements 1961 2003-04, 2004- of Income Tax
underlying transactions and events in a manner that achieves (i) The Company has disclosed the impact of pending are in the name of the Company. 05, 2011-12 to (Appeals)
fair presentation. litigations as at 31 March 2021 on its financial position Financial year
(ii) Inventories lying with Company have been physically 2015-16 and
in its standalone financial statements - Refer Note Financial year
We communicate with those charged with governance regarding, 3.33 to the standalone financial statements; verified by the management during the year. In our opinion, 2017-18
among other matters, the planned scope and timing of the audit the frequency of such verification is reasonable. As Income Tax Act, Income Tax 10 Financial Year Commissioner
and significant audit findings, including any significant deficiencies (ii) The Company did not have any long-term contracts informed to us, no material discrepancies were noticed on 19611 2012-13 and of Income Tax
in internal control that we identify during our audit. including derivative contracts for which there were any such verification. Inventories lying with third parties have Financial Year (Appeals)
been confirmed by them as at year end and no material 2016-17
material foreseeable losses;
discrepancies were noticed in respect of such confirmation. Income Tax Act, Income Tax 372.6 Financial Year Income Tax
We also provide those charged with governance with a statement 19612 2003-04 to Appellate
that we have complied with relevant ethical requirements regarding (iii) There has been no delay in transferring amounts, (iii) According to the information and explanations given to us, the Financial Year Tribunal-Delhi
independence, and to communicate with them all relationships required to be transferred, to the Investor Education Company has not granted any loans, secured or unsecured 2006-07 and
Financial year
and other matters that may reasonably be thought to bear on our and Protection Fund by the Company; and to companies, firms, limited liability partnerships or other 2008-09 to
independence, and where applicable, related safeguards. parties covered in the register maintained under section 189 Financial year
(iv) The disclosures in the standalone financial statements of the Act. Accordingly, the provisions of paragraph 3 (iii) (a), 2010-11
From the matters communicated with those charged with regarding holdings as well as dealings in specified (b) and (c) of the Order are not applicable to the Company. Income Tax Act, Income Tax 34.9 Financial Year Income Tax
19613 2012-13 to Appellate
governance, we determine those matters that were of most bank notes during the period from 8 November 2016 (iv) According to the information and explanations given to us, Financial Year Tribunal-Delhi
significance in the audit of the standalone financial statements to 30 December 2016 have not been made in these the Company has not entered into any transactions related 2014-15
of the current period and are therefore the key audit matters. standalone financial statements since they do not to loans, investments, guarantees and securities to which the Income Tax Act, Income Tax 69.3 Financial Year Income Tax
We describe these matters in our auditors’ report unless law or pertain to the financial year ended 31 March 2021. provisions of Section 185 of the Act is applicable. Further, 19613 2006-07 to Appellate
Financial Year Tribunal-Mumbai
regulation precludes public disclosure about the matter or when, according to the information and explanations given to us 2011-12
in extremely rare circumstances, we determine that a matter (C) With respect to the matter to be included in the Auditors’ and based on our audit procedures performed, we are of the Income Tax Act, Income Tax 1.2 Financial year High Court of
should not be communicated in our report because the adverse Report under section 197(16): opinion that provisions of section 186 of the Act have been 1961 2002-03 and Delhi
consequences of doing so would reasonably be expected to complied in respect of loan, guarantees and investments Financial year
outweigh the public interest benefits of such communication. In our opinion and according to the information and given by the Company. There are no securities provided by 2003-04
explanations given to us, the remuneration paid by the the Company as specified under the section 186 of the Act. Income Tax Act, Income Tax 1.6 Financial Year High Court of
19611 2006-07 Karnataka
Report on Other Legal and Regulatory Requirements company to its directors during the current year is in (v) According to the information and explanations given to us, the
accordance with the provisions of Section 197 of the Act. Income Tax Act, Income Tax 0.6 Financial Year High Court of
Company has not accepted any deposits as mentioned in the 1961 2008-09 Allahabad
1. As required by the Companies (Auditors’ Report) Order, 2016 The remuneration paid to any director is not in excess directives issued by the Reserve Bank of India, the provisions Income Tax Act, Income Tax 11.3 Financial Year Hon’ble Supreme
(“the Order”) issued by the Central Government in terms of the limit laid down under Section 197 of the Act. The of section 73 to 76 or any other relevant provisions of the Act 1961 2002-03 to Court of India
of section 143 (11) of the Act, we give in the “Annexure A” Ministry of Corporate Affairs has not prescribed other and the rules framed thereunder. Accordingly, the provisions of Financial Year
a statement on the matters specified in paragraphs 3 and 4 of details under Section 197(16) which are required to be 2004-05
paragraph 3(v) of the Order is not applicable to the Company.
the Order, to the extent applicable. commented upon by us. Bombay Sales Value 0.62 Financial Year Joint
(vi) According to the information and explanations given to us, Tax Act, 1959 Added Tax 2004-05 Commissioner
the Central Government has not prescribed the maintenance (Appeals), Mumbai
2. (A) As required by Section 143(3) of the Act, we report that:
For B S R & Co. LLP of cost records under sub-section (1) of section 148 of Maharashtra Value 0.48 Financial Year Joint
Chartered Accountants the Act for any of the services rendered by the Company. VAT Act, 2002 Added Tax 2009-10 and Commissioner
(a) We have sought and obtained all the information and 2011-12 (Appeals), Mumbai
Firm’s Registration No.101248W/W-100022 Accordingly, the provisions of paragraph 3(vi) of the Order is
explanations which to the best of our knowledge and not applicable to the Company. Central Sales Sales Tax 0.05 Financial Year Joint Commissioner
belief were necessary for the purposes of our audit. Tax,1956 2012-13 (Appeals)
Rakesh Dewan (vii) (a) According to the information and explanations given to Central Sales Sales Tax 0.31 Financial Year Joint Commissioner
(b) In our opinion, proper books of account as required Partner us and based on our examination of the records of the Tax,1956 2014-15 (Appeals),
Membership No.: 092212 Maharashtra
by law have been kept by the Company so far as it Company, amounts deducted/ accrued in the books of
ICAI UDIN.: 21092212AAAAAQ1046 account in respect of undisputed statutory dues including UP VAT Act Value 0.11 Financial Year Joint Commissioner
appears from our examination of those books. 2008 Added Tax 2010-11 (Appeals), Noida
Provident fund, Employees’ State Insurance, Income
Tax, Goods and Service tax, duty of Customs, cess Maharashtra Value 7.94 Financial Year Joint Commissioner
(c) The Standalone Balance Sheet, the Standalone Place: Gurugram, India VAT Act, 2002 Added Tax 2012-13 (Appeals), Large Tax
Statement of Profit and Loss (including other Date: 23 April 2021 and other material statutory dues have generally been Payer Unit, Mumbai

210 Standalone Financial Statements 211

 Forum where under Vivad Se Vishwas Scheme in the current year and is awaiting Annexure B to the Independent Auditors’ report on the reference to standalone financial statements and their operating
Name of the Nature of INR* Period to which
Statue the dues (in crores) amount relates dispute is final acceptance from the Income tax Department. standalone financial statements of HCL Technologies Limited effectiveness. Our audit of internal financial controls with
pending for the year ended 31 March 2021 reference to standalone financial statements included obtaining
Maharashtra Value 1.24 Financial Year Joint Commissioner
* Amount represents amount demanded in demand orders and
excludes interest and penalty as may be applicable thereon. an understanding of such internal financial controls, assessing the
VAT Act, 2002 Added Tax 2014-15 (Appeals), Large
Tax Payer Unit, Report on the internal financial controls with reference to the risk that a material weakness exists, and testing and evaluating
Mumbai Total amount deposited under protest / adjusted against refunds in aforesaid standalone financial statements under Clause (i) of the design and operating effectiveness of internal control based
respect of Income tax is ` 139.61 Crores (except amount considered Sub-section 3 of Section 143 of the Companies Act, 2013 on the assessed risk. The procedures selected depend on the
Goods and Goods and 4.35 October 2017 to Additional
Service Tax Act, Service September 2018 Commissioner in Vivad se Vishwas Scheme disclosed above), Custom Duty auditor’s judgement, including the assessment of the risks of
2017 Tax (appeals) of Goods ` 0.69 Crores, Service tax is ` 1.31 Crores, Goods and Service tax (Referred to in paragraph 2(A)(f) under ‘Report on Other Legal material misstatement of the standalone financial statements,
and Service Tax is ` 0.97 Crores, Value added tax is ` 0.71 Crores and Provident
and Regulatory Requirements’ section of our report of even whether due to fraud or error.
Goods and Goods and 5.35 October 2018 to Additional Fund is ` 0.89 Crores.
Service Tax Act, Service December 2019 Commissioner date)
2017 Tax (appeals) of (viii) In our opinion and according to the information and explanations We believe that the audit evidence we have obtained is sufficient
Goods and given to us and based on our examination of the records of Opinion and appropriate to provide a basis for our audit opinion on the
Service Tax the Company, the Company has not defaulted in repayment of Company’s internal financial controls with reference to standalone
Customs Act, Duty to 0.27 Financial Year Common loans or borrowings to banks. The Company did not have any
1962 Customs 2006-07 Adjudicating We have audited the internal financial controls with reference to financial statements.
Authority outstanding loans or borrowings from financial institutions or standalone financial statements of HCL Technologies Limited (“the
(Directorate government or dues to debenture holders during the year. Company”) as of 31 March 2021 in conjunction with our audit of Meaning of Internal Financial controls with Reference to
of Revenue
Intelligence) (ix) According to the information and explanations given to us, the standalone financial statements of the Company for the year Standalone Financial Statements
Customs Act, Duty to 2.21 Financial Year Office of Assistant
the Company has not raised any money by way of initial ended on that date.
1962 Customs 1997-98 to Commissioner of public offer / further pubic offer / debt instruments. In our A company’s internal financial controls with reference to
Financial Year Customs opinion and according to the information and explanations In our opinion, the Company has, in all material respects, adequate standalone financial statements is a process designed to provide
1999-00 given to us, the term loans taken by the Company have been internal financial controls with reference to standalone financial reasonable assurance regarding the reliability of financial reporting
Customs Act, Duty to 0.59 Financial Year Customs, Excise, applied for the purposes for which they were raised. statements and such internal financial controls with reference to and the preparation of standalone financial statements for external
1962 Customs 2007-08 and Service Tax
Financial Year Appellant Tribunal, (x) To the best of our knowledge and according to the information standalone financial statements were operating effectively as at purposes in accordance with generally accepted accounting
2009-10 to Maharashtra and explanations given to us, no material fraud by the 31 March 2021, based on the internal financial controls with principles. A company’s internal financial controls with reference
Financial Year reference to standalone financial statements criteria established to standalone financial statements include those policies and
2013-14 Company or on the Company by its officers or employees
has been noticed or reported during the course of our audit. by the Company considering the essential components of internal procedures that (1) pertain to the maintenance of records that, in
Finance Act Service Tax 0.79 Financial Year High Court of
1994, read with 2006-07 Allahabad control stated in the Guidance Note on Audit of Internal Financial reasonable detail, accurately and fairly reflect the transactions and
(xi) In our opinion and according to information and explanations
Service Tax
given to us and based on our examination of the records Controls Over Financial Reporting issued by the Institute of dispositions of the assets of the company; (2) provide reasonable
Rules,1994 Chartered Accountants of India (the “Guidance Note”). assurance that transactions are recorded as necessary to permit
of the Company, the managerial remuneration has been
Finance Act Service Tax 0.63 Financial Year Commissioner
provided/ paid by the Company in accordance with the preparation of standalone financial statements in accordance with
1994, read with 2006-07 of Service Tax Management’s Responsibility for Internal Financial Controls generally accepted accounting principles, and that receipts and
Service Tax (Appeals) provisions of Section 197 read with Schedule V to the Act.
Rules, 1994 expenditures of the company are being made only in accordance
(xii) According to the information and explanations given to The Company’s management and the Board of Directors are with authorisations of management and directors of the company;
Finance Act Service Tax 0.07 Financial Year Customs, Excise,
1994, read with 2006-07 to Service Tax us, in our opinion, the Company is not a Nidhi Company responsible for establishing and maintaining internal financial and (3) provide reasonable assurance regarding prevention or
Service Tax Financial Year Appellant Tribunal, as prescribed under Section 406 of the Act. Accordingly, controls based on the internal financial controls with reference timely detection of unauthorised acquisition, use, or disposition
Rules, 1994 2011-12 Allahabad paragraph 3(xii) of the Order is not applicable to the Company.
and Financial to standalone financial statements criteria established by the of the company’s assets that could have a material effect on the
Year 2009-10 (xiii) According to the information and explanations given to us and Company considering the essential components of internal control standalone financial statements.
Finance Act Service Tax 0.63 Financial Year Customs, Excise, based on of our examination of the records of the Company, stated in the Guidance Note. These responsibilities include the
1994, read with 2011-12 Service Tax all the transactions with the related parties are in compliance design, implementation and maintenance of adequate internal Inherent Limitations of Internal Financial controls with
Service Tax Appellant Tribunal, with the provisions of Sections 177 and 188 of the Act where
Rules, 1994 Chennai financial controls that were operating effectively for ensuring the Reference to Standalone Financial Statements
applicable and the details have been disclosed in the notes orderly and efficient conduct of its business, including adherence to
Finance Act Service Tax 0.37 Financial Year Customs, Excise, to the standalone financial statements as required by the
1994, read with 2013-14 Service Tax company’s policies, the safeguarding of its assets, the prevention Because of the inherent limitations of internal financial controls
Service Tax Appellant Tribunal applicable accounting standards. and detection of frauds and errors, the accuracy and completeness with reference to standalone financial statements, including
Rules, 1994
(xiv) According to the information and explanation given to us and of the accounting records, and the timely preparation of reliable the possibility of collusion or improper management override of
Finance Act Service Tax 1.36 Financial Year Commissioner based on of our examination of the records of the Company, financial information, as required under the Companies Act, 2013 controls, material misstatements due to error or fraud may occur
1994, read with 2013-14 of Service Tax
Service tax (Appeals) the Company has not made any preferential allotment or (hereinafter referred to as “the Act”). and not be detected. Also, projections of any evaluation of the
rules,1994 private placement of shares or fully or partly convertible internal financial controls with reference to standalone financial
Finance Act Service Tax 1.18 Financial Year High Court debentures during the year. Accordingly, paragraph 3(xiv) of Auditors’ Responsibility statements to future periods are subject to the risk that the internal
1994, read with 2007-10 the Order is not applicable to the Company. financial controls with reference to standalone financial statements
Service tax
rules,1994 (xv) According to information and explanations given to us and Our responsibility is to express an opinion on the Company’s internal may become inadequate because of changes in conditions, or
Finance Act Service Tax 15.56 April 2012 to Customs, Excise, based on our examination of the records of the Company, financial controls with reference to standalone financial statements that the degree of compliance with the policies or procedures may
1994, read with September 2012 Service Tax the Company has not entered into any non-cash transactions based on our audit. We conducted our audit in accordance with the deteriorate.
Service tax Appellant Tribunal, with directors or persons connected with them. Accordingly, Guidance Note and the Standards on Auditing, prescribed under
rules,1994 Allahabad section 143(10) of the Act, to the extent applicable to an audit of
paragraph 3(xv) of the Order is not applicable to the Company. For B S R & Co. LLP
Finance Act Service Tax 2.06 June 2011 to Customs, Excise, internal financial controls with reference to standalone financial Chartered Accountants
1994, read with August 2014 Service Tax (xvi) According to the information and explanations given to us,
Service tax Appellant Tribunal, the Company is not required to be registered under section statements. Those Standards and the Guidance Note require Firm’s Registration No.101248W/W-100022
rules,1994 Allahabad 45-IA of the Reserve Bank of India Act, 1934. that we comply with ethical requirements and plan and perform
Central Board Provident 4.30 Financial Year Bombay High the audit to obtain reasonable assurance about whether adequate Rakesh Dewan
Trustees Fund 2007-08 court internal financial controls with reference to standalone financial Partner
to Financial Year For B S R & Co. LLP
2013-14 statements were established and maintained and whether such Membership No.: 092212
Chartered Accountants controls operated effectively in all material respects. ICAI UDIN.: 21092212AAAAAQ1046
1
Pursuant to the scheme of amalgamation of HCL Eagle Limited, Firm’s Registration No.101248W/W-100022
HCL Technologies Solutions Limited and HCL Comnet Limited. Our audit involves performing procedures to obtain audit evidence
Place: Gurugram, India
2
The Company has made payment of tax liability for financial Rakesh Dewan about the adequacy of the internal financial controls with
Date: 23 April 2021
year 2004-05 amounting to ` 0.6 crores under Vivad Se Vishwas Partner
Scheme in the current year and is awaiting final acceptance from Membership No.: 092212
the Income tax Department. ICAI UDIN.: 21092212AAAAAQ1046
3
The Company has made payment of tax liability for financial year
2007-08 to financial year 2014-15 amounting to ` 54.84 crores Place: Gurugram, India
Date: 23 April 2021

212 Standalone Financial Statements 213

Standalone Balance Sheet as at 31 March 2021 Standalone Statement of Profit and Loss for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

As at As at Note Year ended Year ended

Note No.
31 March 2021 31 March 2020 No. 31 March 2021 31 March 2020
I ASSETS
(1) Non-current assets I Revenue
(a) Property, plant and equipment 3.1 3,608 3,549 Revenue from operations 3.19 35,673 32,666
(b) Capital work in progress 245 311
Other income 3.20 965 613
(c) Right-of-use assets 3.28 894 1,036
(d) Goodwill 3.2 6,549 6,418 Total income 36,638 33,279
(e) Other intangible assets 3.3 9,854 11,640
(f) Financial assets
II Expenses
(i) Investments 3.4 5,041 4,154
(ii) Others 3.6 359 314 Purchase of stock-in-trade 142 151
(g) Deferred tax assets (net) 3.25 668 2,030 Changes in inventories of stock-in-trade 3.21 (3) 3
(h) Other non-current assets 3.7 429 542 Employee benefits expense 3.22 11,749 9,955
(2) Current assets
(a) Inventories 3.8 18 15 Finance costs 3.23 177 240
(b) Financial assets Depreciation, amortization and impairment expense 2,813 1,959
(i) Investments 3.4 6,605 6,885 Outsourcing costs 7,515 7,215
(ii) Trade receivables 3.9 5,217 7,525
Other expenses 3.24 1,835 2,578
(iii) Cash and cash equivalents 3.10(a) 2,876 1,294
(iv) Other bank balances 3.10(b) 2,180 - Total expenses 24,228 22,101
(v) Loans 3.5 4,841 3,445
(vi) Others 3.6 5,294 3,907
III Profit before tax 12,410 11,178
(c) Current tax assets (net) 1 2
(d) Other current assets 3.11 682 771
IV Tax expense 3.25
TOTAL ASSETS 55,361 53,838 Current tax 2,480 1,968
II EQUITY Deferred tax charge 1,187 241
(a) Equity share capital 3.12 543 543 Total tax expense 3,667 2,209
(b) Other equity 43,010 37,003
TOTAL EQUITY 43,553 37,546
V Profit for the year 8,743 8,969
III LIABILITIES
(1) Non - current liabilities VI Other comprehensive income 3.26
(a) Financial liabilities
(A) (i) Items that will not be reclassified to statement of profit and loss 43 (81)
(i) Borrowings 3.13 207 160
(ii) Lease liabilities 3.28 574 680 (ii) Income tax on items that will not be reclassified to statement of profit and loss (11) 18
(iii) Others 3.14 3 553 (B) (i) Items that will be reclassified subsequently to statement of profit and loss 652 (514)
(b) Provisions 3.15 866 779 (ii) Income tax on items that will be reclassified subsequently to statement of profit
(c) Other non-current liabilities 3.16 139 115 (164) 91
and loss
(2) Current liabilities
VII Total other comprehensive income (loss) 520 (486)
(a) Financial liabilities
(i) Trade payables 3.17
1. Dues of micro enterprises and small enterprises 3.35 5 - VIII Total comprehensive income for the year 9,263 8,483
2. Dues of creditors other than micro enterprises and small enterprises 2,702 2,272
Earnings per equity share of ₹ 2 each 3.27
(ii) Lease liabilities 3.28 144 157
(iii) Others 3.14 3,459 8,886 Basic (in ₹) 32.22 33.06
(b) Other current liabilities 3.18 2,693 1,814 Diluted (in ₹) 32.22 33.05
(c) Provisions 3.15 227 171 Summary of significant accounting policies 1
(d) Current tax liabilities (net) 789 705
The accompanying notes are an integral part of the standalone financial statements
TOTAL EQUITY AND LIABILITIES 55,361 53,838 As per our report of even date attached

Summary of significant accounting policies 1 For B S R & Co. LLP For and on behalf of the Board of Directors of HCL Technologies Limited
Chartered Accountants
The accompanying notes are an integral part of the standalone financial statements Firm’s Registration No. : 101248W/W-100022
As per our report of even date attached Rakesh Dewan Shiv Nadar S. Madhavan C. Vijayakumar
Partner Chief Strategy Officer Director President and
For B S R & Co. LLP For and on behalf of the Board of Directors of HCL Technologies Limited Membership Number: 092212 Chief Executive Officer
Chartered Accountants
Firm’s Registration No. : 101248W/W-100022 Prateek Aggarwal Prahlad Rai Bansal Manish Anand
Chief Financial Officer Deputy Chief Financial Officer Company Secretary
Rakesh Dewan Shiv Nadar S. Madhavan C. Vijayakumar
Partner Chief Strategy Officer Director President and Gurugram, India Noida (UP), India
Membership Number: 092212 Chief Executive Officer 23 April 2021 23 April 2021
Prateek Aggarwal Prahlad Rai Bansal Manish Anand
Chief Financial Officer Deputy Chief Financial Officer Company Secretary
Gurugram, India Noida (UP), India
23 April 2021 23 April 2021
214 Standalone Financial Statements 215
 Standalone Statement of Cash flows for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise)

2 30,168
248
2 30,416
8,969
(486)
8,483
- (1,625)
(271)
-

-
-
(1) 37,003
(1) 37,003
8,743
521
9,264
(543)
- (2,714)
-

-
22 43,010
capital reserve payment re-investment translation hedging comprehensive equity
other
Cash Debt instruments Total
Year ended Year ended
31 March 2021 31 March 2020

-
(3)
(3)

-
-

-
-

-
23
23
-

-
through other
A Cash flows from operating activities
Other comprehensive income

income
Profit before tax 12,410 11,178
Adjustment for:
Depreciation, amortization and impairment expense 2,813 1,959
Interest income (551) (426)
171
-
171
-
(438)
(438)
-
-
-

-
-
(267)
(267)
-
450
450
-
-
-

-
183
reserve

Dividend income from subsidiaries (63) (47)

flow

Provision for doubtful debts / bad debts (written back) written off, net (12) 91
Income on investments carried at fair value through profit and loss (88) (119)
(17)
(2)
(19)
-
18
18
-
-
-

-
-
(1)
(1)
-
16
16
-
-
-

-
15
based economic zone currency

Profit on sale of investments carried at fair value through other comprehensive income (3) (16)
Foreign

reserve

Profit on sale of investment in subsidiary carried at cost (1) -

Chief Executive Officer

Interest expense 113 76

Company Secretary
Profit on sale of property, plant and equipment (net) (109) (1)
440
-
440
-
-
-
-
-
726

(440)
-
726
726
-
-
-
-
-
1,500

(531)
1,695

C. Vijayakumar

Manish Anand
Other non cash charges (net) 76 126

President and
reserve
Special

Operating profit before working capital changes 14,585 12,821

Net change in
Trade receivables 2,296 (1,305)
Other equity

Inventories (1) 9
5
-
5
-
-
-
-
-
-

-
(5)
-
-
-
-
-
-
-
-

-
-
( Refer note 1(a)) reserve
Share

Other financial assets and other assets (947) 12

For and on behalf of the Board of Directors of HCL Technologies Limited

Trade payables 424 (97)
Provisions, other financial liabilities and other liabilities 1,758 176
-
14
14
-
-
-
-
-
-

-
-
14
14
-
-
-
-
-
-

-
14
control

Cash generated from operations 18,115 11,616

Deputy Chief Financial Officer

transaction

Direct taxes paid (net of refunds) (2,350) (1,705)

Reserves and Surplus
Common

Net cash flow from operating activities (A) 15,765 9,911

Prahlad Rai Bansal

B Cash flows from investing activities
14
-
14
-
-
-
-
-
-

-
-
14
14
-
-
-
-
-
-

-
14
capital Retained Securities Capital redemption

S. Madhavan
Investments in bank deposits (2,180) -
reserve
Capital

Proceeds from bank deposits on maturity - 1,750

Director
Purchase of investments in securities (20,320) (35,073)
Proceeds from sale/maturity of investments in securities 20,728 30,454
Standalone Statement of Changes in Equity for the year ended 31 March 2021

120
-
120
-
-
-
-
-
-

-
-
120
120
-
-
-
-
-
-

-
120
earnings premium reserve

Deposits placed with body corporates (6,641) (4,976)

Proceeds from maturity of deposits placed with body corporates 5,219 3,221
Payments for business acquisitions, net of cash acquired (367) (5,340)
2
-
2
-
-
-
-
-
-

-
5
7
7
-
-
-
-
-
-

-
7

Purchase of property, plant and equipment and intangibles (817) (941)

Proceeds from sale of property, plant and equipment 132 12
Investment in the subsidiaries (887) (399)
271 29,431
236
29,667
8,969
(63)
8,906
(1,625)
(271)
(726)

440
-
36,391
36,391
8,743
32
8,775

Chief Financial Officer

(543)
(2,714)
(1,500)

531
40,940

Proceeds from sale of investment in subsidiary 1 -

Chief Strategy Officer
The accompanying notes are an integral part of the standalone financial statements

Prateek Aggarwal Proceeds from loans extended to subsidiaries 26 -

Noida (UP), India

Loan given to group company - (15)

23 April 2021
-
271
-
-
-
-
271.4
-

-
-
543
543
-
-
-
-
-
-

-
543

Dividend received from subsidiaries 63 47

Shiv Nadar
Share
Equity share capital

Interest received 585 257

(All amounts in crores of ₹, except share data and as stated otherwise)

Income taxes paid (90) (137)

1,356,278,868
-
1,356,278,868
-
-
-
-
1,356,832,548
-

-
553,680
2,713,665,096
2,713,665,096
-
-
-
-
-
-

-
2,713,665,096

Net cash flow used in investing activities (B) (4,548) (11,140)

Number of

Refer note 1 for summary of significant accounting policies

Shares

C Cash flows from financing activities

Proceeds from long term borrowings 68 152
Repayment of long term borrowings (24) (30)
Dividend of ` 5 per share (including tax on dividend

Transfer from special economic zone re-investment

Transfer from special economic zone re-investment

Balance as at 1 April 2019 (as reported earlier)

Proceeds from short term borrowings 75 221

Transfer to special economic zone re-investment

Transfer to special economic zone re-investment

Effect of common control business combination

Other comprehensive income (refer note 3.26)

Other comprehensive income (refer note 3.26)

Repayment of short term borrowings (75) (221)

Firm’s Registration No. : 101248W/W-100022
Total comprehensive income for the year

Total comprehensive income for the year

Proceeds from loan taken from subsidiary - 1

Repayment of loan taken from subsidiary - (1)
Issue of bonus shares (refer note 3.12)

As per our report of even date attached

Payments for deferred consideration on business acquisitions (6,216) (285)

Shares issued for exercised options

Interim dividend of ` 10 per share

Dividend paid (3,256) (1,357)

Balance as at 31 March 2020

Balance as at 31 March 2021

Final dividend of ` 2 per share

Corporate dividend tax - (268)

Membership Number: 092212
Balance as at 1 April 2019

Balance as at 1 April 2020

Interest paid (4) (11)

Chartered Accountants

Payment of lease liabilities including interest (217) (198)

For B S R & Co. LLP

Net cash flow used in financing activities (C) (9,649) (1,997)

Profit for the year

Profit for the year

(refer note 1 (a))

Gurugram, India
of ` 268 crores)

Rakesh Dewan

Net increase (decrease) in cash and cash equivalents (A+B+C) 1,568 (3,226)
23 April 2021

Effect of exchange differences on cash and cash equivalents held in foreign currency 14 (8)
reserve

reserve

reserve

reserve

Partner

Cash and cash equivalents at the beginning of the year 1,294 4,528
Cash and cash equivalents at the end of the year as per note 3.10 (a) 2,876 1,294

216 Standalone Financial Statements 217

Standalone Statement of Cash flows for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise)
Notes to standalone financial statements for the year ended 31 March 2021
Notes: (All amounts in crores of ₹, except share data and as stated otherwise)

1. Reconciliation of liabilities arising from financing activities

ORGANIZATION AND NATURE OF OPERATIONS
Deferred and contingent
Particulars
consideration
HCL Technologies Limited (hereinafter referred to as “the Company”) is primarily engaged in providing a range of IT and business
Balance as at 1 April 2019 - services, engineering and R&D services and products & platforms services. The Company was incorporated under the provisions of the
Cash flows (285)
Companies Act applicable in India in November 1991, having its registered office at 806, Siddharth, 96, Nehru Place, New Delhi- 110019.
The Company leverages its global technology workforce and intellectual properties to deliver solutions across following verticals - financial
Non cash changes services, manufacturing, life sciences & healthcare, public services, retail & CPG, technology & services and telecom, media, publishing
Business combination 6,150
and entertainment.

Exchange differences (net) 579 The standalone financial statements for the year ended 31 March 2021 were approved and authorized for issue by the Board of Directors
Recognized in profit and loss 116 on 23 April 2021.

Balance as at 31 March 2020 6,560 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Balance as at 1 April 2020 6,560
(a) Basis of preparation
Cash flows (6,216)
Non cash changes These standalone financial statements of the Company have been prepared in accordance with Indian Accounting Standards
(Ind AS) prescribed under section 133 of the Companies Act, 2013 read with the Companies (Indian Accounting Standards)
Exchange differences (net) (29) Rules as amended from time to time and presentation requirements of Schedule III (Division II) to the Companies Act, 2013, as
Recognized in profit and loss 48 applicable to the standalone financial statements.

Balance as at 31 March 2021 363 These standalone financial statements have been prepared under the historical cost convention on an accrual and going concern
basis except for the following assets and liabilities which have been measured at fair value:
2. The total amount of income taxes paid is ` 2,440 crores (Previous period, ` 1,842 crores)
3. Cash and cash equivalents include Investor education and protection fund-unclaimed dividend of ` 6 crores (Previous period, ` 5 crores). (a) Derivative financial instruments,

(b) Certain financial assets and liabilities (refer accounting policy regarding financial instruments),
The accompanying notes are an integral part of the standalone financial statements
(c) Defined benefit plans
As per our report of even date attached
For B S R & Co. LLP For and on behalf of the Board of Directors of HCL Technologies Limited The accounting policies adopted in the preparation of these standalone financial statements are consistent with those of the
Chartered Accountants previous year except where a newly issued accounting standard is initially adopted or a revision to an existing accounting
Firm’s Registration No. : 101248W/W-100022 standard requires a change in the accounting policy.
Rakesh Dewan Shiv Nadar S. Madhavan C. Vijayakumar
Partner Chief Strategy Officer Director President and The Hon’ble National Company Law Tribunal of New Delhi and Bengaluru have approved the Scheme of Amalgamation providing
Membership Number: 092212 Chief Executive Officer for the merger of four direct /step-down wholly-owned subsidiaries engaged in providing IT and IT related services viz. HCL
Eagle Limited, HCL Comnet Limited, HCL Technologies Solutions Limited and Concept2Silicon Systems Private Limited (the
Prateek Aggarwal Prahlad Rai Bansal Manish Anand “Transferor companies”) with and into HCL Technologies Limited (the “Transferee Company”) with effect from 01 April 2019, the
Chief Financial Officer Deputy Chief Financial Officer Company Secretary appointed date. The scheme has become effective on 13 July 2020 on filling of the certified true copy of the Orders of the Delhi
Gurugram, India Noida (UP), India and the Bengaluru NCLT with the Registrar of Companies on 13 March 2020 and 13 July 2020 respectively.
23 April 2021 23 April 2021
Since the Transferor Companies are the wholly-owned subsidiaries of the Transferee Company, there will be no issue and
allotment of shares as consideration. The difference amount of ` 14 crores between the amounts recorded as investments of
the Company (Transferee Company) and the amount of share capital of the aforesaid amalgamating subsidiaries (Transferor
Companies) has been adjusted in the Common Control Transaction Capital Reserve in accordance with the guidance under
Appendix C of IND AS 103 “Business Combinations” using the pooling of interest method. For the acquired subsidiaries, carrying
value of assets, liabilities and reserves appearing in the consolidated financial statements has been carried. Accordingly, the
comparative numbers have been restated to give effect of the Scheme.

The impact of the scheme is not material on the standalone financial statement of the Company.

All assets and liabilities have been classified as current and non-current as per the Company’s normal operating cycle of 12
months. The statement of cash flows has been prepared under indirect method.

The Company uses the Indian rupee (‘`’) as its reporting currency.

(b) Use of estimates

The preparation of standalone financial statements in conformity with Ind AS requires the management to make estimates
and assumptions that affect the reported amounts of assets, liabilities, revenue, expenses and other comprehensive income
(OCI) that are reported and disclosed in the financial statements and accompanying notes. These estimates are based on the
management’s best knowledge of current events, historical experience, actions that the Company may undertake in the future
and on various other assumptions that are believed to be reasonable under the circumstances. Actual results could differ from
those estimates. Changes in estimates are reflected in the standalone financial statements in the year in which the changes are
made.

218 Standalone Financial Statements 219

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Significant estimates and assumptions are used for, but not limited to, The translation of foreign operations from respective functional currency into INR (the reporting currency) for assets and
liabilities is performed using the exchange rates in effect at the balance sheet date, and for revenue, expenses and cash flows
(i) Accounting for costs expected to be incurred to complete performance under fixed price projects and determination of is performed using an appropriate daily weighted average exchange rate for the respective years. The exchange differences
stand-alone selling prices for each distinct performance obligation in respect of proprietary software products, refer note 1(f) arising on translation are reported as a component of ‘other comprehensive income (loss)’. On disposal of a foreign operation,
the component of OCI relating to that particular foreign operation is recognized in the statement of profit and loss.
(ii) Allowance for uncollectible accounts receivables, refer note 1(q)(i)
(e) Fair value measurement
(iii) Fair value of the consideration transferred (including contingent consideration) and fair value of the assets acquired and
liabilities assumed, measured on a provisional basis in case of business combination, refer note 1(c) The Company records certain financial assets and liabilities at fair value on a recurring basis. The Company determines fair
values based on the price it would receive to sell an asset or pay to transfer a liability in an orderly transaction between market
(iv) Recognition of income and deferred taxes, refer note 1(g) and note 3.25 participants at the measurement date in the principal or most advantageous market for that asset or liability.

(v) Key actuarial assumptions for measurement of future obligations under employee benefit plans, refer note 1(p) and note The Company holds certain fixed income securities, equity securities and derivatives, which must be measured using the guidance
3.30 for fair value hierarchy and related valuation methodologies. The guidance specifies a hierarchy of valuation techniques based
on whether the inputs to each measurement are observable or unobservable. Observable inputs reflect market data obtained
(vi) Useful lives of property, plant and equipment, refer note 1(h) from independent sources, while unobservable inputs reflect the Company’s assumptions about current market conditions. The
fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs
(vii) Lives of intangible assets, refer note 1(i) when measuring fair value. The prescribed fair value hierarchy and related valuation methodologies are as follows:

(viii) Key assumptions used for impairment of goodwill, refer note 1(n) and note 3.2 Level 1 - Quoted inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.

(ix) Identification of leases and measurement of lease liabilities and right of use assets, refer note 1(l) Level 2 - Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets
that are not active and model-derived valuations, in which all significant inputs are directly or indirectly observable in
(x) Provisions and contingent liabilities, refer note 1(o) and note 3.33 active markets.

In view of pandemic relating to COVID-19, the Company has considered and taken into account internal and external information  Level 3 - Valuations derived from valuation techniques, in which one or more significant inputs are unobservable inputs which
and has performed sensitivity analysis based on current estimates in assessing the recoverability of receivables, unbilled are supported by little or no market activity.
receivables, goodwill, intangible assets, other financial assets, impact on revenues and costs, impact on leases and effectiveness
of its hedging relationships including but not limited to the assessment of liquidity and going concern assumption. However, the In accordance with Ind AS 113, assets and liabilities are to be measured based on the following valuation techniques:
actual impact of COVID-19 on the Company’s financial statements may differ from that estimated and the Company will continue
to closely monitor any material changes to future economic conditions. (a) Market approach – Prices and other relevant information generated by market transactions involving identical or comparable
assets or liabilities.
(c) Business combinations and goodwill
(b) Income approach – Converting the future amounts based on market expectations to its present value using the discounting
Business combinations are accounted for using the acquisition method. The cost of an acquisition is the aggregate of the method.
consideration transferred measured at fair value at the acquisition date. Acquisition related costs are expensed as incurred.
(c) Cost approach – Replacement cost method.
Any contingent consideration to be transferred by the acquirer is recognized at fair value at the acquisition date. Contingent
consideration classified as financial liability is measured at fair value with changes in fair value recognized in the statement of Certain assets are measured at fair value on a non-recurring basis. These assets consist primarily of non-financial assets such
profit and loss. as goodwill and intangible assets. Goodwill and intangible assets recognized in business combinations are measured at fair
value initially and subsequently when there is an indicator of impairment, the impairment is recognized.
Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and any previous
interest held, over the net identifiable assets acquired and liabilities assumed. If the fair value of the net assets acquired is in A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits
excess of the aggregate consideration transferred, the excess is recognized as capital reserve after reassessing the fair values by using the asset in its highest and best use or by selling it to another market participant who would use the asset in its highest
of the net assets. and best use.

(d) Foreign currency and translation (f) Revenue recognition

The financial statements are presented in Indian Rupee (`), which is also the Company’s functional currency. For each foreign Contracts involving provision of services and material
operation, the Company determines the functional currency which is its respective local currency.
Revenue is recognized when, or as, control of a promised service or good transfers to a customer, in an amount that reflects the
Transactions in foreign currencies are initially recorded by the Company at their respective functional currency spot rates at the consideration to which the Company expects to be entitled in exchange for transferring those products or services. To recognize
date of the transaction. Foreign-currency denominated monetary assets and liabilities are translated to the relevant functional revenues, the following five step approach is applied: (1) identify the contract with a customer, (2) identify the performance
currency at exchange rates in effect at the balance sheet date. Exchange differences arising on settlement or translation of obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations
monetary items are recognized in the statement of profit and loss. Non-monetary assets and non-monetary liabilities denominated in the contract, and (5) recognize revenues when a performance obligation is satisfied. A contract is accounted when it is legally
in a foreign currency and measured at historical cost are translated at the exchange rate prevalent at the date of initial transaction. enforceable through executory contracts, approval and commitment from all parties, the rights of the parties are identified,
Non-monetary assets and non-monetary liabilities denominated in a foreign currency and measured at fair value are translated payment terms are defined, the contract has commercial substance and collectability of consideration is probable.
at the exchange rate prevalent at the date when the fair value was determined.
Time-and-material / Volume based / Transaction based contracts
Transaction gains or losses realized upon settlement of foreign currency transactions are included in determining net profit for
the year. Revenue, expenses and cash-flow items denominated in foreign currencies are translated into the relevant functional Revenue with respect to time-and-material, volume based and transaction based contracts is recognized as the related services
currencies using the exchange rate in effect on the date of the transaction. are performed through efforts expended, volume serviced transactions are processed etc. that correspond with value transferred
to customer till date which is related to our right to invoice for services performed.

220 Standalone Financial Statements 221

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Fixed Price contracts In instances when revenue is derived from sales of third-party vendor services, material or licenses, revenue is recorded on
a gross basis when the Company is a principal to the transaction and net of costs when the Company is acting as an agent
Revenue related to fixed price contracts where performance obligations and control are satisfied over a period of time like between the customer and the vendor. Several factors are considered to determine whether the Company is a principal or an
technology integration, complex network building contracts, system implementations and application development are recognized agent, most notably being company control the goods or service before it is transferred to customer, latitude in deciding the
based on progress towards completion of the performance obligation using a cost-to-cost measure of progress (i.e., percentage- price being charged to customer. Revenue is recognized net of discounts and allowances, value-added and service taxes, and
of-completion (POC) method of accounting). Revenue is recognized based on the costs incurred to date as a percentage of the includes reimbursement of out-of-pocket expenses, with the corresponding out-of-pocket expenses included in cost of revenues.
total estimated costs to fulfill the contract. Any revision in cost to complete would result in increase or decrease in revenue and
such changes are recorded in the period in which they are identified. Provisions for estimated losses, if any, on contracts-in- Volume discounts, or any other form of variable consideration is estimated using either the sum of probability weighted amounts in
progress are recorded in the period in which such losses become probable based on the current contract estimates. Contract a range of possible consideration amounts (expected value), or the single most likely amount in a range of possible consideration
losses are determined to be the amount by which the estimated incremental cost to complete exceeds the estimated future amounts (most likely amount), depending on which method better predicts the amount of consideration realizable. Transaction
revenues that will be generated by the contract and are included in cost of revenues and recorded in other accrued liabilities. price includes variable consideration only to the extent it is probable that a significant reversal of revenues recognized will not
occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and
Revenue related to other fixed price contracts providing maintenance and support services, are recognized based on our right to determination of whether to include estimated amounts in the transaction price may involve judgment and are based largely on
invoice for services performed for contracts in which the invoicing is representative of the value being delivered. If our invoicing an assessment of our anticipated performance and all information that is reasonably available to us.
is not consistent with value delivered, revenues are recognized as the service is performed based on the cost to cost method
described above. Revenue recognized but not billed to customers is classified either as contract assets or unbilled receivable in our standalone
balance sheet. Contract assets primarily relate to unbilled amounts on those contracts utilizing the cost to cost method of
In arrangements involving sharing of customer revenues, revenue is recognized when the right to receive is established. revenue recognition and right to consideration is not unconditional. Unbilled receivables represent contracts where right to
consideration is unconditional (i.e. only the passage of time is required before the payment is due). A contract liability arises
Revenue from product sales are shown net of applicable taxes, discounts and allowances. Revenue related to product with when there is excess billing over the revenue recognized.
installation services that are critical to the product is recognized when installation of product at customer site is completed and
accepted by the customer. If the revenue for a delivered item is not recognized for non-receipt of acceptance from the customer, Revenue from sales-type leases is recognized when risk of loss has been transferred to the client and there are no unfulfilled
the cost of the delivered item continues to be in inventory. obligations that affect the final acceptance of the arrangement by the client. Interest attributable to sales-type leases and direct
financing leases included therein is recognized on an accrual basis using the effective interest method and is recognized as
Proprietary Software Products other income.

Revenue from distinct proprietary perpetual license software is recognized at a point in time at the inception of the arrangement Interest income
when control transfers to the client. Revenue from proprietary term license software is recognized at a point in time for the
committed term of the contract. In case of renewals of proprietary term licenses with existing customers, revenue from term Interest income for all financial instruments measured at amortized cost is recorded using the effective interest rate (EIR). EIR is
license is recognized at a point in time when the renewal is agreed on signing of contracts. Revenue from support and subscription the rate that exactly discounts the estimated future cash payments or receipts over the expected life of the financial instrument
(S&S) is recognized over the contract term on a straight-line basis as the Company is providing a service of standing ready to or a shorter period, where appropriate, to the gross carrying amount of the financial asset or to the amortized cost of a financial
provide support, when-and-if needed, and is providing unspecified software upgrades on a when-and-if available basis over the liability. When calculating the EIR, the Company estimates the expected cash flows by considering all the contractual terms
contract term. In case software are bundled with one year of support and subscription either for perpetual or term based license, of the financial instrument but does not consider the expected credit losses. Interest income is included in other income in the
such support and subscription contracts are generally priced as a percentage of the net fees paid by the customer to purchase statement of profit and loss.
the license and are generally recognized as revenues ratably over the contractual period that the support services are provided.
Revenue from these proprietary software products is classified under sale of services. (g) Income taxes

Multiple performance obligation Income tax expense comprises current and deferred income tax.

When a sales arrangement contains multiple performance, such as services, hardware and Licensed IPs (software) or Income tax expense is recognized in the statement of profit and loss except to the extent that it relates to items recognized
combinations of each of them revenue for each element is based on a five step approach as defined above. To the extent a directly in equity, in which case it is recognized in equity. Current income tax for current and prior periods is recognized at the
contract includes multiple promised deliverables, judgment is applied to determine whether promised deliverables are capable of amount expected to be paid to or recovered from the tax authorities, using the tax rates and tax laws that have been enacted
being distinct and are distinct in the context of the contract. If these criteria are not met, the promised deliverables are accounted or substantively enacted by the balance sheet date. Provision for income tax includes the impact of provisions established for
for as a combined performance obligation. For arrangements with multiple distinct performance obligations or series of distinct uncertain income tax positions.
performance obligations, consideration is allocated among the performance obligations based on their relative standalone
selling price. Standalone selling price is the price at which the Company would sell a promised good or service separately to Deferred income tax assets and liabilities recognized for all temporary differences arising between the tax bases of assets and
the customer. When not directly observable, we estimate standalone selling price by using the expected cost plus a margin liabilities and their carrying amounts in the financial statements. Deferred income tax assets and liabilities are recognized for
approach. We establish a standalone selling price range for our deliverables, which is reassessed on a periodic basis or when those temporary differences which originate during the tax holiday period are reversed after the tax holiday period. For this
facts and circumstances change. If the arrangement contains obligations related to License of Intellectual property (Software) purpose, reversal of timing differences is determined using first in first out method.
or Lease deliverable, the arrangement consideration allocated to the Software deliverables, lease deliverable as a group is then
allocated to each software obligation and lease deliverable. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the
related tax benefit will be realized. Deferred income tax assets and liabilities are measured using tax rates and tax laws that have
Revenue recognition for delivered elements is limited to the amount that is not contingent on the future delivery of products or been enacted or substantively enacted by the balance sheet date and are expected to apply to taxable income in the years in
services, future performance obligations or subject to customer-specified return or refund privileges. which those temporary differences are expected to be recovered or settled.

Revenue from certain activities in transition services in outsourcing arrangements are not capable of being distinct or represent Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current tax assets against
separate performance obligation. Revenues relating to such transition activities are classified as Contract liabilities and current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.
subsequently recognized over the period of the arrangement. Direct and incremental costs in relation to such transition activities
which are expected to be recoverable under the contract and generate or enhance resources of the Company that will be used in The effect of changes in tax rates on deferred income tax assets and liabilities is recognized as income or expense in the year
satisfying the performance obligation in the future are considered as contract fulfillment costs classified as Deferred contract cost that includes the enactment or the substantive enactment date. A deferred income tax asset is recognized to the extent that it
and recognized over the period of arrangement. Certain upfront non-recurring incremental contract acquisition costs and other is probable that future taxable profit will be available against which the deductible temporary differences and tax losses can be
upfront fee paid to customer are deferred and classified as Deferred contract cost and amortized to revenue or cost, usually on utilized. Deferred income taxes are not provided on the undistributed earnings of branches where it is expected that the earnings
a straight line basis, over the term of the contract unless revenues are earned and obligations are fulfilled in a different pattern. of the branch will not be distributed in the foreseeable future.
The undiscounted future cash flows from the arrangement are periodically estimated and compared with the unamortized costs.
If the unamortized costs exceed the undiscounted cash flow, a loss is recognized.

222 Standalone Financial Statements 223

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Asset description Asset life (in years)

Tax benefits acquired as part of a business combination, but not satisfying the criteria for separate recognition at that date,
are recognized subsequently if new information about facts and circumstances change. The adjustment is either treated as a Software 3
reduction in goodwill (as long as it does not exceed goodwill) if it was incurred during the measurement period or recognized in Licensed IPRs 5 to 15
the statement of profit and loss.
Customer relationships 1 to 8
(h) Property, plant and equipment Customer contracts 1 to 3
Property, plant and equipment are stated at cost less accumulated depreciation and impairment losses if any. Cost comprises Technology 1 to 8
the purchase price and directly attributable cost of bringing the asset to its working condition for its intended use. Any trade Intellectual property rights 6
discounts and rebates are deducted in arriving at the purchase price. The Company identifies and determines separate useful
lives for each major component of the property, plant and equipment, if they have a useful life that is materially different from that Non- compete agreements 4
of the asset as a whole.
(j) Research and development costs
Expenses on existing property, plant and equipment, including day-to-day repairs, maintenance expenditure and cost of replacing
parts, are charged to the statement of profit and loss for the year during which such expenses are incurred. Research costs are expensed as incurred. Development expenditure, on an individual project, is recognized as an intangible
asset when the Company can demonstrate:
Gains or losses arising from derecognition of assets are measured as the difference between the net disposal proceeds and the
carrying amount of the asset and are recognized in the statement of profit and loss when the asset is derecognized. • The technical feasibility of completing the intangible asset so that it will be available for use or sale
• Its intention to complete and its ability and intention to use or sell the asset
Property, plant and equipment under construction and cost of assets not ready for use at the year end are disclosed as • How the asset will generate future economic benefits
capital-work-in-progress. • The availability of resources to complete the asset
• The ability to measure reliably the expenditure during development
Depreciation on property, plant and equipment is provided on the straight-line method over their estimated useful lives, as
determined by the management. Depreciation is charged on a pro-rata basis for assets purchased/sold during the year. Subsequently, following initial recognition of the development expenditure as an asset, the cost model is applied requiring the
asset to be carried at cost less any accumulated amortization and accumulated impairment losses. Amortization of the asset
The management’s estimates of the useful lives of various assets for computing depreciation are as follows: begins when development is complete and the asset is available for use. It is amortized over the period of expected future
benefit. Amortization expense is recognized in the statement of profit and loss. During the period of development, the asset is
Asset description Asset life (in years) tested for impairment annually.
Buildings 20
(k) Borrowing costs
Plant and equipment (including air conditioners, electrical installations) 10
Office equipment 5 Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial
period of time to get ready for its intended use are capitalized as part of the cost of the asset. All other borrowing costs are
Computers and networking equipment 4-5 expensed in the period in which they occur.
Furniture and fixtures 7
Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds. Borrowing
Vehicles 5 costs also includes exchange differences to the extent regarded as an adjustment to the borrowing costs.

The useful lives as given above best represent the period over which the management expects to use these assets, based on (l) Leases
technical assessment. The estimated useful lives for these assets are therefore different from the useful lives prescribed under
Part C of Schedule II of the Companies Act 2013. A lease is a contract that contains right to control the use of an identified asset for a period of time in exchange for consideration.

The residual values, useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial Company as a lessee
year end and adjusted prospectively, if appropriate.
Company is lessee in case of leasehold land, office space, accommodation for its employees & IT equipment. These leases
(i) Intangible assets are evaluated to determine whether it contains lease based on principles for the recognition, measurement, presentation and
disclosure of leases for both lessees and lessors as defined in Ind AS 116 effective from 1 April 2019.
Intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in
a business combination is measured at their fair value at the date of acquisition. Subsequently, following initial recognition, Right-of-use asset represents the Company’s right to control the underlying assets under lease and the lease liability is the
intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses. obligation to make the lease payments related to the underlying asset under lease. Right-of-use asset is measured initially based
on the lease liability adjusted for any initial direct costs, prepaid rent and lease incentives. Right-of-use asset is depreciated
Intangible assets are amortized over the useful life and assessed for impairment whenever there is an indication that the based on straight line method over the lease term or useful life of right-of-use asset, whichever is less. Subsequently, right-of-
intangible asset may be impaired. The amortization period and the amortization method for an intangible asset with a finite use asset is measured at cost less any accumulated depreciation, accumulated impairment losses, if any and adjusted for any
useful life are reviewed at least at the end of each reporting year. Changes in the expected useful life or the expected pattern of remeasurement of lease liability.
consumption of future economic benefits embodied in the asset are considered to modify the amortization period or method, as
appropriate, and are treated as changes in accounting estimates. The amortization expense on intangible assets with finite lives The lease liability is measured at the lease commencement date and determined using the present value of the minimum lease
is recognized in the statement of profit and loss. payments not yet paid and the Company’s incremental borrowing rate, which approximates the rate at which the Company
would borrow, in the country where the lease was executed. The Company has used a single discount rate for a portfolio of
Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal leases with reasonably similar characteristics. The lease payment comprises fixed payment less any lease incentives, variable
proceeds and the carrying amount of the asset and are recognized in the statement of profit and loss when the asset is lease payment that depends on an index or a rate, exercise price of a purchase option if the Company is reasonably certain
derecognized. to exercise the option and payment of penalties for terminating the lease, if the lease term reflects the Company exercising an
option to terminate the lease. Lease liability is subsequently measured by increase the carrying amount to reflect interest on the
The intangible assets are amortized over the estimated useful life of the assets as mentioned below except certain Licensed lease liability, reducing the carrying amount to reflect the lease payment made and remeasuring the carrying amount to reflect
IPRs which include the right to modify, enhance or exploit are amortized in proportion to the expected benefits over the useful any reassessment or modification, if any.
life which could range up to 15 years:

224 Standalone Financial Statements 225

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The Company has elected to not recognize leases with a lease term of 12 months or less in the balance sheet, including those
acquired in a business combination, and lease costs for those short-term leases are recognized on a straight-line basis over the (o) Provisions and contingent liabilities
lease term in the statement of profit and loss. For all asset classes, the Company has elected the lessee practical expedient to
combine lease and non-lease components and account for the combined unit as a single lease component in case there is no A provision is recognized if, as a result of a past event, the Company has a present legal or constructive obligation that can be
separate payment defined under the contract. estimated reliably, and it is probable that an outflow of resources embodying economic benefits will be required to settle the
obligation. If the effect of the time value of money is material, provisions are determined by discounting the expected future cash
Company as a lessor flows.

Leases in which the Company does not transfer substantially all the risks and benefits of ownership of the asset are classified The Company uses significant judgement to disclose contingent liabilities. Contingent liabilities are disclosed when there is a
as operating leases. Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence
asset and recognized over the lease term on the same basis as rental income. Contingent rents are recognized as revenue in of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past
the year in which they are earned or contingency is resolved. events where it is either not probable that an outflow of resources will be required to settle the obligation or a reliable estimate
of the amount cannot be made. Contingent assets are neither recognized nor disclosed in the financial statements.
Leases in which the Company transfers substantially all the risk and benefits of ownership of the asset are classified as finance
leases. Assets given under finance lease are recognized as a receivable at an amount equal to the present value of lease (p) Retirement and other employee benefits
receivable. After initial recognition, the Company apportions lease rentals between the principal repayment and interest income
so as to achieve a constant periodic rate of return on the net investment outstanding in respect of the finance leases. The interest (i) Provident fund: Employees of the Company receive benefits under the provident fund, a defined benefit plan. The employee
income is recognized in the statement of profit and loss. Initial direct costs such as legal cost, brokerage cost etc. are recognized and employer each make monthly contributions to the plan. A portion of the contribution is made to the provident fund
immediately in the statement of profit and loss. trust managed by the Company or Government administered provident fund; while the balance contribution is made to the
Government administered pension fund. For the contribution made by the Company to the provident fund trust managed
When arrangements include multiple performance obligations, the Company allocates the consideration in the contract between by the Company, the Company has an obligation to fund any shortfall on the yield of the Trust’s investments over the
the lease components and the non-lease components on a relative standalone selling price basis. administered interest rates. The liability is actuarially determined (using the projected unit credit method) at the end of the
year. The funds contributed to the Trust are invested in specific securities as mandated by law and generally consist of
(m) Inventory federal and state government bonds, debt instruments of government-owned corporations and, equity other eligible market
securities.
Stock-in-trade, stores and spares are valued at the lower of the cost or net realizable value. Cost includes cost of purchase
and other costs incurred in bringing the inventories to their present location and condition. Net realizable value is the estimated (ii) In respect of superannuation, a defined contribution plan for applicable employees, the Company contributes to a scheme
selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the administered on its behalf by appointed fund managers and such contributions for each year of service rendered by the
sale. employees are charged to the statement of profit and loss. The Company has no further obligations to the superannuation
plan beyond its contributions.
Cost of stock-in-trade procured for specific projects is assigned by identifying individual costs of each item. Cost of stock in trade,
that are interchangeable and not specific to any project and cost of stores and spare parts are determined using the weighted (iii) Gratuity liability: The Company provide for gratuity, a defined benefit plan (the “Gratuity Plan”) covering eligible employees.
average cost formula. The Gratuity Plan provides a lump sum payment to vested employees at retirement, death, incapacitation or termination
of employment, of an amount based on the respective employee’s base salary and the tenure of employment (subject to a
(n) Impairment of non-financial assets maximum of ` 20 lacs per employee). The liability is actuarially determined (using the projected unit credit method) at the
end of each year. Actuarial gains/losses are recognized immediately in the balance sheet with a corresponding debit or
Goodwill credit to retained earnings through other comprehensive income in the year in which they occur.

Goodwill is tested annually on March 31, for impairment, or sooner whenever there is an indication that goodwill may be In respect to certain employees in India, the Company contributes towards gratuity liabilities to the Gratuity Fund Trust.
impaired, relying on a number of factors including operating results, business plans and future cash flows. For the purpose of Trustees of the Company administer contributions made to the Trust and contributions are invested in a scheme with Life
impairment testing, goodwill acquired in a business combination is allocated to the Company’s cash generating units (CGU) Insurance Corporation of India as permitted by law.
expected to benefit from the synergies arising from the business combination. A CGU is the smallest identifiable group of assets
that generates cash inflows that are largely independent of the cash inflows from other assets or group of assets. Impairment (iv) Compensated absences: The employees of the Company are entitled to compensated absences which are both accumulating
occurs when the carrying amount of a CGU including the goodwill, exceeds the estimated recoverable amount of the CGU. The and non-accumulating in nature. The employees can carry forward up to the specified portion of the unutilized accumulated
recoverable amount of a CGU is the higher of its fair value less cost to sell and its value-in-use. Value-in-use is the present value compensated absences and utilize it in future periods or receive cash at retirement or termination of employment. The
of future cash flows expected to be derived from the CGU. Total impairment loss of a CGU is allocated first to reduce the carrying expected cost of accumulating compensated absences is determined by actuarial valuation (using the projected unit credit
amount of goodwill allocated to the CGU and then to the other assets of the CGU, pro-rata on the basis of the carrying amount method) based on the additional amount expected to be paid as a result of the unused entitlement that has accumulated at
of each asset in the CGU. the balance sheet date. The expense on non-accumulating compensated absences is recognized in the statement of profit
and loss in the year in which the absences occur. Actuarial gains/losses are immediately taken to the statement of profit and
An impairment loss on goodwill recognized in the statement of profit and loss is not reversed in the subsequent period. loss and are not deferred.

Intangible assets and property, plant and equipment (v) State Plan: The contribution to State Plans in India, a defined contribution plan namely Employee State Insurance Fund is
charged to the statement of profit and loss as and when employees render related services.
Intangible assets and property, plant and equipment are evaluated for recoverability whenever events or changes in circumstances
indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e. (vi) Contributions to other defined contribution plans in branches outside India are recognized as expense when employees
the higher of the fair value less cost to sell and the value-in-use) is determined on an individual asset basis unless the asset have rendered services entitling them to such benefits.
does not generate cash flows that are largely independent of those from other assets. In such cases, the recoverable amount
is determined for the CGU to which the asset belongs. If such assets are considered to be impaired, the impairment to be (q) Financial Instruments
recognized in the statement of profit and loss is measured by the amount by which the carrying value of the asset exceeds the
estimated recoverable amount of the asset. A financial instrument is a contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of
another entity.

i. Financial assets

All financial assets are recognized initially at fair value. Transaction costs that are directly attributable to the acquisition of
financial assets (other than financial assets at fair value through profit or loss) are added to the fair value measured on initial
recognition of financial asset. Purchase and sale of financial assets are accounted for at trade date.
226 Standalone Financial Statements 227
Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Cash and cash equivalents Financial liabilities at amortized cost

Cash and cash equivalents in the balance sheet comprise cash in banks and short-term deposits and investments with an The Company’s financial liabilities at amortized cost are initially recognized at net of transaction costs and includes trade
original maturity of three months or less, which are subject to an insignificant risk of changes in value. For the purposes of payables, borrowings including bank overdrafts and other payables.
the cash flow statement, cash and cash equivalents are considered net of outstanding bank overdrafts that are repayable
on demand and are considered part of the Company’s cash management system. In the statement of financial positions, After initial recognition, financial liabilities are subsequently measured at amortized cost using the effective interest rate
bank overdrafts are presented under borrowings within current liabilities. (EIR) method except for deferred consideration recognized in a business combination which is subsequently measured at
fair value through profit and loss. Gains and losses are recognized in the statement of profit and loss when the liabilities are
Financial assets at amortized cost derecognized as well as through the EIR amortization process.
A financial asset is measured at the amortized cost if both the following conditions are met:
Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an
(a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and integral part of the EIR. The EIR amortization is included as finance costs in the statement of profit and loss.

(b) Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and Derecognition
interest (SPPI) on the principal amount outstanding. A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires.

After initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest iii. Derivative financial instruments and hedge accounting
rate (EIR) method. Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or
costs that are an integral part of the EIR. The EIR amortization is included in other income in the statement of profit and loss. Foreign exchange forward contracts and options are purchased to mitigate the risk of changes in foreign exchange rates
The losses arising from impairment are recognized in the statement of profit and loss. This category includes cash and bank associated with forecast transactions denominated in certain foreign currencies.
balances, loans, unbilled receivables, trade and other receivables.
The Company recognizes all derivatives as assets or liabilities measured at their fair value. Changes in fair value for
Financial assets at Fair Value through Other Comprehensive Income (OCI) derivatives not designated in a hedge accounting relationship are marked to market at each reporting date and the related
A financial asset is classified and measured at fair value through OCI if both of the following criteria are met: gains (losses) are recognized in the statement of profit and loss as ‘foreign exchange gains (losses)’.

(a) The objective of the business model is achieved both by collecting contractual cash flows and selling the financial The foreign exchange forward contracts and options in respect of forecast transactions which meet the hedging criteria are
assets, and designated as cash flow hedges. Changes in the fair value of derivative (net of tax) that are designated as effective cash flow
hedges are deferred and recorded in the hedging reserve account as a component of accumulated ‘other comprehensive
(b) The asset’s contractual cash flows represent solely payments of principal and interest. income (loss)’ until the hedged transaction occurs and are then recognized in the statement of profit and loss. The ineffective
portion of hedging derivatives is immediately recognized in the statement of profit and loss.
Financial asset included within the OCI category are measured initially as well as at each reporting date at fair value. Fair
value movements are recognized in OCI. Interest income is recognized in statement of profit and loss for debt instruments. In respect of derivatives designated as hedges, the Company formally documents all relationships between hedging
On derecognition of the asset, cumulative gain or loss previously recognized in OCI is reclassified from OCI to statement of instruments and hedged items, as well as its risk management objective and strategy for undertaking various hedge
profit and loss. transactions. The Company also formally assesses both at the inception of the hedge and on an ongoing basis, whether
each derivative is highly effective in offsetting changes in fair values or cash flows of the hedged item. The Company
Financial assets at Fair Value through Profit and Loss determines the existence of an economic relationship between the hedging instrument and hedged item based on the
Any financial asset, which does not meet the criteria for categorization at amortized cost or at fair value through other currency, amount and timing of their respective cash flows.
comprehensive income, is classified at fair value through profit and loss. Financial assets included at the fair value through
profit and loss category are measured at fair value with all changes recognized in the statement of profit and loss. Hedge accounting is discontinued prospectively from the last testing date when (1) it is determined that the derivative
financial instrument is no longer effective in offsetting changes in the fair value or cash flows of the underlying exposure
Equity investments being hedged; (2) the derivative financial instrument matures or is sold, terminated or exercised; or (3) it is determined that
Equity investments in subsidiaries are measured at cost less impairment if any. designating the derivative financial instrument as a hedge is no longer appropriate. When hedge accounting is discontinued
the deferred gains or losses on the cash flow hedge remain in ‘other comprehensive income (loss)’ until the forecast
Derecognition of financial assets transaction occurs. Any further change in the fair value of the derivative financial instrument is recognized in current year
A financial asset is primarily derecognized when the rights to receive cash flows from the asset have expired, or the earnings.
Company has transferred its rights to receive cash flows from the asset.
Offsetting of financial instruments
Impairment of financial assets Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a currently
The Company recognizes loss allowances using the expected credit loss (ECL) model for the financial assets which are not enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis to realize the assets
fair valued through profit and loss. Lifetime ECL allowance is recognized for trade receivables with no significant financing and settle the liabilities simultaneously.
component. For all other financial assets, expected credit losses are measured at an amount equal to the 12-month ECL,
unless there has been a significant increase in credit risk from initial recognition in which case they are measured at lifetime (r) Dividend
ECL. The amount of expected credit losses (or reversal) that is required to adjust the loss allowance at the reporting date is
recognized in statement of profit and loss. Final dividend proposed by the Board of Directors are recognized upon approval by the shareholders who have the right to
decrease but not increase the amount of dividend recommended by the Board of Directors. Interim dividends are recognized on
ii. Financial liabilities declaration by the Board of Directors.

All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of (s) Earnings per share (EPS)
directly attributable transaction costs.
Basic EPS amounts are computed by dividing the net profit attributable to the equity holders of the Company by the weighted
The subsequent measurement of financial liabilities depends on their classification, as described below: average number of equity shares outstanding during the year.

Financial liabilities at fair value through profit or loss Diluted EPS amounts are computed by dividing the net profit attributable to the equity holders of the Company by the weighted
Financial liabilities designated upon initial recognition at fair value through profit or loss are designated as such at the initial average number of equity shares considered for deriving basic earnings per share and also the weighted average number of
date of recognition, and only if the criteria in Ind AS 109 are satisfied. Changes in fair value of such liability are recognized equity shares that could have been issued upon conversion of all dilutive potential equity shares. The diluted potential equity
in the statement of profit or loss. shares are adjusted for the proceeds receivable had the shares been actually issued at fair value (i.e. the average market value

228 Standalone Financial Statements 229

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

• pecific disclosure under ‘additional regulatory requirement’ such as compliance with approved schemes of arrangements,
S
of the outstanding shares). Dilutive potential equity shares are deemed converted as at the beginning of the year, unless issued compliance with number of layers of companies, title deeds of immovable property not held in name of company, loans and
at a later date. Dilutive potential equity shares are determined independently for each year presented. advances to promoters, directors, key managerial personnel (KMP) and related parties, details of benami property held etc.

The number of shares and potentially dilutive equity shares are adjusted retrospectively for all periods presented for bonus Statement of profit and loss:
shares.
• Additional disclosures relating to undisclosed income, Corporate Social Responsibility (CSR) and crypto or virtual currency
(t) Nature and purpose of reserves specified under the head ‘additional information’ in the notes to the standalone financial statement.

Securities premium reserve The Company is currently evaluating the impact of these amendment on its standalone financial statements.
Securities premium reserve is used to record the premium on issue of shares. The reserve can be utilized only for limited purposes
such as issuance of bonus shares and buyback of shares in accordance with the provisions of the Companies Act, 2013. 2. ACQUISITIONS

Capital redemption reserve (a) Acquisitions in the current year

The Company recognizes cancellation of the Company’s own equity instruments to capital redemption reserve.
Acquisition of Cisco SON Product
Share based payment reserve
The share options based payment reserve is used to recognize the grant date fair value of options issued to employees under On 29 May 2020, the Company had signed a definitive agreement to acquire Cisco Self-Optimizing Network (SON) products and
Employee stock option plan. associated business from Cisco System, Inc., a California based company for a consideration of ` 367 crores.

Special economic zone re-investment reserve The Cisco SON technology is a powerful platform that uses machine learning and a set of applications to automate the Radio
The Company has created Special economic zone re-investment reserve out of profits of the eligible SEZ Units in terms of Access Network (RAN). SON is a multi-vendor multi-technology (MVMT) solution that optimizes the Radio Access Networks
the specific provisions of Section 10AA(1) of the Income Tax Act, 1961 (“the Act”). The said reserve should be utilized by the (RAN) for 2G-5G.
Company for acquiring plant and machinery in terms of Section 10AA(2) of the Act.
Acquisition has been consummated effective 25 October 2020. The Company has paid ` 358 crores on acquisition date and
Foreign currency translation reserve balance ` 9 crores was paid subsequently.
Exchange differences arising on translation of the foreign operations are recognized in other comprehensive income as described
in accounting policy and accumulated in a separate reserve within equity. The cumulative amount is reclassified to profit or loss Total purchase consideration of ` 367 crores has been allocated based on management estimates to the acquired assets and
when the net investment is disposed-off. liabilities as follows:

Cash flow hedging reserve Amount

For hedging foreign currency risk, the Company uses foreign currency forward and option contracts. To the extent these hedges Recoverable from Cisco (against contract liabilities) 73
are effective, the change in fair value of the hedging instrument is recognized in the cash flow hedging reserve. Amounts Contract liabilities (66)
recognized in the cash flow hedging reserve is reclassified to the statement of profit or loss when the hedged item affects profit
or loss. Other recoverable from Cisco 25
Property plant and equipment 1
Debt instruments through other comprehensive income
Intangible assets
The Company recognizes changes in the fair value of debt instruments held with business objective of collect and sell in other
comprehensive income. The Company transfers amounts from this reserve to the statement of profit and loss when the debt Technology 92
instrument is sold. Customer relationships 89
Customer contracts 15
Common control transaction capital reserve
The Company has created Common Control Transaction Capital Reserve in accordance with the guidance under Appendix C of Non-compete agreements 7
IND AS 103 “Business Combinations”. This reserve is not freely available for distribution. Goodwill 131
Total purchase consideration 367
(u) Recently issued accounting pronouncements
The resultant goodwill was considered tax deductible on the date of acquisition and has been allocated to the Products &
On 24 March 2021, the Ministry of Corporate Affairs (MCA), notified amendments in Schedule III to the Companies Act, 2013 Platforms segment. This goodwill is attributable mainly to Company’s ability to enhance the sale of products to customers in
effective from 1 April 2021. Following are key amended provisions which may have an impact on the presentation of standalone existing business of the Company and targeting new customers.
financial statements of the Company:
The table below shows the values and lives of intangible assets recognized on acquisition:
Balance sheet:
Amount Life (Years) Basis of amortization
• urrent maturities of long-term borrowings shall be disclosed separately under ‘Borrowings’ against current presentation of
C
‘Other financial liabilities’. Technology 92 8 On straight line basis
Customer relationships 89 8 In proportion of estimated revenue
• ertain additional disclosures in the statement of changes in equity such as changes in equity share capital due to prior
C
period errors and restated balances at the beginning of the current reporting period. Customer contracts 15 3 In proportion of estimated revenue
Non-compete agreements 7 4 On straight line basis
• Specified format for disclosure of shareholding of promoters.
Total intangible assets 203
• Specified format for ageing schedule of trade receivables, trade payables and capital work-in-progress.

• I f a company has not used funds for the specific purpose for which it was borrowed from banks and financial institutions,
then disclosure of details of where it has been used.

230 Standalone Financial Statements 231

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3. Notes to financial statements

(b) Acquisition in the previous year
3.1 Property, plant and equipment
Acquisition of Select IBM Software products The changes in the carrying value for the year ended 31 March 2021
On 7 December 2018, the Company had signed a definitive agreement to acquire business relating to select IBM software
Computers and Furniture
products for a consideration of ` 11,715 crores. Freehold Plant and Office Vehicles
Buildings networking and Total
land equipment equipment #
The Company has acquired these products for security, marketing, commerce, and digital solutions along with certain assumed equipment fixtures
liabilities and in scope employees. With this the Company gets 100% control on the assets being acquired and has also taken full Gross block as at 1 April 2020 67 3,049 1,416 276 1,716 489 140 7,153
ownership of the research and development, sales, marketing, delivery and support for these products. Through this acquisition,
Additions - 106 81 15 429 36 28 695
the Company intends to enhance its products and platforms offering to customers across a wide range of industries and markets.
IBM will pay the Company for the assumed liabilities as related services are rendered, based on an agreed basis, fair value of Acquisitions through business
- - - - 1 - - 1
the same has been estimated at ` 3,490 crores. combinations
Disposals 10 - 64 12 356 38 27 507
Acquisition has been consummated effective 30 June 2019. The Company has paid ` 5,340 crores till 30 June 2019. ` 5,340 crores
is payable after one year and ` 1,035 crores is payable in three tranches of ` 345 crores each till 30 July 2021 subject to fulfilment Translation exchange differences - - - - 1 - - 1
of certain conditions as per agreement. These payables have been fair valued at ` 6,149 crores. Gross block as at 31 March 2021 57 3,155 1,433 279 1,791 487 141 7,343
Accumulated depreciation as at
The Company has paid ` 5,848 crores on 30 June 2020. The Company has also paid two trenches of purchase consideration - 914 923 204 1,096 400 67 3,604
1 April 2020
amounting to ` 645 crores till 31 March 2021.
Charge for the year - 155 102 25 275 31 26 614
The Company had earlier acquired certain intellectual property rights (Licensed IPRs) from IBM for some of these products and Deduction/other adjustments - - 62 12 351 36 23 484
was carrying these licensed IPRs at an unamortized value of ` 2,950 crores as of 30 June 2019. This amount has been reduced
from Licensed IPRs and included in purchase price. Translation exchange differences - - - - 1 - - 1
Accumulated depreciation as at
- 1,069 963 217 1,021 395 70 3,735
The purchase price including the fair value of remaining consideration and unamortized value of Licensed IPRs of ` 6,149 crores 31 March 2021
and ` 2,950 crores respectively is ` 14,438 crores and has been allocated based on management estimates to the acquired Net block as at 31 March 2021 57 2,086 470 62 770 92 71 3,608
assets and liabilities as follows:
Note : Capital work in progress includes `18 crores interest on extended interest bearing suppliers credit and during the year ` 6 crores
Amount have been capitalised by the Company.
Recoverable from IBM (against contract liabilities) 3,490 # Also refer footnote 1 of note 3.13
Contract liabilities* (3,518)
The changes in the carrying value for the year ended 31 March 2020
Deferred tax 24
Property plant and equipment and software 2 Computers and Furniture
Freehold Plant and Office Vehicles
Buildings networking and Total
Intangible assets land equipment equipment #
equipment fixtures
Customer related intangibles 6,152 Gross block as at 1 April 2019 67 2,901 1,380 268 1,686 485 124 6,911
Technology 2,428 Additions - 148 58 32 289 26 37 590
Goodwill 5,860
Acquisitions through business
Total purchase consideration 14,438 - - - - 2 - - 2
combinations
*Presented gross of ` 1,626 crores recoverable from IBM with a corresponding contract liability for customer contracts entered Disposals - - 22 24 264 22 21 353
by IBM for these products with service obligation commencing after 30 June 2019. Translation exchange differences - - - - 3 - - 3
The resultant goodwill was considered tax deductible on the date of acquisition and has been allocated to the Products & Gross block as at 31 March 2020 67 3,049 1,416 276 1,716 489 140 7,153
Platforms segment. Accumulated depreciation as at
- 767 853 199 1,126 391 56 3,392
1 April 2019
This goodwill is attributable mainly to Company’s ability to upgrade the products and enhance the sale of products to customers
in existing business of the Company and targeting new customers. Charge for the year - 147 93 28 227 30 26 551
Deduction/other adjustments - - 23 23 258 21 15 340
The table below shows the values and lives of intangible assets recognized on acquisition: Translation exchange differences - - - - 1 - - 1
Amount Life (Years) Basis of amortization Accumulated depreciation as at
- 914 923 204 1,096 400 67 3,604
Customer related intangibles 6,152 10 In proportion of estimated revenue 31 March 2020
On straight line basis over the estimated Net block as at 31 March 2020 67 2,135 493 72 620 89 73 3,549
Technology 2,428 7 to 10
life of the respective products Net block as at 1 April 2019 67 2,134 527 69 560 94 68 3,519
Total intangible assets 8,570 Note : Capital work in progress includes `11 crores interest on extended interest bearing suppliers credit and during the year ` 6 crores have
been capitalised by the Company.
Subsequent to the consummation date, the Company received certain revised information from seller which resulted in # Also refer footnote 1 of note 3.13
adjustments in the value of assets and liabilities acquired resulting into increase in intangible assets by `115 crores with
corresponding decrease in goodwill by `127 crores and increase in net assets by ` 59 crores.

232 Standalone Financial Statements 233

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.2 Goodwill
The changes in the carrying value for the year ended 31 March 2020
The following table presents the changes in carrying value of goodwill based on identified CGUs for the year ended
31 March 2021. Intellectual Non
Licensed Customer Customer
Software Technology property compete Total
IT and Business Engineering and Products and IPRs relationships contracts
Total rights agreements
Services R&D services Platforms Gross block as at 1 April 2019 674 8,303 151 20 - 7 - 9,155
Opening balance as at 1 April 2020 344 214 5,860 6,418 Additions 63 - - - - - - 63
Acquisitions through business combination - - 131 131 Acquisitions through business
Closing balance as at 31 March 2021 344 214 5,991 6,549 - - 6,152 - 2,428 - - 8,580
combinations
Disposals/other adjustments
- 3,432 - - - - - 3,432
The following table presents the changes in the carrying value of goodwill based on identified CGUs for the year ended (refer note 2)
31 March 2020. Gross block as at 31 March 2020 737 4,871 6,303 20 2,428 7 - 14,366
IT and Business Engineering and Products and Accumulated amortization as at
Total 584 1,310 60 20 - 3 - 1,977
Services R&D services Platforms 1 April 2019
Opening balance as at 1 April 2019 344 214 - 558 Charge for the year 67 453 487 - 223 1 - 1,231
Acquisitions through business combination - - 5,987 5,987 Deduction/other adjustments
- 482 - - - - - 482
Measurement period adjustments (refer note 2) - - (127) (127) (refer note 2)
Closing balance as at 31 March 2020 344 214 5,860 6,418 Accumulated amortization as at
651 1,281 547 20 223 4 - 2,726
For the purpose of impairment testing, goodwill acquired in a business combination is allocated to the CGU, which benefit from the 31 March 2020
synergies of the acquisition. Net block as at 31 March 2020 86 3,590 5,756 - 2,205 3 - 11,640
Net block as at 1 April 2019 90 6,993 91 - - 4 - 7,178
Goodwill is tested annually on March 31, for impairment, or sooner whenever there is an indication that goodwill may be impaired. Estimated remaining useful life (in years) 3 13 9 - 9 2 -
Impairment is recognized, when the carrying amount of a CGU including the goodwill, exceeds the estimated recoverable amount of
the CGU. The estimated value-in-use of this CGU is based on the future cash flow forecasts for 5 to 8 years & then on perpetuity on 3.4 Investments
the basis of certain assumptions which include revenue growth, earnings before interest and taxes, taxes, capital outflow and working
capital requirement. The assumptions are taken on the basis of past trends and management estimates and judgement. Future cash As at
flows are discounted with “Weighted Average Cost of Capital”. The key assumptions are as follows: 31 March 2021 31 March 2020
Financial assets
As at
Non-current
31 March 2021 31 March 2020
Unquoted Investment
Growth rate (%) (6.4) to 10.0 (5.0) to 5.0
Equity investment in subsidiary companies carried at cost (fully paid up)
Terminal growth rate (%) (4.2) to 2.0 (2.2) to 2.0
459,759,520(31 March 2020, 449,026,068) equity shares of USD 1 each in HCL
Pre tax discount rate (%) 11.2 to 14.9 10.9 to 15.3 4,294 3,407
Bermuda Limited, Bermuda*
As at 31 March 2021 and 31 March 2020 the estimated recoverable amount of CGU exceeded its carrying amount and accordingly, 1,280 (31 March 2020, 1,280) equity shares of ` 10,000 each, in HCL Comnet
no impairment was recognized. An analysis of the sensitivity of the computation to a change in key assumptions based on reasonable 11 11
Systems & Services Limited
probability did not identify any probable scenario in which the recoverable amount of the CGU would decrease below its carrying
amount. HCL Technologies (Shanghai) Limited (issued & registered capital) 10 10
1,033,384 (31 March 2020, 1,033,384) equity shares of SGD 1 each, in HCL
3.3 Other intangible assets 5 5
Singapore Pte. Limited
The changes in the carrying value for the year ended 31 March 2021 30,000,000 (31 March 2020, 30,000,000) equity shares of GBP 1 each fully paid
225 225
up, in HCL EAS Limited
Intellectual Non
Licensed Customer Customer Nil (31 March 2020, 1) equity shares of Euro 100 each, in HCL GmbH ** - -
Software Technology property compete Total
IPRs relationships contracts
rights agreements 50,000 (31 March 2020, 50,000) equity shares of ` 10 each in HCL Software
- -
Gross block as at 1 April 2020 737 4,871 6,303 20 2,428 7 - 14,366 Limited (Formerly known as HCL Foundation)**
Additions 30 - - - - - - 30 1,751,301 (31 March 2020, 1,751,301) equity shares of ` 10 each in HCL Training
2 2
& Staffing Services Private Limited
Acquisitions through business
- - 89 15 92 - 7 203 100,000 (31 March 2020, 100,000) equity shares of SGD 1 each, in HCL Asia
combinations 17 17
Pacific Pte. Ltd. (Formerly known as Geometric Asia Pacific Pte. Ltd., Singapore)
Disposals 343 - - - - - - 343
Euro 14.05 million (31 March 2020, 14.05 million) invested in equity share capital
Gross block as at 31 March 2021 424 4,871 6,392 35 2,520 7 7 14,256 67 67
of Geometric Europe GmbH, Germany
Accumulated amortization as at
651 1,281 547 20 223 4 - 2,726 1,432 (31 March 2020, 1,432) non assessable shares of USD 1 each, in
1 April 2020 224 224
Geometric Americas, Inc., U.S.A
Charge for the year (including impairment) 60 570 1,082 3 302 1 1 2,019
7,589,107 (31 March 2020, 7,589,107) equity shares of ` 2 each in Sankalp
Deduction 343 - - - - - - 343 185 185
Semiconductor Private Limited
Accumulated amortization and 3,602,000 (31 March 2020, 3,602,000) ordinary shares of Sri Lankan Rupees 10
368 1,851 1,629 23 525 5 1 4,402 1 1
impairment as at 31 March 2021 each in H C L Technologies Lanka (Private) Limited
Net block as at 31 March 2021 56 3,020 4,763 12 1,995 2 6 9,854 5,041 4,154
Estimated remaining useful life (in years) 3 12 8 3 8 1 4
Also refer footnote of note 3.2
234 Standalone Financial Statements 235
Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

As at As at
31 March 2021 31 March 2020 31 March 2021 31 March 2020
Current Current
Quoted investments Carried at amortized cost
Carried at fair value through other comprehensive income Unbilled receivable 954 1,150
Investment in debt securities 5,749 3,691 Unbilled receivables-related parties (refer note 3.31) 3,548 1,228
Interest receivable 222 251
Unquoted Investments
Interest receivable - related parties (refer note 3.31) - 6
Carried at fair value through profit and loss
Security deposits 34 34
Investment in mutual funds 856 3,194
Security deposits - related parties (refer note 3.31) 4 1
6,605 6,885
Finance lease receivables [refer note 3.28(b)] 117 93
Other receivables 226 1,090
Total investments - financial assets 11,646 11,039
5,105 3,853
Carried at fair value through other comprehensive income
Aggregate amount of quoted investments 5,749 3,691 Unrealized gain on derivative financial instruments [refer note 3.29(a)] 177 2
Aggregate amount of unquoted investments 5,897 7,348
Market value of quoted investments 5,749 3,691 Carried at fair value through profit and loss
Unrealized gain on derivative financial instruments [refer note 3.29(a)] 12 52
Equity instruments carried at cost 5,041 4,154 5,294 3,907
Investment carried at fair value through other comprehensive income 5,749 3,691
Investment carried at fair value through profit and loss 856 3,194 3.7 Other non- current assets
Note:- As at
* The Company has applied for 10,733,452 equity shares of USD 1 each which are yet to be alloted. 31 March 2021 31 March 2020
** Represent value less than ` 0.50 crore. Unsecured, considered good
Capital advances 83 103
3.5 Loans
Advances other than capital advances
As at
Security deposits 33 34
31 March 2021 31 March 2020
Others
Current
Prepaid expenses 43 62
Carried at amortized cost
Deferred contract cost (refer note 3.19) 270 343
Unsecured , considered good
429 542
Inter corporate deposits 4,841 3,419
Loans to related parties (refer note 3.31) - 26
4,841 3,445 3.8 Inventories
As at
31 March 2021 31 March 2020
3.6 Other financial assets
Stock-in-trade 18 15
As at
18 15
31 March 2021 31 March 2020
Non - current
3.9 Trade receivables
Carried at amortized cost
As at
Finance lease receivables [refer note 3.28(b)] 113 115
31 March 2021 31 March 2020
Security deposits 57 59
Unsecured, considered good (refer note below) 5,402 7,740
Security deposits - related parties (refer note 3.31) 17 19
Trade receivables - credit impaired 32 30
Unbilled receivable 47 99
5,434 7,770
Other receivables - 22
Impairment allowance for bad and doubtful debts (217) (245)
234 314
5,217 7,525
Carried at fair value through other comprehensive income
Note : Includes receivables from related parties amounting to ` 1,700 crores (31 March 2020, ` 4,112 crores).
Unrealized gain on derivative financial instruments [refer note 3.29(a)] 125 -
359 314

236 Standalone Financial Statements 237

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of A, except share data and as stated otherwise)

3.10 Cash and bank balances Terms / rights attached to equity shares
As at The Company has only one class of shares referred to as equity shares having a par value of ` 2/-. Each holder of equity shares is
entitled to one vote per share.
31 March 2021 31 March 2020
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the remaining assets of the
(a) Cash and cash equivalents Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by
Balance with banks the shareholders.
- in current accounts 162 391
- deposits with original maturity of less than 3 months 2,708 749 Reconciliation of the number of shares outstanding at the beginning and at the end of the financial year
Remittances in transit - 149 As at
Unclaimed dividend account 6 5
31 March 2021 31 March 2020
2,876 1,294
(b) Other bank balances No. of shares ` in Crores No. of shares ` in Crores
Deposits with remaining maturity up to 12 months 2,180 - Number of shares at the beginning 2,713,665,096 543 1,356,278,868 271.3
5,056 1,294 Add: Shares issued on exercise of employee stock options - - 553,680 0.1
Add: Bonus share issued - - 1,356,832,548 271.4
3.11 Other current assets Number of shares at the end 2,713,665,096 543 2,713,665,096 543
As at The Company does not have any holding/ ultimate holding company.
31 March 2021 31 March 2020
Unsecured, considered good Details of shareholders holding more than 5 % shares in the company
Advances other than capital advances As at
Security deposits 29 32 31 March 2021 31 March 2020
Name of the shareholder
Advances to supplier-related parties (refer note 3.31) 23 71 No. of shares % holding in No. of shares % holding in
Advances to employees 21 18 the class the class
Advances to suppliers 17 43 Equity shares of ` 2 each fully paid
Others Vama Sundari Investments (Delhi) Private Limited 1,177,357,190 43.39% 1,172,772,190 43.22%
Deferred contract cost (refer note 3.19) 173 148 HCL Holdings Private Limited 446,662,032 16.46% 446,662,032 16.46%
Deferred contract cost-related parties (refer note 3.31) 1 41
As per the records of the Company, including its register of shareholders/members and other declarations received from shareholders
Prepaid expenses 271 243 regarding beneficial interest, the above shareholding represents both legal and beneficial ownership of shares.
Prepaid expenses - related parties (refer note 3.31) 2 15
Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the
Contract assets 25 29 period of five years immediately preceding the reporting date
Goods and service tax receivable 78 63
As at
Other advances 42 68
682 771 31 March 2021 31 March 2020
Unsecured, considered doubtful Aggregate number and class of shares allotted as
15,563,430 15,563,430
Advances other than capital advances fully paid up pursuant to contract(s) without payment
Equity shares Equity shares
being received in cash.
Advances to employees 25 45
Aggregate number and class of shares allotted as 1,356,832,548 1,356,832,548
Other advances 25 10 fully paid up by way of bonus shares. Equity Shares Equity Shares
Less: Provision for doubtful advances (50) (55) 71,363,636 71,363,636
- - Aggregate number and class of shares bought back
Equity Shares Equity Shares
682 771 During the previous year ended 31 March 2020, pursuant to the approval of the shareholders through postal ballot (including remote
e-voting), the Company has allotted 1,356,832,548 bonus shares of ` 2/- each fully paid-up on 10 December 2019 in the proportion
of 1 equity share for every 1 equity share of ` 2/- each held by the equity shareholders of the Company as on the record date of
3.12 Share capital 7 December 2019. Consequently the Company capitalized a sum of ` 271 crores from “retained earnings”.
As at
During the current year, pursuant to the Scheme of amalgamation effective 13 July 2020 between the Company and its four wholly
31 March 2021 31 March 2020 owned subsidiaries, the authorised shares of the erstwhile transferor companies have been clubbed with the authorised shares of
Authorized the Company. Consequently, as of 31 March 2021, the authorised share capital of the Company has increased to 3,017,000,000
3,017,000,000 (31 March 2020, 3,000,000,000) equity shares of ` 2 each 603 600 equity shares of face value of ` 2 each.
Issued, subscribed and fully paid up Capital management
2,713,665,096 (31 March 2020, 2,713,665,096) equity shares of ` 2 each 543 543 The primary objective of the Company’s capital management is to support business continuity and growth of the company while
maximizing the shareholder value. The company has been declaring quarterly dividend for last 18 years. The Company determines
the capital requirement based on annual operating plans, long-term and other strategic investment plans. The funding requirements
are generally met through operating cash flows generated.

238 Standalone Financial Statements 239

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.13 Borrowings
As at
Non-current Current 31 March 2021 31 March 2020
As at As at Others
31 March 2021 31 March 2020 31 March 2021 31 March 2020 Liabilities for expenses 711 648
Long term borrowings
Liabilities for expenses-related parties (refer note 3.31) 1,150 565
Secured
Capital accounts payables [includes supplier credit ` 19 crores
Term loan from banks (refer note 1 below) 133 307
31 32 18 18 (31 March 2020, ` 116 crores)]
Unsecured Capital accounts payables-related parties [includes supplier credit ` Nil
- 1
Term loans from banks (refer note 2 below) 176 128 - - (31 March 2020, ` 1 crores)] (refer note 3.31)
Other loans (refer note 3 below) - - - 3 Supplier credit 16 69
Current maturities of long term borrowings disclosed Supplier credit -related parties (refer note 3.31) 4 167
- - (18) (21)
under Note 3.14 “Other financial liabilities” Other payables 1 7
207 160 - - 3,459 8,758
Note:- Carried at fair value through other comprehensive income
1. The Company has availed term loans of ` 49 crores (31 March 2020, ` 50 crores) secured against gross block of vehicles of ` 129 crores Unrealized loss on derivative financial instruments [refer note 3.29(a)] - 123
(31 March 2020, ` 129 crores) at interest rates ranging from 8.05% p.a. to 9.75% p.a. The loans are repayable over a period of 3 to 5
years on a monthly basis.
Carried at fair value through profit and loss
2. An unsecured long term loan of ` 176 crores (31 March 2020, 128 crores) borrowed from banks at interest rate ranging from
6.95% to 7.00% p.a.The scheduled principal repayments of loans are as follows: Unrealized loss on derivative financial instruments [refer note 3.29(a)] - 5
3,459 8,886
As at
31 March 2021 31 March 2020
3.15 Provisions
Within one year - - As at
One to two years 45 - 31 March 2021 31 March 2020
Two to three years 121 45
Non - Current
Three to five years 10 83
Provision for employee benefits
176 128
Provision for gratuity (refer note 3.30) 606 506
3. The other loan of ` Nil (31 March 2020, ` 3 crores) represents long term loan taken for purchase of plant and equipment at
interest rates of 0% p.a. was repaid during the year 31 March 2021. Provision for leave benefits 257 232

3.14 Other financial liabilities Provision for provident fund liabilities (refer note 3.30) 3 41
As at 866 779
31 March 2021 31 March 2020 Current
Non - current Provision for employee benefits
Carried at amortized cost
Provision for gratuity (refer note 3.30) 103 81
Employee bonuses accrued 3 10
Provision for leave benefits 124 90
Deferred consideration - 366
Carried at fair value through other comprehensive income 227 171
Unrealized loss on derivative financial instruments [refer note 3.29(a)] - 177
3.16 Other non-current liabilities
3 553
Current As at
Carried at amortized cost 31 March 2021 31 March 2020
Current maturities of long term borrowings 18 21
Contract liabilities (refer note 3.19) 110 72
Interest accrued but not due on borrowings 1 1
Contract liabilities - related parties (refer note 3.19 and 3.31) - 15
Unclaimed dividends 6 5
Others 29 28
Deferred consideration 363 6,194
Accrued salaries and benefits 139 115
Employee bonuses accrued 694 501
Other employee costs 362 272

240 Standalone Financial Statements 241

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.17 Trade payables (a) Contracts for which we recognize revenues based on the right to invoice for services performed,
(b) Variable consideration allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to
As at transfer a distinct good or service that forms part of a single performance obligation,or
31 March 2021 31 March 2020 (c) Variable consideration in the form of a sales-based or usage-based royalty promised in exchange for a license of intellectual
property.
Trade payables 230 141

Trade payables-related parties (refer note 3.31) 2,477 2,131 Contract balances
2,707 2,272 Contract assets : A contract asset is a right to consideration that is conditional upon factors other than the passage of time.
Contract assets are recognized where there is excess of revenue over the billings. Revenue recognized but not billed to customers
is classified either as contract assets or unbilled receivable in our balance sheet. Contract assets primarily relate to unbilled amounts
3.18 Other current liabilities on fixed price contracts using the cost to cost method of revenue recognition. Unbilled receivables represent contracts where right to
consideration is unconditional (i.e. only the passage of time is required before the payment is due).
As at
Out of ` 25 crores of contract assets as on 31 March 2021, 100 % pertain to current year.
31 March 2021 31 March 2020
Contract liablities : A contract liability arises when there is excess billing over the revenue recognized.
Contract liabilities (refer note 3.19) 1,026 1,058
The below table discloses the movement in the balance of contract liabilities :
Contract liabilities-related parties (refer note 3.19 and 3.31) 1,406 537
Year ended
Other Advances 31 March 2021 31 March 2020
Advances received from customers 57 58 Balance as at beginning of the year 1,682 745
Others Additional amounts billed but not recognized as revenue 1,893 1,404
Withholding and other taxes payable 204 161 Deduction on account of revenues recognized during the year (1,098) (2,361)
Addition on account of acquisitions 66 1,891
2,693 1,814
Effect of exchange fluctuations (1) 3

3.19 Revenue from operations Balance as at end of the year 2,542 1,682

Year ended
Deferred contract cost : Deferred contract cost represents the contract fulfilment cost and cost for obtaining the contract.
31 March 2021 31 March 2020
The below table discloses the significant movement in deferred contract cost :
Sale of services 35,465 32,443
Year ended
Sale of hardware and software 208 223
35,673 32,666 31 March 2021 31 March 2020
Balance as at beginning of the year 532 427
Disaggregate Revenue Information
Additional cost capitalised during the year 110 180
The disaggregated revenue from contracts with the customers is as follow:
Deduction on account of cost amortised during the year (198) (77)
Year ended
Effect of exchange fluctuations - 2
31 March 2021 31 March 2020
Contract type Balance as at end of the year 444 532
Fixed price 25,365 23,418
Time and material 10,308 9,248 Reconciliation of revenue recognised with the contracted price is as follows:
Total 35,673 32,666
Year ended
Geography wise
31 March 2021 31 March 2020
America 13,918 14,429
Europe 15,204 12,162 Contract price 35,787 32,730
India* 2,223 2,383 Reduction towards variable consideration components 114 64
Rest of world 4,328 3,692 Revenue recognised 35,673 32,666
35,673 32,666
The reduction towards variable consideration comprises of volume discounts, service level credits, etc.
* includes revenue billed to India based captive of global customers
Remaining performance obligations
As at 31 March 2021, the aggregate amount of transaction price allocated to remaining performance obligations as per the requirements
of Ind AS 115 was ` 32,656 crores (31 March 2020, ` 25,942 crores) out of which, approximately 40% (31 March 2020, 36%) is
expected to be recognized as revenues within one year and the balance beyond one year. This is after exclusions as below:

242 Standalone Financial Statements 243

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.20 Other income 3.23 Finance cost

Year ended Year ended

31 March 2021 31 March 2020 31 March 2021 31 March 2020

Interest
Interest income
-on loans from banks 4 12
- On investments carried at fair value through other comprehensive income 190 156
-on the lease liability 59 64
- On others financial instruments carried at amortized cost 360 257 -on direct taxes 50 14
- On income tax refund 1 10 -others 62 147
- On others - 3 Bank charges 2 3
177 240
Profit on sale of investments carried at fair value through other comprehensive income 3 16
Profit on sale of investment in subsidiary carried at cost 1 -
3.24 Other expenses
Income on investments carried at fair value through profit and loss
Year ended
- Unrealized gains (loss) on fair value changes on mutual funds (18) 15 31 March 2021 31 March 2020
- Profit on sale of mutual funds 106 104 Rent (refer note 3.28) 14 17
Dividends from subsidiary companies 63 47 Power and fuel 170 197
Profit on sale of property, plant and equipment (refer note below) 109 1 Insurance 65 39
Repairs and maintenance
Provision for doubtful debts/bad debts written back 12 -
- Plant and machinery 40 51
Exchange differences (net) 131 -
- Buildings 51 95
Miscellaneous income 7 4 - Others 235 269
965 613 Communication costs 106 98
Note: Net of loss on sale of property, plant & equipment ` 5 crores (previous year, ` 3 crores). Travel and conveyance 152 744
Legal and professional charges 183 117

3.21 Changes in inventories of stock-in-trade Software license fee 360 354

Rates and taxes 18 15
Year ended
Expenditure toward corporate social responsibility activites (refer note 3.36) 194 175
31 March 2021 31 March 2020
Provision for doubtful debts/bad debts written off - 91
Opening stock 15 18 Exchange differences (net) - 108
Less : Closing stock 18 15 Miscellaneous expenses 247 208
(3) 3
1,835 2,578

3.22 Employee benefits expense 3.25 Income taxes

Year ended Year ended

31 March 2021 31 March 2020 31 March 2021 31 March 2020

Salaries, wages and bonus 11,197 9,513 Income tax charged to statement of profit and loss
Contribution to provident fund and other employee funds 446 386 Current income tax charge 2,480 1,968
Staff welfare expenses 106 56 Deferred tax charge 1,187 241
11,749 9,955 3,667 2,209
Note: Employee benefit expenses for the year ended include ` 243 crores, being the one-time special bonus paid to employees in recognition Income tax charged to other comprehensive income
of achieving the $10 Billion revenue mark in year ended 31 March 2021.
Expense (benefit) on re-measurements of defined benefit plans 11 (18)
Expense (benefit) on revaluation of cash flow hedges 151 (89)
Expense (benefit) on unrealized gain on debt instruments 13 (2)
175 (109)

244 Standalone Financial Statements 245

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Components of deferred tax assets and liabilities as on 31 March 2021

The reconciliation between the Company’s provision for income tax and amount computed by applying the statutory income tax rate
in India is as follows: Recognized Recognised
Opening Exchange Closing
in profit and in / reclassified Acquisitions
Year ended balance difference balance
loss from OCI
31 March 2021 31 March 2020 Deferred tax assets
Profit before income tax 12,410 11,178 MAT credit entitlement 2,293 (89) - - - 2,204
Statutory tax rate in India 34.94% 34.94% Provision for doubtful debts 89 4 - - - 93
Expected tax expense 4,336 3,906 Accrued employee costs 244 140 (11) - - 373
Non-taxable export income (1,633) (1,857) Unrealized loss on derivative financial
53 - (53) - - -
Non-taxable other income (42) (45) instruments

Reversal of certain tax positions on judicial pronouncement (223) - Property, plant and equipment 30 (30) - - - -

Reversal of prior year provision (43) (98) Others 68 142 - - - 210

Deferred tax liability on Goodwill which ceased to be tax amortizable pursuant to Gross deferred tax assets (A) 2,777 167 (64) - - 2,880
1,222 -
amendments in the Finance Act, 2021* Deferred tax liabilities
Amortization of goodwill and intangible on acquisition of certain software products Property, plant and equipment 54 26 - - - 80
- 261
from IBM relating to tax exempt units
Goodwill and intangibles 686 1,335 - - - 2,021
Reversal of deferred tax liabilities due to change in tax rate in India - (32)
Unrealized loss on derivative financial
Others (net) 50 74 - - 98 - - 98
instruments
Total taxes 3,667 2,209 Others 7 (7) 13 - - 12
Effective income tax rate 29.5% 19.8% Gross deferred tax liabilities (B) 747 1,354 111 - - 2,212
Net deferred tax assets (A-B) 2,030 (1,187) (175) - - 668
* Pursuant to a recent tax law amendment in India (enacted on 28 March 2021), the tax amortizable goodwill has become non-tax
amortizable from financial year ending 31 March 2021. The amended law states that goodwill of a business or profession will not be
considered as a depreciable asset and no depreciation on goodwill will be allowed from 1 April 2020. Components of deferred tax assets and liabilities as on 31 March 2020

The company has benefited from certain tax incentives that the Government of India has provided for the units situated in Special Recognized Recognised
Opening Exchange Closing
Economic Zones (SEZs) under the Special Economic Zone Act, 2005, which began providing services on or after April 1, 2005. The in profit and in / reclassified Acquisitions
balance difference balance
eligible units are eligible for a deduction of 100% of profits or gains derived from the export of services for the first five years from loss from OCI
commencement of provision of services and 50% of such profits and gains for a further five years. Certain tax benefits are also Deferred tax assets
available for a further five years subject to the unit meeting defined conditions. The aforesaid tax benefits will not be available to Units
MAT credit entitlement 1,962 331 - - - 2,293
commencing operations after 31 March 2021.
Provision for doubtful debts 66 23 - - - 89
The Company is subject to Minimum Alternate Tax (MAT) on its book profits, which gives rise to future economic benefits in the form
Accrued employee costs 175 62 7 - - 244
of adjustment of future income tax liability. MAT paid for a year can be set-off against the normal tax liability within fifteen subsequent
years, expiring between the years 2023 to 2035. Unrealized loss on derivative financial
- - 53 - - 53
instruments
Corporate taxpayers can opt for a specified lower tax rate in lieu of current applicable tax rate subject to taxpayers not claiming any Property, plant and equipment 17 (11) - 24 - 30
specified tax incentives including tax incentives available to special economic zone units and carryover of unutilized MAT credit (‘new
tax regime’). The Company intends to opt for new tax regime from the year in which tax payable under the new tax regime is lower Others 29 39 - - - 68
than the existing tax regime (net of any outstanding MAT credit entitlement). Gross deferred tax assets (A) 2,249 444 60 24 - 2,777
The tax returns are subject to examination by the tax authorities in the jurisdiction where the Company conducts business. The Deferred tax liabilities
tax examination is open for annual year beginning 1 April 2016 onwards. The examination may result in assessment of additional Property, plant and equipment 55 (1) - - - 54
taxes that are resolved with the authorities or through legal proceedings. The Company has significant intercompany transactions
with its subsidiaries. It has filed application for bilateral advance pricing agreements in certain jurisdictions to gain certainty for its Goodwill and intangibles - 686 - - - 686
transfer pricing arrangement with its subsidiaries. Resolution of these matters involves some degree of uncertainty; accordingly, the Unrealized gain on derivative financial
Company recognizes income tax liability that it believes will ultimately result from the proceedings. 36 - (36) - - -
instruments
Others 20 - (13) - - 7
Gross deferred tax liabilities (B) 111 685 (49) - - 747
Net deferred tax assets (A-B) 2,138 (241) 109 24 - 2,030

246 Standalone Financial Statements 247

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.26 Components of other comprehensive income 3.28 Leases

Year ended (a) Company as a lessee

31 March 2021 31 March 2020 The Company’s significant leasing arrangements are in respect of leases for office spaces, accommodation for its employees
and leasehold land.
A Items that will not be reclassified to statement of profit and loss
The details of the right-of-use asset held by the Company is as follows:
Retained earnings (Actuarial gain or loss relating to defined benefit plans)
Leasehold land Buildings Total
Opening balance (net of tax) (20) 43
Balance as at 1 April 2019 - - -
Actuarial gains or loss 43 (81)
Transition impact of Ind AS 116 285 660 945
Income tax expense (11) 18 Depreciation charge for the year (4) (173) (177)
Closing balance (net of tax) 12 (20) Additions - 270 270
B Items that will be reclassified subsequently to statement of profit and loss Derecognition - (3) (3)
Foreign currency translation reserve Translation exchange differences - 1 1
Balance as at 31 March 2020 281 755 1,036
Opening balance (1) (19)
Balance as at 1 April 2020 281 755 1,036
Foreign currency translation 16 18
Depreciation charge for the year (4) (176) (180)
Closing balance 15 (1)
Additions - 52 52
Cash flow hedging reserve Derecognition - (16) (16)
Opening balance (net of tax) (267) 171 Translation exchange differences - 2 2
Unrealized gains (losses) 590 (396) Balance as at 31 March 2021 277 617 894

Reclassification adjustments into revenue 11 (131)

The reconciliation of lease liabilities is as follows:
Income tax benefit (expense) (151) 89
Year ended
Closing balance (net of tax) 183 (267)
31 March 2021 31 March 2020
Unrealized gain debt instruments Opening balance 837 -
Opening balance (net of tax) (1) 2 Transition impact of Ind AS 116 - 708
Unrealized gains (losses) 36 (5) Additions 56 266
Amounts recognized in statement of profit and loss as interest expense 59 64
Income tax benefit (expense) (13) 2
Payment of lease liabilities (217) (199)
Closing Balance (net of tax) 22 (1)
Derecognition (18) (3)
TOTAL (B) 220 (269) Translation exchange differences 1 1
Closing balance 718 837
3.27 Earnings per share
The lease rental expense relating to short-term leases recognized in the statement of profit and loss for the year amounted to
The computation of earnings per share is as follows: ` 14 crores (Previous year, ` 17 crores) .
Year ended The following table presents a maturity analysis of expected undiscounted cash flows for lease liabilities :
31 March 2021 31 March 2020 As at
31 March 2021 31 March 2021
Net profit as per statement of profit and loss for computation of EPS 8,743 8,969
Within one year 194 215
Weighted average number of equity shares outstanding in calculating Basic EPS 2,713,665,096 2,713,085,729 One to two years 180 188
Dilutive effect of stock options outstanding - 579,367 Two to three years 148 164
Three to five years 198 242
Weighted average number of equity shares outstanding in calculating diluted EPS 2,713,665,096 2,713,665,096
Thereafter 152 238
Nominal value of equity shares (in `) 2 2
Total lease payments 872 1,047
Earnings per equity share (in `) Imputed interest (154) (210)
- Basic 32.22 33.06 Total lease liabilities 718 837
Certain lease agreements include options to terminate or extend the leases. The lease agreements do not contain any material
- Diluted 32.22 33.05
residual value guarantees or material restrictive covenants.

248 Standalone Financial Statements 249

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(b) Company as a lessor Notional principal amounts Balance sheet exposure

The Company has given IT equipments to its customers on a finance lease basis. The future lease receivables in respect of Foreign exchange forward Notional (amount in thousands) Asset (Liability) (`)
assets given on finance lease are as follows: denominated in currency
31 March 2021 31 March 2020 31 March 2021 31 March 2020
Interest included Present value EUR / USD EUR 8,000 2,500 - -
Total minimum
in minimum of minimum ZAR / USD ZAR 118,217 118,000 (1) 6
lease payments
lease payments lease payments
receivable MXN / USD MXN - 48,861 - 4
receivable receivable
As at 31 March 2021 Buy covers
Not later than one year 123 6 117 GBP / USD GBP - 34,000 - -
Later than one year and not later than 5 years 117 4 113 AUD / USD AUD 3,400 - - -
240 10 230 EUR / USD EUR 8,000 16,500 - (1)
As at 31 March 2020 CAD / USD CAD 2,000 - - -
Not later than one year 94 1 93 JPY / USD JPY - 490,000 - -
Later than one year and not later than 5 years 121 6 115 NOK / USD NOK 12,000 25,000 - -

215 7 208 CHF / USD CHF 4,665 - - -

ILS / USD ILS 4,174 - - -
3.29 Financial instruments 224 (200)
(a) Derivatives The following table presents the aggregate notional principal amounts of the outstanding derivatives instruments together with
the related balance sheet exposure:
The Company is exposed to foreign currency fluctuations on assets / liabilities and forecast cash flows denominated in foreign
currency. The use of derivatives to hedge the risk is governed by the Company’s strategy, which provides principles on the
Notional principal amounts Balance sheet exposure
use of such forward contracts and currency options consistent with the Company’s Risk Management Policy. The counterparty Notional (amount in thousands) Asset (Liability) (`)
in these derivative instruments is a bank and the Company considers the risks of non-performance by the counterparty as currency
insignificant. The Company has entered into a series of foreign exchange forward contracts and options that are designated as 31 March 2021 31 March 2020 31 March 2021 31 March 2020
cash flow hedges and the related forecasted transactions extend through July 2025. The Company does not use these derivative
instruments for speculative purposes. Range forward (Sell covers)
USD / INR USD 606,870 637,982 85 (96)
The following table presents the aggregate notional principal amounts of the outstanding derivative instruments together with the
related balance sheet exposure: GBP / INR GBP 12,000 15,750 - 4
EUR / INR EUR 13,500 36,530 3 3
Notional principal amounts Balance sheet exposure AUD / INR AUD - 8,500 - 3
Foreign exchange forward Notional (amount in thousands) Asset (Liability) (`)
denominated in currency EUR / USD EUR - 2,300 - -
31 March 2021 31 March 2020 31 March 2021 31 March 2020
SEK / INR SEK - 15,000 - 2
Sell covers
Seagull (Buy covers)
USD / INR USD 1,012,387 787,370 165 (272)
USD / INR USD - 143,500 - 32
GBP / INR GBP 56,300 40,540 (5) 2
Seagull (Sell covers)
EUR / INR EUR 117,000 79,000 44 27
GBP / USD GBP - 6,750 - 1
CHF / INR CHF 24,500 35,500 12 (6)
EUR / INR EUR 8,000 8,300 2 -
SEK / INR SEK 560,000 110,000 9 4
90 (51)
AUD / INR AUD 113,288 16,000 (9) 9
NOK / INR NOK 115,000 60,000 (4) 8 The notional amount is a key element of derivative financial instrument agreements. However, notional amounts do not represent
the amount exchanged by counterparties and do not measure the Company’s exposure to credit risk as these contracts are
CAD / INR CAD 23,500 23,000 (2) 5 settled at their fair values at the maturity date.
JPY / INR JPY 2,075,000 1,910,000 13 (1)
The balance sheet exposure denotes the fair values of these contracts at the reporting date and is presented in ` crores. The
NZD / INR NZD 2,165 - 1 - Company presents its foreign exchange derivative instruments on a net basis in the financial statements due to the right of
SGD / INR SGD 7,691 - 1 - offset by its individual counterparties under master netting agreements.
GBP / USD GBP - 22,400 - 8
NZD / USD NZD - 301 - -
SGD / USD SGD 2,300 - - -
JPY / USD JPY - 870,000 - -
RUB / USD RUB 149,500 290,000 - 6
CHF / USD CHF - 17,391 - 1

250 Standalone Financial Statements 251

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The fair value of the derivative instruments presented on a gross basis as at each date indicated below is as follows: The following tables set forth the fair value of derivative instruments included in the balance sheets as at each date indicated:

As at 31 March 2021 As at

Financial assets Financial liabilities 31 March 2021 31 March 2020

Total fair value Derivatives designated as hedging instruments
Current Non current Current Non current
Derivatives designated as hedging Unrealized gain on financial instruments classified under current assets 177 2
instruments Unrealized gain on financial instruments classified under non-current assets 125 -
Foreign exchange contracts in an Unrealized loss on financial instruments classified under current liabilities - (123)
196 139 19 14 368
asset position
Unrealized loss on financial instruments classified under non-current liabilities - (177)
Foreign exchange contracts in an
(19) (14) (19) (14) (66) 302 (298)
liability position
Net asset (liability) 177 125 - - 302 Derivatives not designated as hedging instruments
Derivatives not designated as Unrealized gain on financial instruments classified under current assets 12 52
hedging instruments
Unrealized loss on financial instruments classified under current liabilities - (5)
Foreign exchange contracts in an
14 - 2 - 16 12 47
asset position
Foreign exchange contracts in an
(2) - (2) - (4) Maturity profile of derivative liabilities based on contractual payments is as below:
liability position
Net asset (liability) 12 - - - 12 As at
Total derivatives at fair value 189 125 - - 314 31 March 2021 31 March 2020
Within one year - 128
As at 31 March 2020 One to two years - 97
Financial assets Financial liabilities Two to three years - 69
Total fair value Three to five years - 11
Current Non current Current Non current
Derivatives designated as hedging - 305
instruments
Foreign exchange contracts in an The following table summarizes the activities in the statement of profit and loss:
57 22 54 22 155
asset position
Foreign exchange contracts in an Year ended
(55) (22) (177) (199) (453) 31 March 2021 31 March 2020
liability position
Net asset (liability) 2 - (123) (177) (298) Derivatives in hedging relationships
Derivatives not designated as Effective portion of gain or (loss) recognized in OCI on derivatives 590 396
hedging instruments Effective portion of gain or (loss) reclassified from OCI into statement of profit and
(11) 131
Foreign exchange contracts in an loss as “revenue”
61 - 9 - 70
asset position Derivatives not in hedging relationships
Foreign exchange contracts in an
(9) - (14) - (23) Gain or (loss) recognized into statement of profit and loss as “exchange differences” 240 -
liability position
Net asset (liability) 52 - (5) - 47
The following table summarizes the activity in the accumulated ‘Other comprehensive income’ within equity related to all derivatives
Total derivatives at fair value 54 - (128) (177) (251) classified as cash flow hedges:
Year ended
31 March 2021 31 March 2020
(Loss) gain as at the beginning of the year (320) 207
Unrealized gain (loss) on cash flow hedging derivatives during the year 590 (396)
Net loss (gain) reclassified into revenue on occurrence of hedged transactions 11 (131)
Gain (loss) as at the end of the year 281 (320)
Deferred tax asset (liability) (98) 53
Cash flow hedging reserve (net of tax) 183 (267)
The estimated net amount of existing gain that is expected to be reclassified into the statement of profit and loss within the next
twelve months is of ` 158 crores (31 March 2020, loss of ` 140 crores).

252 Standalone Financial Statements 253

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)
(b) Financial assets and liabilities The following table discloses the assets and liabilities measured at fair value on a recurring basis as at 31 March 2020 and the
basis for that measurement:
The carrying value of financial instruments by categories as at 31 March 2021 is as follows:
Fair value Fair value Level 1 inputs Level 2 inputs Level 3 inputs
Fair value Total
through other Amortized Assets
through carrying
comprehensive cost
profit and loss value Investments carried at fair value through profit and loss 3,194 3,194 - -
income
Financial assets Investments carried at fair value through other
3,691 - 3,691 -
comprehensive income
Investments (other than in subsidiaries) 856 5,749 - 6,605
Trade receivables - - 5,217 5,217 Unrealized gain on derivative financial instruments 54 - 54 -
Cash and cash equivalents - - 2,876 2,876 Liabilities
Other bank balances - - 2,180 2,180 Unrealized loss on derivative financial instruments 305 - 305 -
Loans - - 4,841 4,841
Others (refer note 3.6) 12 302 5,339 5,653 Valuation methodologies
Total 868 6,051 20,453 27,372
Investments: The Company’s investments consist of investment in debt linked mutual funds which are determined using quoted
Financial liabilities
prices or identical quoted prices of assets or liabilities in active markets and are classified as Level 1. Fair value of corporate debt
Borrowings - - 207 207 securities is determined using observable markets’ inputs and is classified as Level 2.
Trade payables - - 2,707 2,707
Lease liabilities - - 718 718 Derivative financial instruments: The Company’s derivative financial instruments consist of foreign currency forward exchange
Others (refer note 3.14) - - 3,462 3,462 contracts and options. Fair values for derivative financial instruments are based on broker quotations and are classified as Level 2.
Total - - 7,094 7,094
The Company assessed that fair value of cash and short-term deposits, trade receivables, trade payables, bank overdrafts and
other current liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.
The carrying value of financial instruments by categories as at 31 March 2020 is as follows:
Fair value (c) Financial risk management
Fair value Total
through other Amortized
through carrying
comprehensive cost The Company is exposed to market risk, credit risk and liquidity risk which may impact the fair value of its financial instruments.
profit and loss value
income The Company has a risk management policy to manage & mitigate these risks.
Financial assets
Investments (other than in subsidiaries) 3,194 3,691 - 6,885 The Company’s risk management policy aims to reduce volatility in financial statements while maintaining balance between
providing predictability in the Company’s business plan along with reasonable participation in market movement.
Trade receivables - - 7,525 7,525
Cash and cash equivalents - - 1,294 1,294 Market risk
Loans - - 3,445 3,445
Others (refer note 3.6) 52 2 4,167 4,221 Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market
Total 3,246 3,693 16,431 23,370 prices. Market risk comprises of currency risk and interest rate risk. The Company is primarily exposed to fluctuation in foreign
currency exchange rates.
Financial liabilities
Borrowings - - 160 160 (i) Foreign currency risk
Trade payables - - 2,272 2,272
Lease liabilities - - 837 837 Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes
in exchange rates. The Company’s exposure to the risk of changes in exchange rates relates primarily to the Company’s
Others (refer note 3.14) 5 300 9,134 9,439
operations and the Company’s net investments in foreign branches.
Total 5 300 12,403 12,708
Transfer of financial assets The exchange rate risk primarily arises from assets and liabilities denominated in currencies other than the functional
currency of the respective branches and foreign currency forecasted revenue and cash flows. A significant portion of the
The Company and its subsidiaries have revolving accounts receivables based facilities of ` 2,332 crores (USD 319 million)
Company revenue is in US Dollar, Pound Sterling (GBP) and Euro while a large portion of costs are in Indian rupees. The
permitting it to sell certain accounts receivables to banks on a non-recourse basis in the normal course of business. The
fluctuation in exchange rates in respect to the Indian rupee may have potential impact on the statement of profit and loss
aggregate maximum capacity utilized by the Company at any time during the year was ` 534 crores (previous year, ` 712 crores).
and other comprehensive income and equity.
Outstanding utilization by the company against this facility as of 31 March 2021 is ` Nil (31 March 2020, ` 319 crores).
Fair value hierarchy To mitigate the foreign currency risk the Company uses derivatives as governed by the Company’s strategy, which provides
The assets and liabilities measured at fair value on a recurring basis as at 31 March 2021 and the basis for that measurement principles on the use of such forward contracts and currency options consistent with the Company’s Risk Management Policy.
is as below:
Appreciation/depreciation of 1% in respective foreign currencies with respect to functional currency of the Company and its
Fair value Level 1 inputs Level 2 inputs Level 3 inputs branches would result in decrease/increase in the Company’s profit before tax by approximately ` 68 crores for the year ended
Assets 31 March 2021.
Investments carried at fair value through profit and loss 856 856 - -
Investments carried at fair value through other The rate sensitivity is calculated by aggregation of the net foreign exchange rate exposure and a simultaneous parallel foreign
5,749 - 5,749 - exchange rates shift of all the currencies by 1% against the respective functional currencies of the Company and its branches.
comprehensive income
The sensitivity analysis presented above may not be representative of the actual change.
Unrealized gain on derivative financial instruments 314 - 314 -
Liabilities
Unrealized loss on derivative financial instruments - - - -

There have been no transfers between Level 1 and Level 2 during the year.
254 Standalone Financial Statements 255
Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Non-derivative foreign currency exposure as of 31 March 2021 and 31 March 2020 in major currencies is as below: Year 1 Year 4-5
Year 2 Year 3 Total
(Current) and thereafter
Net financial assets Net financial liabilities
Derivative financial liabilities 128 97 69 11 305
31 March 2021 31 March 2020 31 March 2021 31 March 2020
USD / INR 3,549 8,039 964 9,166 Other financial liabilities 2,542 10 - - 2,552
GBP / INR 421 533 130 107 Total 11,578 700 298 584 13,160
EURO / INR 1,096 467 176 280

(ii) Interest rate risk 3.30 Employee benefits
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes The Company has calculated the various benefits provided to employees as given below:
in market interest rates. The Company’s investments are primarily in fixed rate interest bearing investments. Hence the
Company is not significantly exposed to interest rate risk. (A) Defined contribution plans and state plans
Superannuation Fund
Credit risk
Employer’s contribution to Employees State Insurance
Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash and
bank balances, inter-corporate deposits, trade receivables, unbilled receivables, contract assets, finance lease receivables, Employer’s contribution to Employee Pension Scheme
investment securities and derivative instruments. The cash resources of the Company are invested with mutual funds, banks,
financial institutions and corporations after an evaluation of the credit risk. By their nature, all such financial instruments involve During the year the Company has recognized the following amounts in the statement of profit and loss :-
risks, including the credit risk of non-performance by counterparties.
Year ended
The customers of the Company are primarily corporations based in the United States of America and Europe and accordingly, 31 March 2021 31 March 2020
trade receivables and finance lease receivables are concentrated in the respective countries. The Company periodically
assesses the financial reliability of customers, taking into account the financial condition, current economic trends, analysis of Superannuation Fund 9 7
historical bad debts and ageing of accounts receivables, unbilled receivables and finance lease receivables .
Employer’s contribution to Employees State Insurance 9 9
The allowance for lifetime expected credit loss on customer balances is as below: Employer’s contribution to Employee’s Pension Scheme 138 128
As at Total 156 144
31 March 2021 31 March 2020
Balance at the beginning of the year 245 163 The Company has contributed ` 29 crores (previous year, ` 20 crores) towards other foreign defined contribution plans.
Additional provision during the year 57 120 (B) Defined benefit plans
Deductions on account of write offs and collections (85) (40)
(a) Gratuity
Effect of exchange rates changes - 2
Balance at the end of the year 217 245 (b) Employer’s contribution to provident fund
Gratuity
Liquidity risk
The following table sets out the status of the gratuity plan :
Liquidity risk is the risk that the Company will encounter difficulty in meeting its obligations associated with financial liabilities. The Statement of profit and loss
investment philosophy of the Company is capital preservation and liquidity in preference to returns. The Company consistently
generates sufficient cash flows from operations and has access to multiple sources of funding to meet the financial obligations Year ended
and maintain adequate liquidity for use.
31 March 2021 31 March 2020
Maturity profile of the Company’s financial liabilities based on contractual payments is as below: Current Service cost 121 106
Year 1 Year 4-5 Interest cost (net) 35 30
Year 2 Year 3 Total
(Current) and thereafter Net benefit expense 156 136
As at 31 March 2021
Borrowings 33 72 136 19 260
Balance Sheet
Trade payables 2,707 - - - 2,707
Lease liabilities 194 180 148 350 872 As at
Deferred consideration 363 - - - 363 31 March 2021 31 March 2020
Derivative financial liabilities - - - - - Defined benefit obligations 728 605
Other financial liabilities 3,077 2 1 - 3,080 Fair value of plan assets 19 18
Total 6,374 254 285 369 7,282 Net plan liability 709 587
As at 31 March 2020
Current defined benefit obligations 103 81
Borrowings 32 27 65 93 217
Non-current defined benefit obligations 606 506
Trade payables 2,272 - - - 2,272
Lease liabilities 215 188 164 480 1,047
Deferred consideration 6,389 378 - - 6,767

256 Standalone Financial Statements 257

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)
Changes in present value of the defined benefit obligations are as follows:
The defined benefit obligations are expected to mature after 31 March 2021 as follows:
Year ended
Year ending 31 March Cash flows
31 March 2021 31 March 2020
- 2022 103
Opening defined benefit obligations 605 468
- 2023 107
Current service cost 121 106
- 2024 129
Interest cost 36 31
- 2025 145
Re-measurement gains (losses) in OCI
- 2026 158
Actuarial changes arising from changes in financial assumptions 8 59
- Thereafter 3,193
Experience adjustments (14) (19)
The weighted average duration of the payment of these cash flows is 6.91 years.
Benefits paid (28) (40)
Closing defined benefit obligations 728 605 Employer’s contribution to provident fund
The actuary has provided a valuation for provident fund liabilities on the basis of guidance issued by Actuarial Society of India based
Changes in fair value of the plan assets are as follows: on the assumption mentioned below and there is no shortfall as at 31 March, 2021.

Year ended The details of the fund and plan asset position are given below:-
31 March 2021 31 March 2020 31 March 2021 31 March 2020
Opening fair value of plan assets 18 16 Fair value of plan assets at the year end 4,876 4,105
Interest income 1 1 Present value of benefit obligation at year end 4,879 4,146
Contributions 28 41 Net liability recognized in balance sheet (refer note 3.15) (3) (41)
Re-measurement gains (losses) in OCI
The amount for the year ended 31 March 2021 and 2020 has been recognized in the other comprehensive income.
Return on plan assets, excluding amount recognized in interest income (1) -
Benefits paid (27) (40) Assumptions used in determining the present value obligation of the interest rate guarantee under the Deterministic Approach:

Closing fair value of plan assets 19 18 31 March 2021 31 March 2020

The overall expected rate of return on assets is determined based on the market prices prevailing on that date, applicable to the Government of India (GOI) bond yield 6.45% 6.60%
period over which the obligation is to be settled.
Remaining term of maturity 7.08 years 8.00 years
The principal assumptions used in determining gratuity for the Company’s plans are shown below: Expected guaranteed interest rate 8.50% 8.50%

As at During the year ended 31 March 2021, the Company has contributed ` 202 crores (previous year, ` 179 crores) towards employer’s
contribution to provident fund.
31 March 2021 31 March 2020
Discount rate 6.45% 6.60% 3.31 Related party transactions
Estimated Rate of salary increases 8.00% 8.00%
(a) Related parties where control exists
Employee Turnover 24.00% 24.00%
List of subsidiaries as at 31 March 2021 and 31 March 2020 is as below:
Expected rate of return on assets 6.45% 6.60%
Country of Percentage holding as at
The estimates of future salary increases, considered in the actuarial valuation, take account of inflation, seniority, promotion and S. No. Name of the Subsidiaries
other relevant factors, such as supply and demand in the employment market. Incorporation 31 March 2021 31 March 2020
Discount rate and future salary escalation rate are the key actuarial assumptions to which the defined benefit obligations are Direct subsidiaries
particularly sensitive. The following table summarizes the impact on defined benefit obligations as at 31 March 2021 arising due to 1 HCL Comnet Systems & Services Limited India 100% 100%
an increase/decrease in key actuarial assumptions by 50 basis points:
2 HCL Bermuda Limited Bermuda 100% 100%
Salary 3 HCL Technologies (Shanghai) Limited China 100% 100%
Discount rate
escalation rate 4 HCL Software Limited (Formely “HCL Foundation”)$ India 100% 100%
Impact of increase (24) 24 5 HCL Singapore Pte. Limited Singapore 100% 100%
Impact of decrease 25 (23) 6 HCL Training & Staffing Services Private Limited India 100% 100%

The sensitivity analysis presented may not be representative of the actual change in the defined benefit obligations as sensitivities 7 Geometric Americas, Inc. USA 100% 100%
have been calculated to show the movement in defined benefit obligations in isolation and assuming there are no other changes 8 HCL Asia Pacific Pte Ltd (Formely “Geometric Asia Pacific Pte. Ltd”) Singapore 100% 100%
in market conditions. There have been no changes from the previous years in the methods and assumptions used in preparing the 9 Geometric Europe GmbH Germany 100% 100%
sensitivity analysis.
10 Sankalp Semiconductor Private Limited India 100% 100%
11 H C L Technologies Lanka (Private) Limited Sri Lanka 100% 100%

258 Standalone Financial Statements 259

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Country of Percentage holding as at Country of Percentage holding as at

S. No. Name of the Subsidiaries S. No. Name of the Subsidiaries
Incorporation 31 March 2021 31 March 2020 Incorporation 31 March 2021 31 March 2020
Step down subsidiaries of direct subsidiaries 52 Statestreet HCL Holding UK Limited ** UK 100% 100%
12 HCL Great Britain Limited UK 100% 100% 53 Statestreet HCL Services (Phillipines) Inc. ** Philippines 100% 100%
13 HCL (Netherlands) BV * Netherlands - 100% 54 Statestreet HCL Services (India) Private Limited ** India 100% 100%
14 HCL Belgium NV * Belgium - 100% 55 HCL America Solutions Inc. USA 100% 100%
15 HCL Sweden AB * Sweden - 100% 56 HCL Technologies Chile Spa Chile 100% 100%
16 HCL GmbH Germany 100% 100% 57 HCL Technologies UK Limited UK 100% 100%
17 HCL Australia Services Pty. Limited Australia 100% 100% 58 HCL Technologies B.V. Netherlands 100% 100%
18 HCL (New Zealand) Limited New Zealand 100% 100% 59 HCL (Ireland) Information Systems Limited Ireland 100% 100%
19 HCL Hong Kong SAR Limited Hong Kong 100% 100% 60 HCL Technologies Germany GmbH Germany 100% 100%
20 HCL Japan Limited Japan 100% 100% 61 HCL Technologies Belgium BVBA Belgium 100% 100%
21 HCL America Inc. USA 100% 100% 62 HCL Technologies Sweden AB Sweden 100% 100%
22 HCL Technologies Austria GmbH Austria 100% 100% 63 HCL Technologies Finland Oy Finland 100% 100%
HCL Software Products Limited (formely “HCL Global 64 HCL Technologies Italy S.P.A Italy 100% 100%
23 India 100% 100%
Processing Services Limited”)
65 HCL Technologies Columbia S.A.S Columbia 100% 100%
24 HCL Poland Sp.z.o.o Poland 100% 100%
66 HCL Technologies Middle East FZ-LLC UAE 100% 100%
25 HCL EAS Limited UK 100% 100%
67 HCL Istanbul Bilisim Teknolojileri Limited Sirketi Turkey 100% 100%
26 HCL Insurance BPO Services Limited UK 100% 100%
68 HCL Technologies Greece Single Member P.C Greece 100% 100%
27 Axon Group Limited UK 100% 100%
69 HCL Technologies S.A. Venezuela 100% 100%
28 HCL Canada Inc. (Formely “HCL Axon Technologies Inc.”) Canada 100% 100% 70 HCL Technologies Beijing Co., Ltd China 100% 100%
29 HCL Technologies Solutions GmbH Switzerland 100% 100% 71 HCL Technologies Luxembourg S.a r.l Luxembourg 100% 100%
30 Axon Solutions Pty. Limited Australia 100% 100% 72 HCL Technologies Egypt Limited Egypt 100% 100%
31 Axon Solutions Limited UK 100% 100% 73 HCL Technologies Estonia OÜ Estonia 100% 100%
HCL Technologies Malaysia Sdn. Bhd. (Formely “HCL Axon
32 Malaysia 100% 100% 74 HCL Technologies (Thailand) Ltd. Thailand 100% 100%
Malaysia Sdn. Bhd.”)
33 Axon Solutions Singapore Pte. Limited * Singapore - 100% 75 HCL Technologies Czech Republic s.r.o. Czech Republic 100% 100%

34 Axon Solutions (Shanghai) Co. Limited China 100% 100% 76 HCL Muscat Technologies L.L.C. Oman 100% 100%
HCL Technologies (Proprietary) Ltd (Formely “HCL Axon 77 Powerteam LLC * USA - 100%
35 South Africa 48.16% 48.16%
(Proprietary) Limited”) 78 Point to Point Limited UK 100% 100%
36 HCL Argentina s.a. Argentina 100% 100% 79 Point to Point Products Limited UK 100% 100%
37 HCL Mexico S. de R.L. Mexico 100% 100% 80 HCL Technologies Lithuania UAB Lithuania 100% 100%
38 HCL Technologies Romania s.r.l. Romania 100% 100% 81 HCL Technologies (Taiwan) Ltd. China 100% 100%
39 HCL Hungary Kft Hungary 100% 100% 82 Geometric China, Inc. China 100% 100%
40 HCL Latin America Holding LLC USA 100% 100% 83 Geometric SRL Romania 100% 100%
41 HCL (Brazil) Technologia da informacao EIRELI Brazil 100% 100% 84 Geometric SAS * France - 100%
42 HCL Technologies Denmark Aps Denmark 100% 100% 85 Butler America Aerospace LLC USA 100% 100%
43 HCL Technologies Norway AS Norway 100% 100% 86 Urban Fulfillment Services LLC USA 100% 100%
44 PT. HCL Technologies Indonesia Limited Indonesia 100% 100% 87 Datawave (An HCL Technologies Company) Limited Scotland 100% 100%
45 HCL Technologies Philippines Inc. Philippines 100% 100% 88 HCL Technologies Corporate Services Limited UK 100% 100%
46 HCL Technologies South Africa (Proprietary) Limited South Africa 36.40% 36.40% 89 C3i Support Services Private Limited India 100% 100%
47 HCL Arabia LLC Saudi Arabia 100% 100%
90 Telerx Marketing Inc. USA 100% 100%
48 HCL Technologies France SAS France 100% 100%
91 C3i Europe Eood Bulgaria 100% 100%
49 Filial Espanola De HCL Technologies S.L Spain 100% 100%
92 C3i (UK) Limited UK 100% 100%
50 Anzospan Investments Pty Limited South Africa 70% 70%
93 C3i Japan GK Japan 100% 100%
51 HCL Investments (UK) Limited UK 100% 100%
94 C3i Services &Technologies (Dalian) Co., Ltd China 100% 100%

260 Standalone Financial Statements 261

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Percentage holding as at Country of Percentage holding as at

Country of S. No. Name of the Subsidiaries
S. No. Name of the Subsidiaries Incorporation 31 March 2021 31 March 2020
Incorporation 31 March 2021 31 March 2020
95 HCL Technologies SEP Holdings Inc USA 80% 80% 137 DWS Limited # Australia 100% -
96 Actian Corporation USA 80% 80% 138 DWS (New Zealand) Ltd # New Zealand 100% -
97 Actian Australia Pty Ltd Australia 80% 80% 139 Phoenix IT & T Consulting Pty Ltd # Australia 100% -
98 Actian Europe Limited UK 80% 80% 140 Wallis Nominees (Computing) Pty Ltd # Australia 100% -
99 Actian France France 80% 80% 141 DWS (NSW) Pty Ltd # Australia 100% -
100 Actian Germany GmbH Germany 80% 80% 142 Symplicit Pty Ltd # Australia 100% -
101 Actian International, Inc. USA 80% 80% 143 Projects Assured Pty Ltd # Australia 100% -
102 Actian Netherlands B.V. Netherlands 80% 80% 144 DWS Product Solutions Pty Ltd # Australia 100% -
103 Actian Technology Private Limited India 80% 80% 145 Graeme V Jones & Associates Pty Ltd # Australia 100% -
104 Pervasive Software, Inc. USA 80% 80% 146 Strategic Data Management Pty Ltd # Australia 100% -
105 Versant GmbH Germany 80% 80% 147 SDM Sales Pty Ltd # Australia 100% -
106 Versant India Private Limited India 80% 80% 148 HCL Technologies S.A.C. ^ Peru 100% -
107 Versant Software LLC USA 80% 80%
$ The status of the company was changed from a Section 8 company into a Public Limited Company pursuant to the Order of the
108 Honisgberg & Duvel Datentichnik GMBH Germany 100% 100% Hon’ble Regional Director, Northern Region dated January 12, 2021. A fresh Certificate of Incorporation was received from the
109 H&D Business Services GmbH Germany 100% 100% Registrar of Companies dated February 9, 2021 pursuant to which the name of the Company was changed to HCL Software Limited.
110 H&D IT Solutions GmbH Germany 100% 100% * Merged during the year
111 H&D Training und Consulting GmbH Germany 100% 100% ** The Group has equity interest of 49% and 100% dividend rights and control
^ Incorporated during the year
112 H&D International GmbH Germany 100% 100%
# Acquired during the year
113 H&D IT Professional Services GmbH Germany 100% 100%
114 qmo-it GmbH Germany 100% 100% Employee benefit trusts - incorporated in India
115 H&D Services for Engineering GmbH Germany 100% 100% Hindustan Instruments Limited Employees Provident Fund Trust
116 Hönigsberg & Düvel Datentechnik Czech s.r.o. * Czech Republic - 100% HCL Consulting Limited Employees Superannuation Scheme
HCL Comnet System and Services Limited Employees Provident Fund Trust
117 Hönigsberg & Düvel Corporation * USA - 100%
HCL Technologies Employees Group Gratuity Trust
118 CATIS GmbH Germany 100% 100%
HCL Technologies Stock Options Trust
119 H&D IT Automotive Services GmbH Germany 100% 100%
C3i Support Services Employees Gratuity Trust
120 CA Management Services GmbH Germany 100% 100% Sankalp Stock Trust
121 H&D ITAS Infrastructure Services GmbH Germany 100% 100% Sankalp Semiconductor Private Limited Employees Group Gratuity Trust
122 H&D ITAS Application Services GmbH Germany 100% 100%
Key Management Personnel
123 H&D ITAS Client Services GmbH Germany 100% 100% Mr. Shiv Nadar – Chief Strategy Officer (ceased to be Chairman w.e.f. 17 July 2020)
124 H&D ITAS Süd GmbH Germany 100% 100% Mr. C. Vijayakumar – President and Chief Executive Officer
Mr. Prateek Aggarwal – Chief Financial Officer
125 HCL Technologies Vietnam Company Limited Vietnam 100% 100% Mr. Manish Anand – Company Secretary
126 HCL Guatemala, Sociedad Anonima Guatemala 100% 100%
Non-Executive & Independent Directors
127 Sankguj Semiconductor Private Limited India 100% 100%
Mr. Ramanathan Srinivasan
128 Sankalp Semiconductor Inc. Canada 100% 100% Ms. Robin Ann Abrams
Dr. Sosale Shankara Sastry
129 Sankalp USA Inc. USA 100% 100%
Mr. Subramanian Madhavan
130 Sankalp Semiconductor GmbH. Germany 100% 100% Mr. Thomas Sieber
Ms. Nishi Vasudeva
131 Sankalp Semiconductor SDN.BHD. Malaysia 100% 100%
Mr. Deepak Kapoor
Trinidad and Mr. James Philip Adamczyk (ceased to be Director w.e.f. 9 October 2019)
132 HCL Technologies Trinidad And Tobago Limited 100% 100%
Tobago Mr. Mohan Chellappa (appointed w.e.f. 6 August 2019)
133 HCL Technologies Azerbaijan Limited Liability Company Azerbaijan 100% 100% Mr. Simon John England (appointed w.e.f. 16 January 2020)
134 HCL Technologies Bulgaria EOOD Bulgaria 100% 100% Non-Executive & Non-Independent Directors
HCL Vietnam Company Limited (Formerly known as HCL Ms. Roshni Nadar Malhotra, Chairperson (appointed Chairperson w.e.f. 17 July 2020)
135 Vietnam 100% 100% Mr. Shikhar Neelkamal Malhotra (appointed w.e.f. 22 October 2019)
Technologies (Vietnam) Company Limited)
Mr. Sudhindar Krishan Khanna (ceased to be Director w.e.f. 8 April 2019)
136 HCL Technologies Angola (SU), LDA ^ Angola 100% -

262 Standalone Financial Statements 263

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(b) Related parties with whom transactions have taken place Year ended
Transactions with Key Managerial personnel during the year
Others (Significant influence) 31 March 2021 31 March 2020
HCL Infosystems Limited SSN Trust Compensation
HCL Avitas Private Limited HCL IT City Lucknow Private Limited - Short-term employee benefits from company 5 4
Vama Sundari Investments (Delhi) Private Limited HCL Infotech Limited - Short-term employee benefits from subsidiaries 35 33
HCL Corporation Private Limited Shiv Nadar University - Other long term benefits from company 2 1
SSN Investments (Pondi) Private Limited HCL Holding Private Limited
- Other long term benefits from subsidiaries - 89
Naksha Enterprises Private Limited Shiv Nadar Foundation
HCL Insys. Pte. Limited, Singapore (ceased to be related party w.e.f. 15 November 2019)
Year ended
Transactions with Directors during the year
Subsidiaries Significant influence 31 March 2021 31 March 2020
Transactions with related parties during the normal Commission & other benefits to Directors (includes sitting fees) 8 9
Year ended Year ended
course of business
31 March 2021 31 March 2020 31 March 2021 31 March 2020
Revenues from operations 16,929 13,961 4 6 Subsidiaries Significant influence
Other expenses* 6,672 6,464 102 243 Outstanding balances As at As at
31 March 2021 31 March 2020 31 March 2021 31 March 2020
Interim dividend - - 1,636 814
Trade receivables, other financial assets and other assets 5,268 5,479 27 40
Final dividend (refer note below) - - 327 -
Trade payables, other financial liabilities and other liabilities 5,022 3,222 15 194
Corporate guarantee fees 1 - - -
Guarantee outstanding 4,228 365 - -
Interest income 1 1 2 1
Lease liabilities - - 85 113
Dividend income 63 47 - -
Right-of-use assets - - 79 110
Profit on sale of investment 1 - - -
Investments 887 399 - -
Year ended
Depreciation charge on right-of-use assets - - 31 31 Material related party balances with HCL America Inc.
31 March 2021 31 March 2020
Interest expense on the lease liability - - 8 8
Trade receivables, other financial assets and other assets 469 1,122
Gurantee given 3,838 - - -
Trade payables, other financial liabilities and other liabilities 1,784 1,656
Purchase of capital equipments - - - 1
Guarantee outstanding 3,875 38
Proceeds from loan extended 26 - - -
* Other expenses include outsourcing cost and cost of goods sold also.
3.32 Research and development expenditure
Note: Final dividend represents final dividend paid of ` 2 per equity share for the financial year ended 31 March 2020 recommended
by the Board of Directors in their meeting on 7 May 2020 and approved by the shareholders at the Annual General Meeting held on Year ended
29 September 2020.
31 March 2021 31 March 2020
Year ended Amount charged to statement of profit and loss 473 381
Material related party transactions
31 March 2021 31 March 2020
473 381
Revenues from operations
HCL America Inc. 1,328 1,948 3.33 Commitments and contingent liabilities
Corporate guarantee fees
As at
HCL America Inc. 1 -
31 March 2021 31 March 2020
Other expenses
(i) Capital and other commitments
HCL America Inc. 3,778 4,772
Capital commitments
Guarantee given
Estimated amount of contracts remaining to be executed on capital account
HCL America Inc. 3,838 - 200 318
and not provided for (net of advances)
Interim dividend paid
(ii) Contingent liabilities
Vama Sundari Investments (Delhi) Private Limited 1,174 582
Others - -
HCL Holding Private Limited 447 223
200 318
Final dividend paid (refer note below)
Vama Sundari Investments (Delhi) Private Limited 235 -
HCL Holding Private Limited 89 -

264 Standalone Financial Statements 265

Notes to standalone financial statements for the year ended 31 March 2021 Notes to standalone financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(a) The Indian Parliament has approved the Code on Social Security, 2020 which would impact the contributions by the Company 3.38 Change in classification
towards Provident Fund and Gratuity. The effective date from which the changes are applicable is yet to be notified and the
final rules are yet to be framed. The Company will carry out an evaluation of the impact and record the same in the financial During the year ended 31 March 2021, the Company modified the classification of ‘contract assets’ from ‘other financial assets’ to
statements in the period in which the Code becomes effective and the related rules are published. ‘other current assets’ to reflect more appropriately the nature of such amount. Comparative amounts in the notes to the standalone
financial statements were reclassified for consistency.
(b) The Company is involved in various lawsuits, claims and proceedings that arise in the ordinary course of business, the outcome
of which is inherently uncertain. Some of these matters include speculative and frivolous claims for substantial or indeterminate 3.39 Subsequent events
amounts of damages. The Company records a liability when it is both probable that a loss has been incurred and the amount
can be reasonably estimated. Significant judgment is required to determine both probability and the estimated amount. The The Board of Directors has declared 1st Interim Dividend of ` 6/- per equity share of ` 2/- each and a Special interim dividend of
Company reviews these provisions at least quarterly and adjusts these provisions accordingly to reflect the impact of negotiations, `10/- per equity share of ` 2/- each for FY 2021-22. The Special Interim Dividend has been declared by the Board in recognition of
settlements, rulings, advice of legal counsel, and updated information. The Company believes that the amount or estimable the Company’s recent milestone, crossing the $10 Billion mark in Revenue during FY’21.
range of reasonably possible loss, will not, either individually or in the aggregate, have a material adverse effect on its business,
financial position, results of the Company, or cash flows with respect to loss contingencies for legal and other contingencies as
at 31 March 2021.
As per our report of even date attached
(c) Guarantees have been given by the Company on behalf of various subsidiaries against credit facilities, financial assistance and
office premises taken on lease amounting to ` 4,228 crores (USD 530 million and GBP 35 million) (31 March 2020, ` 365 crores For B S R & Co. LLP
(USD 5 million and GBP 35 million)). These guarantees have been given in the normal course of the Company’s operations For and on behalf of the Board of Directors of HCL Technologies Limited
and are not expected to result in any loss to the Company, on the basis of the beneficiaries fulfilling their ordinary commercial Chartered Accountants
obligations. Firm’s Registration No.: 101248W/W-100022

3.34 Payment to auditors Rakesh Dewan Shiv Nadar S. Madhavan

Partner Chief Strategy Officer Director
Year ended
Membership Number: 092212
31 March 2021 31 March 2020
Audit fees 7 3 Gurugram, India C. Vijayakumar Prateek Aggarwal
Other services (Tax audit fees, certification and out of pocket expenses) 1 1 23 April 2021 President and Chief Executive Officer Chief Financial Officer

Other non audit tax services * 0 0

9 4 Prahlad Rai Bansal Manish Anand
Deputy Chief Financial Officer Company Secretary
* Represents amount less than ` 0.50 crores
Noida (UP), India
3.35 Micro and small enterprises 23 April 2021
As per information available with the management, the dues payable to enterprises covered under “The Micro, Small and Medium
Enterprises Development Act, 2006” are as follows:
For the year ended For the year ended
31 March 2021 31 March 2020
Principal Interest Principal Interest
Amount due to vendors 5 - - -
Principal amount paid beyond the appointed date - - - -
Interest under normal credit terms
Accrued and unpaid during the year - - - -
Total interest payable
Accrued and unpaid during the year - - - -

This has been determined on the basis of responses received from vendors on specific confirmation sought by the Company.

3.36 Corporate social responsibility

As required by section 135 of the Companies Act, 2013, the gross amount required to be spent by the Company on CSR activities is
` 194 crores (31 March 2020, ` 173 crores) and the amount spent during the year is ` 194 crores (31 March 2020, ` 175 crores).

3.37 Segment Reporting

As per Ind AS 108 ‘Operating Segments’, the Company has disclosed the segment information only as part of the consolidated
financial statement.

266 Standalone Financial Statements 267

 INDEPENDENT AUDITORS’ REPORT
To the Members of HCL Technologies Limited income, consolidated changes in equity and consolidated cash
flows for the year then ended.
Report on the Audit of Consolidated Financial Statements
Basis for Opinion
Opinion We conducted our audit in accordance with the Standards
on Auditing (SAs) specified under section 143(10) of the Act.
We have audited the consolidated financial statements of HCL
Our responsibilities under those SAs are further described in
Technologies Limited (hereinafter referred to as the “Holding
the Auditor’s Responsibilities for the Audit of the Consolidated
Company”) and its subsidiaries (Holding Company and its
Financial Statements section of our report. We are independent
subsidiaries together referred to as “the Group”), which comprise
of the Group in accordance with the ethical requirements that are
the Consolidated Balance Sheet as at 31 March 2021, and the
relevant to our audit of the consolidated financial statements in
Consolidated Statement of Profit and Loss (including other
terms of the Code of Ethics issued by the Institute of Chartered
comprehensive income), Consolidated Statement of Changes in
Accountants of India and the relevant provisions of the Act, and we
Equity and Consolidated Statement of Cash Flows for the year
have fulfilled our other ethical responsibilities in accordance with
then ended, and notes to the consolidated financial statements,
these requirements. We believe that the audit evidence obtained
including a summary of significant accounting policies and other
by us is sufficient and appropriate to provide a basis for our opinion
explanatory information (hereinafter referred to as “the consolidated
on the consolidated financial statements.
financial statements”).
Key Audit Matters
In our opinion and to the best of our information and according to
the explanations given to us, the aforesaid consolidated financial Key audit matters are those matters that, in our professional
statements give the information required by the Companies Act, judgment, were of most significance in our audit of the consolidated
2013 (“Act”) in the manner so required and give a true and fair view financial statements of the current period. These matters were
in conformity with the accounting principles generally accepted addressed in the context of our audit of the consolidated financial
in India, of the consolidated state of affairs of the Group as at statements as a whole, and in forming our opinion thereon, and we
do not provide a separate opinion on these matters.

Consolidated
31 March 2021, of its consolidated profit and other comprehensive

Description of Key Audit Matters

The key audit matter How the matter was addressed in our audit

Ind AS
Revenue Recognition on fixed price contracts (See note 1(g) and 3.19 to the consolidated financial statements)

Revenue and onerous obligation in respect of open fixed price In view of the significance of the matter we applied the following
contracts involves critical estimates as there is an inherent and audit procedures in this area, among others to obtain sufficient
presumed fraud risk involved around the recognition of revenue, appropriate audit evidence:

Financial Statements
given the customized and complex nature of these contracts.
• evaluating the design, implementation and operating
Estimation of efforts is a critical estimate to determine revenue effectiveness of internal controls relating to estimation of
and liability for onerous obligations for open fixed price efforts required and recording of efforts incurred to complete
contracts. The estimate has a high inherent uncertainty as it the remaining contract performance obligations.
requires consideration of progress of contracts, efforts incurred
till date and efforts required to complete the remaining contract • obtaining an understanding of the systems, processes and
performance obligations. controls implemented by management for recording and
computing revenue and associated contract assets, and
unearned and deferred revenue balances.
• involving our Information Technology (‘IT’) specialists to assess
the design, implementation and operating effectiveness of key
IT controls over the IT environment in which business systems
operate, including IT general controls and application controls
pertaining to allocation of resources and budgeting systems
which prevents unauthorized changes to recording of costs
incurred and controls relating to the estimation of contract
costs required to complete the project.
• selecting specific/statistical samples of contracts and testing
revenue recognition and estimation of onerous obligation, if
any, by performing the following procedures.
- evaluating identification of performance obligation and
allocation of transaction price to each performance
obligation.
- performing retrospective review of the costs incurred
with estimated costs to identify significant variations and
verifying that variations have been considered in estimating
the remaining costs to complete the contract; and
- assessing the appropriateness of work in progress
(contract assets) on balance sheet date by verifying the
underlying information and identify possible changes in
estimated costs to complete the remaining performance
obligations.

268 Consolidated Financial Statements 269

 The key audit matter How the matter was addressed in our audit

Evaluation of tax positions and litigations (See note 1(h) and 3.25 to the consolidated financial statements)
an audit conducted in accordance with SAs will always detect a We communicate with those charged with governance of
The Group operates in multiple global jurisdictions which requires In view of the significance of the matter we applied the following
it to estimate its income tax liabilities according to the tax laws audit procedures in this area, among others to obtain sufficient material misstatement when it exists. Misstatements can arise the Holding Company and such other entities included in the
of the respective tax jurisdictions. Further, there are matters of appropriate audit evidence: from fraud or error and are considered material if, individually or consolidated financial statements of which we are the independent
interpretation in terms of application of tax laws and related rules in the aggregate, they could reasonably be expected to influence auditors regarding, among other matters, the planned scope and
to determine current tax provision and deferred taxes. • testing the design, implementation and operating effectiveness the economic decisions of users taken on the basis of these timing of the audit and significant audit findings, including any
of the Group’s key controls over identifying uncertain tax consolidated financial statements. significant deficiencies in internal control that we identify during
The Group has material tax positions and litigations on a range positions and matters involving litigations/disputes. our audit.
of tax matters primarily in India. This requires management to
make significant judgments to determine the possible outcome • obtaining details of tax positions and tax litigations for the As part of an audit in accordance with SAs, we exercise professional
year and as at 31 March 2021 and holding discussions with judgment and maintain professional skepticism throughout the We also provide those charged with governance with a statement
of uncertain tax positions and litigations and their consequent audit. We also: that we have complied with relevant ethical requirements regarding
impact on related accounting and disclosures in the consolidated designated management personnel.
independence, and to communicate with them all relationships
financial statements. • assessing and analysing select key correspondences with tax • Identify and assess the risks of material misstatement of and other matters that may reasonably be thought to bear on our
authorities and inspecting external legal opinions obtained by the consolidated financial statements, whether due to fraud independence, and where applicable, related safeguards.
management for key uncertain tax positions and tax litigations. or error, design and perform audit procedures responsive to
• evaluating underlying evidence and documentation to those risks, and obtain audit evidence that is sufficient and From the matters communicated with those charged with
determine whether the information provides a basis for appropriate to provide a basis for our opinion. The risk of governance, we determine those matters that were of most
amounts reserved/not reserved in the books of account. not detecting a material misstatement resulting from fraud is significance in the audit of the consolidated financial statements
higher than for one resulting from error, as fraud may involve of the current period and are therefore the key audit matters.
• involving our internal tax specialists and evaluating collusion, forgery, intentional omissions, misrepresentations, We describe these matters in our auditors’ report unless law or
management’s underlying key assumptions in estimating or the override of internal control. regulation precludes public disclosure about the matter or when,
the tax provisions and estimate of the possible outcome of
in extremely rare circumstances, we determine that a matter
significant tax litigations; and
• Obtain an understanding of internal control relevant to the should not be communicated in our report because the adverse
• in respect of tax positions and litigations, assessing the audit in order to design audit procedures that are appropriate consequences of doing so would reasonably be expected to
computation of provisions and consequent impact on related in the circumstances. Under section 143(3)(i) of the Act, we outweigh the public interest benefits of such communication.
accounting and disclosures in the consolidated financial are also responsible for expressing our opinion on the internal
statements. financial controls with reference to the consolidated financial Report on Other Legal and Regulatory Requirements
statements and the operating effectiveness of such controls
based on our audit. (A) As required by Section 143(3) of the Act, based on our audit,
Other Information accounting records in accordance with the provisions of the Act we report, to the extent applicable, that:
for safeguarding the assets of each entity and for preventing • Evaluate the appropriateness of accounting policies used
The Holding Company’s management and Board of Directors and detecting frauds and other irregularities; the selection and and the reasonableness of accounting estimates and related (a) We have sought and obtained all the information and
are responsible for the other information. The other information application of appropriate accounting policies; making judgments disclosures made by the Management and Board of Directors explanations which to the best of our knowledge and
comprises the information included in the holding Company’s and estimates that are reasonable and prudent; and the design, of the Holding Company. belief were necessary for the purposes of our audit of the
annual report, but does not include the consolidated financial implementation and maintenance of adequate internal financial aforesaid consolidated financial statements.
statements and our auditors’ report thereon. controls, that were operating effectively for ensuring accuracy and • Conclude on the appropriateness of Management’s and Board
completeness of the accounting records, relevant to the preparation of Directors use of the going concern basis of accounting in (b) In our opinion, proper books of account as required by
Our opinion on the consolidated financial statements does not and presentation of the consolidated financial statements that preparation of consolidated financial statements and, based law relating to preparation of the aforesaid consolidated
cover the other information and we do not express any form of give a true and fair view and are free from material misstatement, on the audit evidence obtained, whether a material uncertainty financial statements have been kept so far as it appears
assurance conclusion thereon. whether due to fraud or error, which have been used for the exists related to events or conditions that may cast significant from our examination of those books.
purpose of preparation of the consolidated financial statements doubt on the appropriateness of this assumption. If we
In connection with our audit of the consolidated financial by the Management and Directors of the Holding Company, as conclude that a material uncertainty exists, we are required to (c) The Consolidated Balance Sheet, the Consolidated
statements, our responsibility is to read the other information and, aforesaid. draw attention in our auditor’s report to the related disclosures Statement of Profit and Loss (including other
in doing so, consider whether the other information is materially in the consolidated financial statements or, if such disclosures comprehensive income), the Consolidated Statement of
inconsistent with the consolidated financial statements or our In preparing the consolidated financial statements, the respective are inadequate, to modify our opinion. Our conclusions are Changes in Equity and the Consolidated Statement of
knowledge obtained in the audit or otherwise appears to be Management and Board of Directors of the entities included in the based on the audit evidence obtained up to the date of our Cash Flows dealt with by this Report are in agreement
materially misstated. If, based on the work we have performed, Group are responsible for assessing the ability of each entity to auditor’s report. However, future events or conditions may with the relevant books of account maintained for the
we conclude that there is a material misstatement of this other continue as a going concern, disclosing, as applicable, matters cause the Group (Holding company and subsidiaries) to cease purpose of preparation of the consolidated financial
information, we are required to report that fact. We have nothing to related to going concern and using the going concern basis of to continue as a going concern. statements.
report in this regard. accounting unless the respective Board of Directors either intends
to liquidate the entity or to cease operations, or has no realistic • Evaluate the overall presentation, structure and content of the (d) In our opinion, the aforesaid consolidated financial
Management’s and Board of Directors’ Responsibilities for alternative but to do so. consolidated financial statements, including the disclosures, statements comply with the Ind AS specified under
the Consolidated Financial Statements and whether the consolidated financial statements represent section 133 of the Act.
The respective Board of Directors of the entities included in the the underlying transactions and events in a manner that
The Holding Company’s Management and Board of Directors Group is responsible for overseeing the financial reporting process achieves fair presentation. (e) On the basis of the written representations received
are responsible for the preparation and presentation of these of each entity. from the directors of the Holding Company as on
consolidated financial statements in term of the requirements of • Obtain sufficient appropriate audit evidence regarding the 31 March 2021 taken on record by the Board of Directors
the Act that give a true and fair view of the consolidated state of Auditor’s Responsibilities for the Audit of the Consolidated financial information of such entities or business activities within of the Holding Company and on the basis of written
affairs, consolidated profit/ loss and other comprehensive income, Financial Statements the Group to express an opinion on the consolidated financial representations received by the management from
consolidated statement of changes in equity and consolidated cash statements. We are responsible for the direction, supervision directors of its subsidiaries which are incorporated in
flows of the Group in accordance with the accounting principles Our objectives are to obtain reasonable assurance about whether and performance of the audit of financial information of the India, as on 31 March 2021, none of the directors of the
generally accepted in India, including the Indian Accounting the consolidated financial statements as a whole are free from entities included in the consolidated financial statements. We Group’s companies incorporated in India is disqualified
Standards (Ind AS) specified under section 133 of the Act. The material misstatement, whether due to fraud or error, and to remain solely responsible for our audit opinion. as on 31 March 2021 from being appointed as a director
respective Management and Board of Directors of the entities issue an auditor’s report that includes our opinion. Reasonable in terms of Section 164(2) of the Act.
included in the Group are responsible for maintenance of adequate assurance is a high level of assurance, but is not a guarantee that We believe that the audit evidence obtained by us is sufficient
and appropriate to provide a basis for our audit opinion on the (f) With respect to the adequacy of the internal financial
consolidated financial statements. controls with reference to consolidated financial

270 Consolidated Financial Statements 271

 Annexure A to the Independent Auditors’ report on the evidence about the adequacy of the internal financial controls
statements of the Holding Company and its subsidiary (C) With respect to the matter to be included in the Auditor’s report consolidated financial statements of HCL Technologies with reference to consolidated financial statements and their
companies incorporated in India and the operating under section 197(16): Limited for the year ended 31 March 2021 operating effectiveness. Our audit of internal financial controls with
effectiveness of such controls, refer to our separate reference to consolidated financial statements included obtaining
Report in “Annexure A”. In our opinion and according to the information and Report on the internal financial controls with reference to the an understanding of internal financial controls with reference
explanations given to us, the remuneration paid during the aforesaid consolidated financial statements under Clause (i) to consolidated financial statements, assessing the risk that a
(B) With respect to the other matters to be included in the Auditor’s current year by the Holding Company and its subsidiary of Sub-section 3 of Section 143 of the Companies Act, 2013 material weakness exists, and testing and evaluating the design
Report in accordance with Rule 11 of the Companies (Audit companies which are incorporated in India to its respective and operating effectiveness of the internal controls based on the
and Auditor’s) Rules, 2014, in our opinion and to the best of directors is in accordance with the provisions of Section (Referred to in paragraph A(f) under ‘Report on Other Legal and assessed risk. The procedures selected depend on the auditor’s
our information and according to the explanations given to us: 197 of the Act. The remuneration paid to any director by the Regulatory Requirements’ section of our report of even date) judgement, including the assessment of the risks of material
Holding Company and its subsidiary companies which are misstatement of the consolidated financial statements, whether
(i) The consolidated financial statements disclose the incorporated in India, is not in excess of the limit laid down Opinion due to fraud or error.
impact of pending litigations as at 31 March 2021 on the under Section 197 of the Act. The Ministry of Corporate Affairs
consolidated financial position of the Group. Refer Note has not prescribed other details under Section 197(16) which In conjunction with our audit of the consolidated financial statements We believe that the audit evidence we have obtained is sufficient
3.34 to the consolidated financial statements; are required to be commented upon by us. of HCL Technologies Limited (hereinafter referred to as “the Holding and appropriate to provide a basis for our audit opinion on the
Company”) as of and for the year ended 31 March 2021, we have internal financial controls with reference to consolidated financial
(ii) The Group did not have any material foreseeable losses audited the internal financial controls with reference to consolidated statements.
on long - term contracts including derivative contracts For B S R & Co. LLP financial statements of the Holding Company and such companies
during the year ended 31 March 2021; Chartered Accountants incorporated in India under the Companies Act, 2013 which are its Meaning of Internal Financial controls with Reference to
Firm’s Registration No.101248W/W-100022 subsidiary companies, as of that date. Consolidated Financial Statements
(iii) There has been no delay in transferring amounts to the
Investor Education and Protection Fund by the Holding Rakesh Dewan In our opinion, the Holding Company and such companies A company’s internal financial controls with reference to
Company and its subsidiary companies incorporated in Partner incorporated in India which are its subsidiary companies, have, in all consolidated financial statements is a process designed to provide
India during the year ended 31 March 2021; and Membership No.: 092212 material respects, adequate internal financial controls with reference reasonable assurance regarding the reliability of financial reporting
ICAI UDIN.: 21092212AAAAAR1852 to the consolidated financial statements and such internal financial and the preparation of consolidated financial statements for external
(iv) The disclosures in the consolidated financial statements controls were operating effectively as at 31 March 2021, based on purposes in accordance with generally accepted accounting
regarding holdings as well as dealings in specified Date: 23 April 2021 the internal financial controls with reference to consolidated financial principles. A company’s internal financial controls with reference
bank notes during the period from 8 November 2016 to Place: Gurugram, India statements criteria established by such companies considering to consolidated financial statements includes those policies and
30 December 2016 have not been made in the the essential components of such internal controls stated in the procedures that (1) pertain to the maintenance of records that, in
consolidated financial statements since they do not Guidance Note on Audit of Internal Financial Controls Over Financial reasonable detail, accurately and fairly reflect the transactions and
pertain to the financial year ended 31 March 2021. Reporting issued by the Institute of Chartered Accountants of India dispositions of the assets of the company; (2) provide reasonable
(the “Guidance Note”). assurance that transactions are recorded as necessary to permit
preparation of consolidated financial statements in accordance with
Management’s Responsibility for Internal Financial Controls generally accepted accounting principles, and that receipts and
expenditures of the company are being made only in accordance
The respective Company’s management and the Board of Directors with authorisations of management and directors of the company;
are responsible for establishing and maintaining internal financial and (3) provide reasonable assurance regarding prevention or
controls with reference to consolidated financial statements based timely detection of unauthorised acquisition, use, or disposition
on the criteria established by the respective Company considering of the company’s assets that could have a material effect on the
the essential components of internal control stated in the Guidance consolidated financial statements.
Note. These responsibilities include the design, implementation
and maintenance of adequate internal financial controls that Inherent Limitations of Internal Financial controls with
were operating effectively for ensuring the orderly and efficient Reference to consolidated Financial Statements
conduct of its business, including adherence to the respective
company’s policies, the safeguarding of its assets, the prevention Because of the inherent limitations of internal financial controls
and detection of frauds and errors, the accuracy and completeness with reference to consolidated financial statements, including the
of the accounting records, and the timely preparation of reliable possibility of collusion or improper management override of controls,
financial information, as required under the Companies Act, 2013 material misstatements due to error or fraud may occur and not be
(hereinafter referred to as “the Act”). detected. Also, projections of any evaluation of the internal financial
controls with reference to consolidated financial statements to future
Auditors’ Responsibility periods are subject to the risk that the internal financial controls
with reference to consolidated financial statements may become
Our responsibility is to express an opinion on the internal financial inadequate because of changes in conditions, or that the degree of
controls with reference to consolidated financial statements based compliance with the policies or procedures may deteriorate.
on our audit. We conducted our audit in accordance with the
Guidance Note and the Standards on Auditing, prescribed under For B S R & Co. LLP
section 143(10) of the Act, to the extent applicable to an audit of Chartered Accountants
internal financial controls with reference to consolidated financial Firm’s Registration No.101248W/W-100022
statements. Those Standards and the Guidance Note require
that we comply with ethical requirements and plan and perform Rakesh Dewan
the audit to obtain reasonable assurance about whether adequate Partner
internal financial controls with reference to consolidated financial Membership No.: 092212
statements were established and maintained and if such controls ICAI UDIN.: 21092212AAAAAR1852
operated effectively in all material respects.
Date: 23 April 2021
Our audit involves performing procedures to obtain audit Place: Gurugram, India

272 Consolidated Financial Statements 273

Consolidated Balance Sheet as at 31 March 2021 Consolidated Statement of Profit and Loss for the year ended 31 March 2021
(All amounts in crores of `, except share data and as stated otherwise) (All amounts in crores of `, except share data and as stated otherwise)
As at As at Year ended Year ended
Note No. Note No.
31 March 2021 31 March 2020 31 March 2021 31 March 2020
I ASSETS I Revenue
(1) Non-current assets Revenue from operations 3.19 75,379 70,676
(a) Property, plant and equipment 3.1 5,642 5,494 Other income 3.20 927 589
(b) Capital work in progress 312 400
Total income 76,306 71,265
(c) Right-of-use assets 3.28 2,410 2,648
(d) Goodwill 3.2 17,192 16,154
II Expenses
(e) Other intangible assets 3.3 11,901 13,194
Purchase of stock-in-trade 1,698 1,536
(f) Financial assets
Changes in inventories of stock-in-trade 3.21 (3) -
(i) Investments 3.4 89 77
(ii) Others 3.6 2,569 2,373 Employee benefits expense 3.22 38,853 34,928
(g) Deferred tax assets (net) 3.25 1,181 2,317 Finance costs 3.23 511 505
(h) Other non-current assets 3.7 1,847 1,829 Depreciation, amortization and impairment expense 4,611 3,420
(2) Current assets Outsourcing costs 10,158 10,700
(a) Inventories 3.8 94 91 Other expenses 3.24 4,625 6,196
(b) Financial assets Total expenses 60,453 57,285
(i) Investments 3.4 6,773 6,989
(ii) Trade receivables 3.9 13,663 14,131 III Profit before tax 15,853 13,980
(iii) Cash and cash equivalents 3.10(a) 6,521 4,848
(iv) Other bank balances 3.10(b) 2,367 128 IV Tax expense 3.25
(v) Loans 3.5 4,841 3,422 Current tax 3,719 2,821
(vi) Others 3.6 5,889 5,937 Deferred tax charge 965 102
(c) Current tax assets (net) 131 157 Total tax expense 4,684 2,923
(d) Other current assets 3.11 2,772 2,717
TOTAL ASSETS 86,194 82,906 V Profit for the year 11,169 11,057
II EQUITY
(a) Equity share capital 3.12 543 543 VI Other comprehensive income 3.26
(b) Other equity 59,370 50,724 (A) (i) Items that will not be reclassified to statement of profit and loss 33 (85)
Equity attributable to shareholders of the Company 59,913 51,267 (ii) Income tax on items that will not be reclassified to statement of profit and loss (10) 18
Non-controlling interest 169 154 (B) (i) Items that will be reclassified subsequently to statement of profit and loss 913 441
TOTAL EQUITY 60,082 51,421
(ii) Income tax on items that will be reclassified subsequently to statement of
III LIABILITIES (178) 105
profit and loss
(1) Non-current liabilities VII Total other comprehensive income 758 479
(a) Financial liabilities
(i) Borrowings 3.13 3,828 2,848
VIII Total comprehensive income for the year 11,927 11,536
(ii) Lease liabilities 3.28 1,903 2,179
(iii) Others 3.14 973 1,194
Profit for the year attributable to
(b) Provisions 3.15 1,333 1,048
Shareholders of the Company 11,145 11,057
(c) Deferred tax liabilities (net) 3.25 147 87
(d) Other non-current liabilities 3.16 545 399 Non-controlling interest 24 -
(2) Current liabilities 11,169 11,057
(a) Financial liabilities Total comprehensive income for the year attributable to
(i) Borrowings 3.13 - 1,845 Shareholders of the Company 11,908 11,525
(ii) Trade payables 3.17 1,726 1,166 Non-controlling interest 19 11
(iii) Lease liabilities 3.28 691 715 11,927 11,536
(iv) Others 3.14 8,421 14,340 Earnings per equity share of ` 2 each 3.27
(b) Other current liabilities 3.18 4,299 3,889 Basic (in `) 41.07 40.75
(c) Provisions 3.15 963 706 Diluted (in `) 41.07 40.75
(d) Current tax liabilities (net) 1,283 1,069
TOTAL EQUITY AND LIABILITIES 86,194 82,906 Summary of significant accounting policies 1
Summary of significant accounting policies 1
The accompanying notes are an integral part of the consolidated financial statements
The accompanying notes are an integral part of the consolidated financial statements
As per our report of even date attached
As per our report of even date attached
For B S R & Co. LLP For and on behalf of the Board of Directors of HCL Technologies Limited
For B S R & Co. LLP For and on behalf of the Board of Directors of HCL Technologies Limited Chartered Accountants
Chartered Accountants Firm’s Registration No. : 101248W/W-100022
Firm’s Registration No. : 101248W/W-100022
Rakesh Dewan Shiv Nadar S. Madhavan C. Vijayakumar
Rakesh Dewan Shiv Nadar S. Madhavan C. Vijayakumar Partner Chief Strategy Officer Director President and
Partner Chief Strategy Officer Director President and Membership Number: 092212 Chief Executive Officer
Membership Number: 092212 Chief Executive Officer
Prateek Aggarwal Prahlad Rai Bansal Manish Anand
Prateek Aggarwal Prahlad Rai Bansal Manish Anand Chief Financial Officer Deputy Chief Financial Officer Company Secretary
Chief Financial Officer Deputy Chief Financial Officer Company Secretary
Gurugram, India Noida (UP), India
Gurugram, India Noida (UP), India 23 April 2021 23 April 2021
23 April 2021 23 April 2021

274 Consolidated Financial Statements 275

 Consolidated Statement of Changes in Equity for the year ended 31 March 2021

276
(All amounts in crores of `, except share data and as stated otherwise)

Equity share capital Other equity

Reserves and Surplus Other comprehensive income
Non
Number Special Debt Total Controlling Total
Share Share Foreign Cash
of Capital economic instruments other Interests Equity
capital Retained Securities redemption based currency flow
shares zone re- through other equity
earnings premium reserve payment investment translation hedging comprehensive
reserve reserve reserve
reserve income
Balance as at 1 April 2019 1,356,278,868 271.3 38,964 2 14 5 440 1,497 171 2 41,095 103 41,469
Profit for the year - - 11,057 - - - - - - - 11,057 - 11,057
Other comprehensive income (refer note 3.26) - - (67) - - - - 1,016 (478) (3) 468 11 479
Total comprehensive income for the year - - 10,990 - - - - 1,016 (478) (3) 11,525 11 11,536
Dividend of of ` 5 per share (including tax on dividend of - - (1,625) - - - - - - - (1,625) - (1,625)
` 268 crores)
Issue of bonus shares (refer note 3.12) 1,356,832,548 271.4 (271) - - - - - - - (271) - 1*
Transfer to special economic zone re-investment - - (726) - - - 726 - - - - - -
reserve
Transfer from special economic zone re-investment - - 440 - - - (440) - - - - - -
reserve
Shares issued for exercised options 553,680 - - 5 - (5) - - - - - - -
Change in non-controlling interest (refer note 3.35) - - - - - - - - - - - 40 40
Balance as at 31 March 2020 2,713,665,096 543 47,772 7 14 - 726 2,513 (307) (1) 50,724 154 51,421
Balance as at 1 April 2020 2,713,665,096 543 47,772 7 14 - 726 2,513 (307) (1) 50,724 154 51,421
Profit for the year - - 11,145 - - - - - - - 11,145 24 11,169
Other comprehensive income (refer note 3.26) - - 23 - - - - 227 490 23 763 (5) 758
Total comprehensive income for the year - - 11,168 - - - - 227 490 23 11,908 19 11,927
Final dividend of ` 2 per share - - (543) - - - - - - - (543) - (543)
Interim dividend of of `10 per share - - (2,714) - - - - - - - (2,714) - (2,714)
Transfer to special economic zone re-investment - - (1,500) - - - 1,500 - - - - - -
reserve
Transfer from special economic zone re-investment - - 531 - - - (531) - - - - - -
reserve
Purchase of non-controlling interest - - (5) - - - - - - - (5) (7) (12)
Change in non-controlling interest - - - - - - - - - - - 3 3
Balance as at 31 March 2021 2,713,665,096 543 54,709 7 14 - 1,695 2,740 183 22 59,370 169 60,082
Refer note 1 for summary of significant accounting policies
* rounded off to total
The accompanying notes are an integral part of the consolidated financial statements
As per our report of even date attached

For B S R & Co. LLP For and on behalf of the Board of Directors of HCL Technologies Limited
Chartered Accountants
Firm’s Registration No. : 101248W/W-100022

Rakesh Dewan Shiv Nadar S. Madhavan C. Vijayakumar

Partner Chief Strategy Officer Director President and
Membership Number: 092212 Chief Executive Officer

Prateek Aggarwal Prahlad Rai Bansal Manish Anand

Chief Financial Officer Deputy Chief Financial Officer Company Secretary

Gurugram, India Noida (UP), India

23 April 2021 23 April 2021
Inventories

Interest paid
Dividend paid
Net change in
Interest income

Trade payables
Profit before tax

Interest expense

Interest received
Adjustment for:

Trade receivables

Income taxes paid

Corporate dividend tax

Investments in bank deposits
Other non-cash charges (net)

Investment in equity instruments

Income taxes paid (net of refunds)
Cash generated from operations

Purchase of non-controlling interest

Repayment of long term borrowings

Proceeds from long term borrowings

Repayment of short term borrowings

Proceeds from short term borrowings
Purchase of investments in securities

Deposits placed with body corporates

B Cash flows from investing activities

C Cash flows from financing activities

A Cash flows from operating activities

Other financial assets and other assets

Investment in limited liability partnership

Proceeds from bank deposits on maturity

Distribution from limited liability partnership

Payment of lease liabilities including interest

Net cash flow from operating activities (A)

Net cash flow used in investing activities (B)

Net cash flow used in financing activities (C)

Profit on sale of property, plant and equipment (net)
Depreciation, amortization and impairment expense

Proceeds from sale of property, plant and equipment

Provisions, other financial liabilities and other liabilities
Provision for doubtful debts / bad debts written off (net)

Cash and cash equivalents at the beginning of the year

Proceeds from sale/maturity of investments in securities

Payments for business acquisitions, net of cash acquired

Purchase of property, plant and equipment and intangibles

Net increase (decrease) in cash and cash equivalents (A+B+C)

Proceeds from maturity of deposits placed with body corporates
(All amounts in crores of `, except share data and as stated otherwise)

Income on investments carried at fair value through profit and loss

Cash and cash equivalents at the end of the year as per note 3.10(a)
Payments for deferred and contingent consideration on business acquisitions
Consolidated Statement of Cash flows for the year ended 31 March 2021

Effect of exchange differences on cash and cash equivalents held in foreign currency
Profit on sale of investments carried at fair value through other comprehensive income
Year ended
31 March 2021

6,521
3,760
65
19
(645)
4,611
15,853

19,618
(3,445)
23,063
1,454
538
344
72
633
20,022
88
(102)
298
(3)
(97)

2,696
(11,180)
(1,016)
(139)
676
151
(1,904)
(6,641)
(3)
21,109
(20,792)
188
(2,427)

-
(3,256)
(6,518)
(1,556)
815
(3,262)
3,752
(5,742)
(91)
-
(4)
(12)
(1,211)
5,219

Consolidated Financial Statements

Year ended
31 March 2020

13,980

3,760
5,901
42
(441)
3,420

13,359
(2,558)
15,917
1,810
(208)
(1,229)
24
(1,957)
17,477
177
-
251
(16)
(94)
200

(2,183)
(3,168)
(866)
(136)
(268)
(1,357)
(295)
(937)
933
(394)
152
(12,374)
(139)
282
37
(1,866)
(5,015)
(15)
30,785
(35,420)
2,074
(265)

1
(3)
-
(6,091)
3,261

277
Consolidated Statement of Cash flows for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of `, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Notes: ORGANIZATION AND NATURE OF OPERATIONS

1. Reconciliation of liabilities arising from financing activities
HCL Technologies Limited (hereinafter referred to as “the Company” or “the Parent Company”) and its subsidiaries (hereinafter collectively
Long term referred to as “the Group”) are primarily engaged in providing a range of IT and business services, engineering and R&D services and
Short term products & platforms services. The Company was incorporated under the provisions of the Companies Act applicable in India in November
borrowings Deferred and
borrowings
(including contingent 1991, having its registered office at 806, Siddharth, 96, Nehru Place, New Delhi - 110019. The Group leverages its global technology
(excluding bank
current consideration workforce and intellectual properties to deliver solutions across following verticals - Financial Services, Manufacturing, Life Sciences &
overdraft)
maturities) Healthcare, Public Services, Retail & CPG, Technology & Services and Telecom, Media, Publishing and Entertainment.
Balance as at 1 April 2019 3,263 691 21
The consolidated financial statements for the year ended 31 March 2021 were approved and authorized for issue by the Board of
Cash flows (242) (4) (295) Directors on 23 April 2021.
Non cash changes
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Business combination - 3 6,416
Exchange differences (net) - - 584 (a) Basis of preparation
Effect of foreign currency translation 226 67 7 These consolidated financial statements of the Group have been prepared in accordance with Indian Accounting Standards (Ind
Recognized in profit and loss - - 124 AS) prescribed under section 133 of the Companies Act, 2013 read with the Companies (Indian Accounting Standards) Rules as
amended from time to time and presentation requirements of Schedule III (Division II) to the Companies Act, 2013, as applicable
Balance as at 31 March 2020 3,247 757 6,857 to the consolidated financial statements.
Balance as at 1 April 2020 3,247 757 6,857
These consolidated financial statements have been prepared under the historical cost convention on an accrual and going
Cash flows 490 (741) (6,518) concern basis, except for the following assets and liabilities which have been measured at fair value:
Non cash changes
(a) Derivative financial instruments,
Business combination 217 - -
Exchange differences (net) - - (33) (b) Certain financial assets and liabilities (refer accounting policy regarding financial instruments),
Effect of foreign currency translation (47) (16) 7 (c) Defined benefit plans
Recognized in profit and loss - - 50
The accounting policies adopted in the preparation of these consolidated financial statements are consistent with those of
Balance as at 31 March 2021 3,907 - 363 the previous year except where a newly issued accounting standard is initially adopted or a revision to an existing accounting
standard requires a change in the accounting policy.
2. The total amount of income taxes paid is ` 3,536 crores (previous year, ` 2,697 crores).
All assets and liabilities have been classified as current and non-current as per the Group’s normal operating cycle of 12 months.
3. Cash and cash equivalents includes investor education and protection fund-unclaimed dividend of ` 6 crores (previous year, ` 5 crores). The statement of cash flows has been prepared under indirect method.

The accompanying notes are an integral part of the consolidated financial statements The Group uses the Indian rupee (‘`’) as its reporting currency.
As per our report of even date attached
(b) Basis of Consolidation
For B S R & Co. LLP For and on behalf of the Board of Directors of HCL Technologies Limited
The consolidated financial statements comprise the financial statements of HCL Technologies Limited, the Parent Company,
Chartered Accountants
and its subsidiaries. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when
Firm’s Registration No. : 101248W/W-100022 the Group loses control of the subsidiary.

Rakesh Dewan Shiv Nadar S. Madhavan C. Vijayakumar Control is achieved when the Group is exposed or has rights to variable returns from its involvement with the investee and has
Partner Chief Strategy Officer Director President and the ability to affect those returns through its power over the investee. Specifically, the Group controls an investee if and only if
the Group has:
Membership Number: 092212 Chief Executive Officer
(a) Power over the investee (i.e. existing rights that give it the current ability to direct the relevant activities of the investee)
Prateek Aggarwal Prahlad Rai Bansal Manish Anand
Chief Financial Officer Deputy Chief Financial Officer Company Secretary (b) Exposure, or rights, to variable returns from its involvement with the investee, and

Gurugram, India Noida (UP), India

(c) The ability to use its power over the investee to affect its returns.
23 April 2021 23 April 2021 Generally, there is a presumption that a majority of voting rights result in control. To support this presumption and when the Group
has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in
assessing whether it has power over an investee, including:

(a) The contractual arrangement with the other vote holders of the investee

(b) Rights arising from other contractual arrangements

(c) The Group’s voting rights and potential voting rights

278 Consolidated Financial Statements 279

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or (e) Foreign currency and translation
more of the three elements of control.
The Group’s consolidated financial statements are presented in Indian Rupee (`), which is also the Parent Company’s functional
The financial statements of the subsidiaries in the Group are added on a line-by-line basis and inter-company balances and currency. For each entity, the Group determines the functional currency, and items included in the financial statements of each
transactions including unrealized gain/loss from such transactions, are eliminated upon consolidation. The consolidated financial entity are measured using that functional currency. The Group uses the direct method of consolidation and on disposal of a foreign
statements are prepared by applying uniform accounting policies in use by the Group. operation the gain or loss that is reclassified to the statement of profit and loss reflects the amount that arises from using this method.

(c) Use of estimates Transactions in foreign currencies are initially recorded by the Group’s entities at their respective functional currency spot rates at
the date of the transaction. Foreign currency denominated monetary assets and liabilities are translated to the relevant functional
The preparation of consolidated financial statements in conformity with Ind AS requires the management to make estimates and currency at exchange rates in effect at the balance sheet date. Exchange differences arising on settlement or translation of monetary
assumptions that affect the reported amounts of assets, liabilities, revenue, expenses and other comprehensive income (OCI) that items are recognized in the statement of profit and loss. Non-monetary assets and non-monetary liabilities denominated in a foreign
are reported and disclosed in the consolidated financial statements and accompanying notes. These estimates are based on the currency and measured at historical cost are translated at the exchange rate prevalent at the date of initial transaction. Non-monetary
management’s best knowledge of current events, historical experience, actions that the Group may undertake in the future and assets and non-monetary liabilities denominated in a foreign currency and measured at fair value are translated at the exchange rate
on various other assumptions that are believed to be reasonable under the circumstances. Actual results could differ from those prevalent at the date when the fair value was determined.
estimates. Changes in estimates are reflected in the consolidated financial statements in the year in which the changes are made.
Transaction gains or losses realized upon settlement of foreign currency transactions are included in determining net profit for
Significant estimates and assumptions are used for, but not limited to, the year. Revenue, expenses and cash-flow items denominated in foreign currencies are translated into the relevant functional
currencies using the exchange rate in effect on the date of the transaction.
(i) Accounting for costs expected to be incurred to complete performance under fixed price projects and determination of stand-
alone selling prices for each distinct performance obligation in respect of proprietary software products, refer note 1(g) The translation of foreign operations from respective functional currency into INR (the reporting currency) for assets and liabilities
is performed using the exchange rates in effect at the balance sheet date, and for revenue, expenses and cash flows is performed
(ii) Allowance for uncollectible accounts receivables, refer note 1(r)(i) using an appropriate daily weighted average exchange rate for the respective years. The exchange differences arising on translation
for consolidation are reported as a component of ‘other comprehensive income (loss)’. On disposal of a foreign operation, the
(iii) Fair value of the consideration transferred (including contingent consideration) and fair value of the assets acquired and liabilities component of OCI relating to that particular foreign operation is recognized in the statement of profit and loss.
assumed, measured on a provisional basis in case of business combination, refer note 1(d)
(f) Fair value measurement
(iv) Recognition of income and deferred taxes, refer note 1(h) and note 3.25
The Group records certain financial assets and liabilities at fair value on a recurring basis. The Group determines fair values based
(v) Key actuarial assumptions for measurement of future obligations under employee benefit plans, refer note 1(q) and note 3.31 on the price it would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the
measurement date in the principal or most advantageous market for that asset or liability.
(vi) Useful lives of property, plant and equipment, refer note 1(i)
The Group holds certain fixed income securities, equity securities and derivatives, which must be measured using the guidance for fair
(vii) Lives of intangible assets, refer note 1(j) value hierarchy and related valuation methodologies. The guidance specifies a hierarchy of valuation techniques based on whether
the inputs to each measurement are observable or unobservable. Observable inputs reflect market data obtained from independent
(viii) Key assumptions used for impairment of goodwill, refer note 1(o) and note 3.2 sources, while unobservable inputs reflect the Group’s assumptions about current market conditions. The fair value hierarchy also
requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.
(ix) Identification of leases and measurement of lease liabilities and right of use assets, refer note 1(m) The prescribed fair value hierarchy and related valuation methodologies are as follows:

(x) Provisions and contingent liabilities, refer note 1(p) and note 3.34 Level 1 - Quoted inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.

In view of pandemic relating to COVID -19, the Group has considered and taken into account internal and external information and Level 2 - Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are
has performed sensitivity analysis based on current estimates in assessing the recoverability of receivables, unbilled receivables, not active and model-derived valuations, in which all significant inputs are directly or indirectly observable in active markets.
goodwill, intangible assets, other assets, impact on revenues and costs, impact on leases and effectiveness of its hedging relationships,
including but not limited to the assessment of liquidity and going concern assumption. However, the actual impact of COVID-19 on Level 3 - Valuations derived from valuation techniques, in which one or more significant inputs are unobservable inputs which are
the Group’s financial statements may differ from that estimated and the Group will continue to closely monitor any material changes supported by little or no market activity.
to future economic conditions.
In accordance with Ind AS 113, assets and liabilities are to be measured based on the following valuation techniques:
(d) Business combinations and goodwill
(a) Market approach – Prices and other relevant information generated by market transactions involving identical or comparable
Business combinations are accounted for using the acquisition method. The cost of an acquisition is the aggregate of the consideration assets or liabilities.
transferred measured at fair value at the acquisition date and the amount of any non-controlling interest in the acquiree. For each
business combination, the Group measures the non-controlling interest in the acquiree at fair value. Acquisition related costs are (b) Income approach – Converting the future amounts based on market expectations to its present value using the discounting
expensed as incurred. method.

Any contingent consideration to be transferred by the acquirer is recognized at fair value at the acquisition date. Contingent (c) Cost approach – Replacement cost method.
consideration classified as financial liability is measured at fair value with changes in fair value recognized in the statement of profit
and loss. Certain assets are measured at fair value on a non-recurring basis. These assets consist primarily of non-financial assets such
as goodwill and intangible assets. Goodwill and intangible assets recognized in business combinations are measured at fair value
Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized initially and subsequently when there is an indicator of impairment, the impairment is recognized.
for non-controlling interest, and any previous interest held, over the net identifiable assets acquired and liabilities assumed. If the fair
value of the net assets acquired is in excess of the aggregate consideration transferred, the excess is recognized as capital reserve A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by
after reassessing the fair values of the net assets. using the asset in its highest and best use or by selling it to another market participant who would use the asset in its highest and
best use.

280 Consolidated Financial Statements 281

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(g) Revenue recognition obligations related to License of Intellectual property (Software) or Lease deliverable, the arrangement consideration allocated to the
Software deliverables, lease deliverable as a group is then allocated to each software obligation and lease deliverable.
Contracts involving provision of services and material
Revenue recognition for delivered elements is limited to the amount that is not contingent on the future delivery of products or
Revenue is recognized when, or as, control of a promised service or good transfers to a customer, in an amount that reflects the services, future performance obligations or subject to customer-specified return or refund privileges.
consideration to which the Group expects to be entitled in exchange for transferring those products or services. To recognize
revenues, the following five step approach is applied: (1) identify the contract with a customer, (2) identify the performance obligations Revenue from certain activities in transition services in outsourcing arrangements are not capable of being distinct or represent
in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, separate performance obligation. Revenues relating to such transition activities are classified as Contract liabilities and subsequently
and (5) recognize revenues when a performance obligation is satisfied. A contract is accounted when it is legally enforceable through recognized over the period of the arrangement. Direct and incremental costs in relation to such transition activities which are
executory contracts, approval and commitment from all parties, the rights of the parties are identified, payment terms are defined, the expected to be recoverable under the contract and generate or enhance resources of the Company that will be used in satisfying the
contract has commercial substance and collectability of consideration is probable. performance obligation in the future are considered as contract fulfillment costs classified as Deferred contract cost and recognized
over the period of arrangement. Certain upfront non-recurring incremental contract acquisition costs and other upfront fee paid to
Time-and-material / Volume based / Transaction based contracts customer are deferred and classified as Deferred contract cost and amortized to revenue or cost, usually on a straight line basis, over
the term of the contract unless revenues are earned and obligations are fulfilled in a different pattern. The undiscounted future cash
Revenue with respect to time-and-material, volume based and transaction based contracts is recognized as the related services flows from the arrangement are periodically estimated and compared with the unamortized costs. If the unamortized costs exceed
are performed through efforts expended, volume serviced transactions are processed etc. that correspond with value transferred to the undiscounted cash flow, a loss is recognized.
customer till date which is related to our right to invoice for services performed.
In instances when revenue is derived from sales of third-party vendor services, material or licenses, revenue is recorded on a gross
Fixed Price contracts basis when the Group is a principal to the transaction and net of costs when the Group is acting as an agent between the customer
and the vendor. Several factors are considered to determine whether the Group is a principal or an agent, most notably being group
Revenue related to fixed price contracts where performance obligations and control are satisfied over a period of time like technology control the goods or service before it is transferred to customer, latitude in deciding the price being charged to customer. Revenue is
integration, complex network building contracts, system implementations and application development are recognized based on recognized net of discounts and allowances, value-added and service taxes, and includes reimbursement of out-of-pocket expenses,
progress towards completion of the performance obligation using a cost-to-cost measure of progress (i.e., percentage-of-completion with the corresponding out-of-pocket expenses included in cost of revenues.
(POC) method of accounting). Revenue is recognized based on the costs incurred to date as a percentage of the total estimated
costs to fulfill the contract. Any revision in cost to complete would result in increase or decrease in revenue and such changes are Volume discounts, or any other form of variable consideration is estimated using either the sum of probability weighted amounts in
recorded in the period in which they are identified. Provisions for estimated losses, if any, on contracts-in-progress are recorded in a range of possible consideration amounts (expected value), or the single most likely amount in a range of possible consideration
the period in which such losses become probable based on the current contract estimates. Contract losses are determined to be the amounts (most likely amount), depending on which method better predicts the amount of consideration realizable. Transaction price
amount by which the estimated incremental cost to complete exceeds the estimated future revenues that will be generated by the includes variable consideration only to the extent it is probable that a significant reversal of revenues recognized will not occur when
contract and are included in cost of revenues and recorded in other accrued liabilities. the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of
whether to include estimated amounts in the transaction price may involve judgment and are based largely on an assessment of our
Revenue related to other fixed price contracts providing maintenance and support services, are recognized based on our right to invoice anticipated performance and all information that is reasonably available to us.
for services performed for contracts in which the invoicing is representative of the value being delivered. If our invoicing is not consistent
with value delivered, revenues are recognized as the service is performed based on the cost to cost method described above. Revenue recognized but not billed to customers is classified either as contract assets or unbilled receivable in consolidated balance
sheet. Contract assets primarily relate to unbilled amounts on those contracts utilizing the cost to cost method of revenue recognition
In arrangements involving sharing of customer revenues, revenue is recognized when the right to receive is established. and right to consideration is not unconditional. Unbilled receivables represent contracts where right to consideration is unconditional
(i.e. only the passage of time is required before the payment is due). A contract liability arises when there is excess billing over the
Revenue from product sales are shown net of applicable taxes, discounts and allowances. Revenue related to product with installation revenue recognized.
services that are critical to the product is recognized when installation of product at customer site is completed and accepted by
the customer. If the revenue for a delivered item is not recognized for non-receipt of acceptance from the customer, the cost of the Revenue from sales-type leases is recognized when risk of loss has been transferred to the client and there are no unfulfilled
delivered item continues to be in inventory. obligations that affect the final acceptance of the arrangement by the client.

Proprietary Software Products Interest attributable to sales-type leases and direct financing leases included therein is recognized on an accrual basis using the
effective interest method and is recognized as other income.
Revenue from distinct proprietary perpetual license software is recognized at a point in time at the inception of the arrangement when
control transfers to the client. Revenue from proprietary term license software is recognized at a point in time for the committed term Interest income
of the contract. In case of renewals of proprietary term licenses with existing customers, revenue from term license is recognized at
a point in time when the renewal is agreed on signing of contracts. Revenue from support and subscription (S&S) is recognized over Interest income for all financial instruments measured at amortized cost is recorded using the effective interest rate (EIR). EIR is the
the contract term on a straight-line basis as the Company is providing a service of standing ready to provide support, when-and-if rate that exactly discounts the estimated future cash payments or receipts over the expected life of the financial instrument or a shorter
needed, and is providing unspecified software upgrades on a when-and-if available basis over the contract term. In case software are period, where appropriate, to the gross carrying amount of the financial asset or to the amortized cost of a financial liability. When
bundled with one year of support and subscription either for perpetual or term based license, such support and subscription contracts calculating the EIR, the Group estimates the expected cash flows by considering all the contractual terms of the financial instrument
are generally priced as a percentage of the net fees paid by the customer to purchase the license and are generally recognized but does not consider the expected credit losses. Interest income is included in other income in the statement of profit and loss.
as revenues ratably over the contractual period that the support services are provided. Revenue from these proprietary software
products is classified under sale of services. (h) Income taxes

Multiple performance obligation Income tax expense comprises current and deferred income tax.

When a sales arrangement contains multiple performance, such as services, hardware and Licensed IPs (software) or combinations Income tax expense is recognized in the statement of profit and loss except to the extent that it relates to items recognized directly in
of each of them revenue for each element is based on a five step approach as defined above. To the extent a contract includes equity, in which case it is recognized in equity. Current income tax for current and prior periods is recognized at the amount expected
multiple promised deliverables, judgment is applied to determine whether promised deliverables are capable of being distinct and to be paid to or recovered from the tax authorities, using the tax rates and tax laws that have been enacted or substantively enacted
are distinct in the context of the contract. If these criteria are not met, the promised deliverables are accounted for as a combined by the balance sheet date. Provision for income tax includes the impact of provisions established for uncertain income tax positions.
performance obligation. For arrangements with multiple distinct performance obligations or series of distinct performance obligations,
consideration is allocated among the performance obligations based on their relative standalone selling price. Standalone selling price Deferred income tax assets and liabilities recognized for all temporary differences arising between the tax bases of assets and
is the price at which the Group would sell a promised good or service separately to the customer. When not directly observable, we liabilities and their carrying amounts in the financial statements. Deferred income tax assets and liabilities are recognized for those
estimate standalone selling price by using the expected cost plus a margin approach. We establish a standalone selling price range temporary differences which originate during the tax holiday period are reversed after the tax holiday period. For this purpose,
for our deliverables, which is reassessed on a periodic basis or when facts and circumstances change. If the arrangement contains reversal of timing differences is determined using first-in-first-out method.

282 Consolidated Financial Statements 283

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related Intangible assets are amortized over the useful life and assessed for impairment whenever there is an indication that the intangible
tax benefit will be realized. Deferred income tax assets and liabilities are measured using tax rates and tax laws that have been asset may be impaired. The amortization period and the amortization method for an intangible asset with a finite useful life are
enacted or substantively enacted by the balance sheet date and are expected to apply to taxable income in the years in which those reviewed at least at the end of each reporting year. Changes in the expected useful life or the expected pattern of consumption of
temporary differences are expected to be recovered or settled. future economic benefits embodied in the asset are considered to modify the amortization period or method, as appropriate, and
are treated as changes in accounting estimates. The amortization expense on intangible assets with finite lives is recognized in the
Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current tax assets against statement of profit and loss.
current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.
Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds
The effect of changes in tax rates on deferred income tax assets and liabilities is recognized as income or expense in the year that and the carrying amount of the asset and are recognized in the statement of profit and loss when the asset is derecognized.
includes the enactment or the substantive enactment date. A deferred income tax asset is recognized to the extent that it is probable
that future taxable profit will be available against which the deductible temporary differences and tax losses can be utilized. Deferred The intangible assets are amortized over the estimated useful life of the assets as mentioned below except certain Licensed IPRs
income taxes are not provided on the undistributed earnings of subsidiaries and branches where it is expected that the earnings of which include the right to modify, enhance or exploit are amortized in proportion to the expected benefits over the useful life which
the subsidiary or branch will not be distributed in the foreseeable future. could range up to 15 years:

Tax benefits acquired as part of a business combination, but not satisfying the criteria for separate recognition at that date, are Asset description Asset life (in years)
recognized subsequently if new information about facts and circumstances change. The adjustment is either treated as a reduction Software 3
in goodwill (as long as it does not exceed goodwill) if it was incurred during the measurement period or recognized in the statement Licensed IPRs 5 to 15
of profit and loss. Customer relationships 1 to 10
In some tax jurisdictions, tax deductions on share based payments to employees are different from the related cumulative remuneration Customer contracts 0.5 to 3
expenses. If the amount of the tax deduction (or estimated future tax deduction) exceeds the amount of the related cumulative Technology 5 to 15
remuneration expense, the excess of the associated tax is recognized directly in retained earnings. Intellectual property rights including Brand 2 to 6
Non-compete agreements 3 to 5
(i) Property, plant and equipment

Property, plant and equipment are stated at cost less accumulated depreciation and impairment losses, if any. Cost comprises the (k) Research and development costs
purchase price and directly attributable cost of bringing the asset to its working condition for its intended use. Any trade discounts
and rebates are deducted in arriving at the purchase price. The Group identifies and determines separate useful lives for each major Research costs are expensed as incurred. Development expenditure, on an individual project, is recognized as an intangible asset
component of the property, plant and equipment, if they have a useful life that is materially different from that of the asset as a whole. when the Group can demonstrate:

Expenses on existing property, plant and equipment, including day-to-day repairs, maintenance expenditure and cost of replacing • The technical feasibility of completing the intangible asset so that it will be available for use or sale
parts, are charged to the statement of profit and loss for the year during which such expenses are incurred. • Its intention to complete and its ability and intention to use or sell the asset
• How the asset will generate future economic benefits
Gains or losses arising from derecognition of assets are measured as the difference between the net disposal proceeds and the • The availability of resources to complete the asset
carrying amount of the asset and are recognized in the statement of profit and loss when the asset is derecognized. • The ability to measure reliably the expenditure during development

Property, plant and equipment under construction and cost of assets not ready for use at the year end are disclosed as capital Subsequently, following initial recognition of the development expenditure as an asset, the cost model is applied requiring the asset
work- in- progress. to be carried at cost less any accumulated amortization and accumulated impairment losses. Amortization of the asset begins when
development is complete and the asset is available for use. It is amortized over the period of expected future benefit. Amortization
Depreciation on property, plant and equipment is provided on the straight-line method over their estimated useful lives, as determined expense is recognized in the statement of profit and loss. During the period of development, the asset is tested for impairment
by the management. Depreciation is charged on a pro-rata basis for assets purchased/sold during the year. annually.

The management’s estimates of the useful lives of various assets for computing depreciation are as follows: (l) Borrowing costs

Asset description Asset life (in years) Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial
Buildings 20 period of time to get ready for its intended use are capitalized as part of the cost of the asset. All other borrowing costs are expensed
in the period in which they occur.
Plant and equipment (including air conditioners, electrical installations) 10
Office equipment 5 Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds. Borrowing costs
Computers and networking equipment 4-5 also includes exchange differences to the extent regarded as an adjustment to the borrowing costs.
Furniture and fixtures 7
(m) Leases
Vehicles 5
The useful lives as given above best represent the period over which the management expects to use these assets, based on A lease is a contract that contains right to control the use of an identified asset for a period of time in exchange for consideration.
technical assessment. The estimated useful lives for these assets are therefore different from the useful lives prescribed under Part
C of Schedule II of the Companies Act 2013. Group as a lessee

The residual values, useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial year Group is lessee in case of leasehold land, office space, accommodation for its employees & IT equipment. These leases are
end and adjusted prospectively, if appropriate. evaluated to determine whether it contains lease based on principles for the recognition, measurement, presentation and disclosure
of leases for both lessees and lessors as defined in Ind AS 116 effective from 1 April 2019.
(j) Intangible assets
Right-of-use asset represents the Group’s right to control the underlying assets under lease and the lease liability is the obligation
Intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business to make the lease payments related to the underlying asset under lease. Right-of-use asset is measured initially based on the lease
combination is measured at their fair value at the date of acquisition. Subsequently, following initial recognition, intangible assets are liability adjusted for any initial direct costs, prepaid rent, and lease incentives. Right-of-use asset is depreciated based on straight line
carried at cost less any accumulated amortization and accumulated impairment losses. method over the lease term or useful life of right-of-use asset, whichever is less. Subsequently, right-of-use asset is measured at cost
less any accumulated depreciation, accumulated impairment losses, if any and adjusted for any remeasurement of lease liability.
284 Consolidated Financial Statements 285
Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The lease liability is measured at the lease commencement date and determined using the present value of the minimum Intangible assets and property, plant and equipment
lease payments not yet paid and the Group’s incremental borrowing rate, which approximates the rate at which the Group
would borrow, in the country where the lease was executed. The Group has used a single discount rate for a portfolio of leases Intangible assets and property, plant and equipment are evaluated for recoverability whenever events or changes in circumstances
with reasonably similar characteristics. The lease payment comprises fixed payment less any lease incentives, variable lease indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e. the
payment that depends on an index or a rate, exercise price of a purchase option if the Group is reasonably certain to exercise the higher of the fair value less cost to sell and the value-in-use) is determined on an individual asset basis unless the asset does not
option and payment of penalties for terminating the lease, if the lease term reflects the Group exercising an option to terminate the generate cash flows that are largely independent of those from other assets. In such cases, the recoverable amount is determined for
lease. Lease liability is subsequently measured by increase the carrying amount to reflect interest on the lease liability, reducing the CGU to which the asset belongs. If such assets are considered to be impaired, the impairment to be recognized in the statement
the carrying amount to reflect the lease payment made and remeasuring the carrying amount to reflect any reassessment or of profit and loss is measured by the amount by which the carrying value of the asset exceeds the estimated recoverable amount of
modification, if any. the asset.

The Group has elected to not recognize leases with a lease term of 12 months or less in the consolidated balance sheet, including (p) Provisions and contingent liabilities
those acquired in a business combination, and lease costs for those short-term leases are recognized on a straight-line basis over the
lease term in the consolidated statement of profit and loss. For all asset classes, the Group has elected the lessee practical expedient A provision is recognized if, as a result of a past event, the Group has a present legal or constructive obligation that can be estimated
to combine lease and non-lease components and account for the combined unit as a single lease component in case there is no reliably, and it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation. If the
separate payment defined under the contract. effect of the time value of money is material, provisions are determined by discounting the expected future cash flows.

Group as a lessor The Group uses significant judgement to disclose contingent liabilities. Contingent liabilities are disclosed when there is a possible
obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more
Leases in which the Group does not transfer substantially all the risks and benefits of ownership of the asset are classified as uncertain future events not wholly within the control of the Group or a present obligation that arises from past events where it is either
operating leases. Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased asset not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount cannot be made.
and recognized over the lease term on the same basis as rental income. Contingent rents are recognized as revenue in the year in Contingent assets are neither recognized nor disclosed in the financial statements.
which they are earned or contingency is resolved.
(q) Retirement and other employee benefits
Leases in which the Group transfers substantially all the risk and benefits of ownership of the asset are classified as finance leases.
Assets given under finance lease are recognized as a receivable at an amount equal to the present value of lease receivable. After (i) Provident fund: Employees of the Company and its subsidiaries in India receive benefits under the provident fund, a defined
initial recognition, the Group apportions lease rentals between the principal repayment and interest income so as to achieve a benefit plan. The employee and employer each make monthly contributions to the plan. A portion of the contribution is made to
constant periodic rate of return on the net investment outstanding in respect of the finance leases. The interest income is recognized the provident fund trust managed by the Group or Government administered provident fund; while the balance contribution is
in the consolidated statement of profit and loss. Initial direct costs such as legal cost, brokerage cost etc. are recognized immediately made to the Government administered pension fund. For the contribution made by the Company and its subsidiaries in India to
in the statement of profit and loss. the provident fund trust managed by the Group, the Company has an obligation to fund any shortfall on the yield of the Trust’s
investments over the administered interest rates. The liability is actuarially determined (using the projected unit credit method)
When arrangements include multiple performance obligations, the Group allocates the consideration in the contract between the at the end of the year. The funds contributed to the Trust are invested in specific securities as mandated by law and generally
lease components and the non-lease components on a relative standalone selling price basis. consist of federal and state government bonds, debt instruments of government-owned corporations and, equity other eligible
market securities.
(n) Inventories
(ii) In respect of superannuation, a defined contribution plan for applicable employees, the Company contributes to a scheme
Stock-in-trade, stores and spares are valued at the lower of the cost or net realizable value. Cost includes cost of purchase and other administered on its behalf by appointed fund managers and such contributions for each year of service rendered by the
costs incurred in bringing the inventories to their present location and condition. Net realizable value is the estimated selling price in employees are charged to the statement of profit and loss. The Company has no further obligations to the superannuation plan
the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale. beyond its contributions.

Cost of stock-in-trade procured for specific projects is assigned by identifying individual costs of each item. Cost of stock-in-trade, that (iii) Gratuity liability: The Company and its subsidiaries in India provide for gratuity, a defined benefit plan (the “Gratuity Plan”) covering
are interchangeable and not specific to any project and cost of stores and spare parts are determined using the weighted average eligible employees. The Gratuity Plan provides a lump sum payment to vested employees at retirement, death, incapacitation
cost formula. or termination of employment, of an amount based on the respective employee’s base salary and the tenure of employment
(subject to a maximum of ` 20 lacs per employee). The liability is actuarially determined (using the projected unit credit method)
(o) Impairment of non-financial assets at the end of each year. Actuarial gains/losses are recognized immediately in the balance sheet with a corresponding debit or
credit to retained earnings through other comprehensive income in the year in which they occur.
Goodwill
In respect to certain employees in India, the Company contributes towards gratuity liabilities to the Gratuity Fund Trust. Trustees
Goodwill is tested annually on March 31, for impairment, or sooner whenever there is an indication that goodwill may be impaired, of the Company administer contributions made to the Trust and contributions are invested in a scheme with Life Insurance
relying on a number of factors including operating results, business plans and future cash flows. For the purpose of impairment Corporation of India as permitted by law.
testing, goodwill acquired in a business combination is allocated to the Group’s cash generating units (CGU) expected to benefit
from the synergies arising from the business combination. A CGU is the smallest identifiable group of assets that generates cash (iv) Compensated absences: The employees of the Group are entitled to compensated absences which are both accumulating
inflows that are largely independent of the cash inflows from other assets or group of assets. Impairment occurs when the carrying and non-accumulating in nature. The employees can carry forward up to the specified portion of the unutilized accumulated
amount of a CGU including the goodwill, exceeds the estimated recoverable amount of the CGU. The recoverable amount of a CGU compensated absences and utilize it in future periods or receive cash at retirement or termination of employment. The expected
is the higher of its fair value less cost to sell and its value-in-use. Value-in-use is the present value of future cash flows expected to cost of accumulating compensated absences is determined by actuarial valuation (using the projected unit credit method)
be derived from the CGU. Total impairment loss of a CGU is allocated first to reduce the carrying amount of goodwill allocated to the based on the additional amount expected to be paid as a result of the unused entitlement that has accumulated at the balance
CGU and then to the other assets of the CGU, pro-rata on the basis of the carrying amount of each asset in the CGU. sheet date. The expense on non-accumulating compensated absences is recognized in the statement of profit and loss in the
year in which the absences occur. Actuarial gains/losses are immediately taken to the statement of profit and loss and are not
An impairment loss on goodwill recognized in the statement of profit and loss is not reversed in the subsequent period. deferred.

(v) State Plan: The contribution to State Plans in India, a defined contribution plan namely Employee State Insurance Fund is
charged to the statement of profit and loss as and when employees render related services.

(vi) Contributions to other defined contribution plans in subsidiaries outside India are recognized as expense when employees have
rendered services entitling them to such benefits.

286 Consolidated Financial Statements 287

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(vii) In certain subsidiaries outside India, the Group provide retirement benefit pension plans in accordance with the local laws. The ii. Financial liabilities
liability is actuarially determined (using the projected unit credit method) at the end of each year.
All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly
(r) Financial Instruments attributable transaction costs.

A financial instrument is a contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of The subsequent measurement of financial liabilities depends on their classification, as described below:
another entity.
Financial liabilities at fair value through profit or loss
i.
Financial assets Financial liabilities designated upon initial recognition at fair value through profit or loss are designated as such at the initial date
of recognition, and only if the criteria in Ind AS 109 are satisfied. Changes in fair value of such liability are recognized in the
All financial assets are recognized initially at fair value. Transaction costs that are directly attributable to the acquisition of statement of profit or loss.
financial assets (other than financial assets at fair value through profit or loss) are added to the fair value measured on initial
recognition of financial asset. Purchase and sale of financial assets are accounted for at trade date. Financial liabilities at amortized cost
The Group’s financial liabilities at amortized cost are initially recognized at, net of transaction costs and includes trade payables,
Cash and cash equivalents borrowings including bank overdrafts and other payables.
Cash and cash equivalents in the balance sheet comprise cash in banks and short-term deposits and investments with an
original maturity of three months or less, which are subject to an insignificant risk of changes in value. For the purposes of After initial recognition, financial liabilities are subsequently measured at amortized cost using the effective interest rate (EIR)
the cash flow statement, cash and cash equivalents are considered net of outstanding bank overdrafts that are repayable on method except for deferred consideration recognized in a business combination which is subsequently measured at fair value
demand and are considered part of the Group’s cash management system. In the consolidated balance sheet, bank overdrafts through profit and loss. Gains and losses are recognized in the statement of profit and loss when the liabilities are derecognized
are presented under borrowings within current liabilities. as well as through the EIR amortization process.

Financial assets at amortized cost Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral
A financial asset is measured at the amortized cost if both the following conditions are met: part of the EIR. The EIR amortization is included as finance costs in the statement of profit and loss.

(a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and Derecognition
A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires.
(b) Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and interest
(SPPI) on the principal amount outstanding. iii. Derivative financial instruments and hedge accounting

After initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest rate Foreign exchange forward contracts and options are purchased to mitigate the risk of changes in foreign exchange rates
(EIR) method. Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that associated with forecast transactions denominated in certain foreign currencies and interest rate swaps are entered to mitigate
are an integral part of the EIR. The EIR amortization is included in other income in the statement of profit and loss. The losses interest rate fluctuation risk on indebtedness.
arising from impairment are recognized in the statement of profit and loss. This category includes cash and bank balances,
loans, unbilled receivables, trade and other receivables. The Group recognizes all derivatives as assets or liabilities measured at their fair value. Changes in fair value for derivatives not
designated in a hedge accounting relationship are marked to market at each reporting date and the related gains (losses) are
Financial assets at Fair Value through Other Comprehensive Income (OCI) recognized in the statement of profit and loss as ‘foreign exchange gains (losses)’ and ‘finance costs’ as applicable.
A financial asset is classified and measured at fair value through OCI if both of the following criteria are met:
The foreign exchange forward contracts, options and interest rate swaps in respect of forecast transactions which meet the
(i) The objective of the business model is achieved both by collecting contractual cash flows and selling the financial assets, and hedging criteria are designated as cash flow hedges. Changes in the fair value of derivative (net of tax) that are designated as
effective cash flow hedges are deferred and recorded in the hedging reserve account as a component of accumulated ‘other
(ii) The asset’s contractual cash flows represent solely payments of principal and interest. comprehensive income (loss)’ until the hedged transaction occurs and are then recognized in the statement of profit and loss.
The ineffective portion of hedging derivatives is immediately recognized in the statement of profit and loss.
Financial asset included within the OCI category are measured initially as well as at each reporting date at fair value. Fair value
movements are recognized in OCI. Interest income is recognized in statement of profit and loss for debt instruments. On derecognition In respect of derivatives designated as hedges, the Group formally documents all relationships between hedging instruments
of the asset, cumulative gain or loss previously recognized in OCI is reclassified from OCI to statement of profit and loss. and hedged items, as well as its risk management objective and strategy for undertaking various hedge transactions. The Group
also formally assesses both at the inception of the hedge and on an ongoing basis, whether each derivative is highly effective
Financial assets at Fair Value through Profit and Loss in offsetting changes in fair values or cash flows of the hedged item. The Group determines the existence of an economic
Any financial asset, which does not meet the criteria for categorization at amortized cost or at fair value through other relationship between the hedging instrument and hedged item based on the currency, amount and timing of their respective cash
comprehensive income, is classified at fair value through profit and loss. Financial assets included at the fair value through profit flows.
and loss category are measured at fair value with all changes recognized in the statement of profit and loss.
Hedge accounting is discontinued prospectively from the last testing date when (1) it is determined that the derivative financial
Equity investments instrument is no longer effective in offsetting changes in the fair value or cash flows of the underlying exposure being hedged;
All equity instruments are initially measured at fair value and are subsequently re-measured with all changes recognized in the (2) the derivative financial instrument matures or is sold, terminated or exercised; or (3) it is determined that designating the
statement of profit and loss. In limited circumstances, investments, for which sufficient, more recent information to measure fair derivative financial instrument as a hedge is no longer appropriate. When hedge accounting is discontinued the deferred gains
value is not available cost represents the best estimate of fair value within that range. or losses on the cash flow hedge remain in ‘other comprehensive income (loss)’ until the forecast transaction occurs. Any further
change in the fair value of the derivative financial instrument is recognized in current year earnings.
Derecognition of financial assets
A financial asset is primarily derecognized when the rights to receive cash flows from the asset have expired, or the Group has Offsetting of financial instruments
transferred its rights to receive cash flows from the asset. Financial assets and financial liabilities are offset and the net amount is reported in the consolidated balance sheet if there is a
currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis to realize the
Impairment of financial assets assets and settle the liabilities simultaneously.
The Group recognizes loss allowances using the expected credit loss (ECL) model for the financial assets which are not fair valued
through profit and loss. Lifetime ECL allowance is recognized for trade receivables with no significant financing component. For all other
financial assets, expected credit losses are measured at an amount equal to the 12-month ECL, unless there has been a significant
increase in credit risk from initial recognition in which case they are measured at lifetime ECL. The amount of expected credit losses
(or reversal) that is required to adjust the loss allowance at the reporting date is recognized in statement of profit and loss.

288 Consolidated Financial Statements 289

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(s) Dividend • Specified format for disclosure of shareholding of promoters.

Final dividend proposed by the Board of Directors are recognized upon approval by the shareholders who have the right to decrease • Specified format for ageing schedule of trade receivables, trade payables and capital work-in-progress.
but not increase the amount of dividend recommended by the Board of Directors. Interim dividends are recognized on declaration by
the Board of Directors. • If a Company has not used funds for the specific purpose for which it was borrowed from banks and financial institutions, then
disclosure of details of where it has been used.
(t) Earnings per share (EPS)
• Specific disclosure under ‘additional regulatory requirement’ such as compliance with approved schemes of arrangements,
Basic EPS amounts are computed by dividing the net profit attributable to the equity holders of the Parent Company by the weighted compliance with number of layers of companies, title deeds of immovable property not held in name of Company, loans and
average number of equity shares outstanding during the year. advances to promoters, directors, key managerial personnel (KMP) and related parties, details of benami property held etc.

Diluted EPS amounts are computed by dividing the net profit attributable to the equity holders of the Parent Company by the weighted Statement of profit and loss:
average number of equity shares considered for deriving basic earnings per share and also the weighted average number of equity
shares that could have been issued upon conversion of all dilutive potential equity shares. The diluted potential equity shares • Additional disclosures relating to undisclosed income, Corporate Social Responsibility (CSR) and crypto or virtual currency
are adjusted for the proceeds receivable had the shares been actually issued at fair value (i.e. the average market value of the specified under the head ‘additional information’ in the notes to the consolidated financial statements.
outstanding shares). Dilutive potential equity shares are deemed converted as at the beginning of the year, unless issued at a later
date. Dilutive potential equity shares are determined independently for each year presented. The Company is currently evaluating the impact of these amendment on its consolidated financial statements.

The number of shares and potentially dilutive equity shares are adjusted retrospectively for all periods presented for bonus shares. 2. ACQUISITIONS

(u) Nature and purpose of reserves (a) Acquisitions in the current year

Securities premium reserve (i) Acquisition of Cisco SON Product

Securities premium reserve is used to record the premium on issue of shares. The reserve can be utilized only for limited purposes
such as issuance of bonus shares and buyback of shares in accordance with the provisions of the Companies Act, 2013. On 29 May 2020, the Group had signed a definitive agreement to acquire Cisco Self-Optimizing Network (SON) products
and associated business from Cisco System, Inc., a California based Company for a consideration of ` 369 crores.
Capital redemption reserve
The Group recognizes cancellation of the Group’s own equity instruments to capital redemption reserve. The Cisco SON technology is a powerful platform that uses machine learning and a set of applications to automate the
Radio Access Network (RAN). SON is a multi-vendor multi-technology (MVMT) solution that optimizes the Radio Access
Share based payment reserve Networks (RAN) for 2G-5G.
The share options based payment reserve is used to recognize the grant date fair value of options issued to employees under
Employee stock option plan. Acquisition has been consummated effective 25 October 2020. The Group paid ` 360 crores on acquisition date and
balance ` 9 crores was paid subsequently.
Special economic zone re-investment reserve
The Company has created Special economic zone re-investment reserve out of profits of the eligible SEZ Units in terms of the Total purchase consideration of ` 369 crores has been allocated based on management estimates to the acquired assets
specific provisions of Section 10AA(1) of the Income Tax Act, 1961 (“the Act”). The said reserve should be utilized by the Company and liabilities as follows:
for acquiring plant and machinery in terms of Section 10AA(2) of the Act.
Amount
Foreign currency translation reserve Recoverable from Cisco (against contract liabilities) 73
Exchange differences arising on translation of the foreign operations are recognized in other comprehensive income as described in Contract liabilities (66)
accounting policy and accumulated in a separate reserve within equity. The cumulative amount is reclassified to profit or loss when Other recoverable from Cisco 25
the net investment is disposed-off.
Property plant and equipment 1
Cash flow hedging reserve Intangible assets
For hedging foreign currency risk, the Group uses foreign currency forward and option contracts. To the extent these hedges are Technology 92
effective, the change in fair value of the hedging instrument is recognized in the cash flow hedging reserve. Amounts recognized in Customer relationships 89
the cash flow hedging reserve is reclassified to the statement of profit or loss when the hedged item affects profit or loss.
Customer contracts 15
Debt instruments through other comprehensive income Non-compete agreements 7
The Group recognizes changes in the fair value of debt instruments held with business objective of collect and sell in other comprehensive Goodwill 133
income. The Group transfers amounts from this reserve to the statement of profit and loss when the debt instrument is sold. Total purchase consideration 369
(v) Recently issued accounting pronouncements The resultant goodwill was considered tax deductible on the date of acquisition and has been allocated to the Products &
Platforms segment. This goodwill is attributable mainly to Group’s ability to enhance the sale of products to customers in
On 24 March 2021, the Ministry of Corporate Affairs (MCA), notified amendments in Schedule III to the Companies Act, 2013 existing business of the Group and targeting new customers.
effective from 1 April 2021. Following are key amended provisions which may have an impact on the presentation of consolidated
financial statements of the Group: The table below shows the values and lives of intangible assets recognized on acquisition:

Balance sheet: Amount Life (Years) Basis of amortization

Technology 92 8 On straight line basis
• Current maturities of long-term borrowings shall be disclosed separately under ‘Borrowings’ against current presentation of
‘Other financial liabilities’. Customer relationships 89 8 In proportion of estimated revenue
Customer contracts 15 3 In proportion of estimated revenue
• Certain additional disclosures in the statement of changes in equity such as changes in equity share capital due to prior period
errors and restated balances at the beginning of the current reporting period. Non-compete agreements 7 4 On straight line basis
Total intangible assets 203

290 Consolidated Financial Statements 291

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(ii) Acquisition of DWS Limited (“DWS”) Acquisition has been consummated effective 30 June 2019. The Group has paid ` 5,608 crores till 30 June 2019.
` 5,608 crores is payable after one year and ` 1,035 crores is payable in three tranches of ` 345 crores each till 30 July
On 21 September 2020, the Group had announced its intent to acquire through a wholly owned subsidiary, 100% stake in 2021 subject to fulfilment of certain conditions as per agreement. These payables have been fair valued at ` 6,419 crores.
DWS Limited, a leading Australian IT, business and management consulting group for ` 881 crores (AUD 158.20 million)
payable in cash. The Group has paid ` 6,137 crores on 30 June 2020. The Group has also paid two trenches of purchase consideration
amounting to ` 645 crores till 31 March 2021.
The suite of solutions provided by DWS covers, but not limited to, Digital Transformation, IT, Business and Management
Consulting services, Data and Business Analytics, and Robotic Process Automation services. The acquisition has been The Group had earlier acquired certain intellectual property rights (Licensed IPRs) from IBM for some of these products
consummated on 5 January 2021 and Group has paid ` 881 crores. and was carrying these licensed IPRs at an unamortized value of ` 2,950 crores as of 30 June 2019. This amount has been
reduced from Licensed IPRs and included in purchase price.
Total purchase consideration of ` 881 crores has been preliminary allocated based on management estimates to the
acquired assets and liabilities as follows: The purchase price including the fair value of remaining consideration and unamortized value of Licensed IPRs of ` 6,419 crores
and ` 2,950 crores respectively is ` 14,977 crores and has been allocated based on management estimates to the acquired
Amount assets and liabilities as follows:
Net working capital (including cash of ` 50 crores) (31) Amount
Deferred tax liabilities, net (37) Recoverable from IBM (against contract liabilities) 3,490
Borrowings (217) Contract liabilities* (3,517)
Property plant and equipment, net 12 Deferred tax 9
Intangible assets Property plant and equipment and software 2
Intangible assets
Customer relationships 150
Customer related intangibles 6,350
Customer contracts 25
Technology 2,428
Brand 78
Goodwill 6,215
Goodwill 901
Total purchase consideration 14,977
Total purchase consideration 881
*Presented gross of ` 1,626 crores recoverable from IBM with a corresponding contract liability for customer contracts
The resultant goodwill is considered non-tax deductible and has been allocated to the IT & Business Services segment. entered by IBM for these products with service obligation commencing after 30 June 2019.
The acquisition is a step towards enhancing the Group presence in the Australia and New Zealand region. The acquisition
also helps the Group expand its coverage of clients and use the acquired customer base to offer its expanded portfolio of The resultant goodwill was considered tax deductible on the date of acquisition and has been allocated to the Products &
services. Platforms segment. This goodwill is attributable mainly to Group’s ability to upgrade the products and enhance the sale of
products to customers in existing business of the Group and targeting new customers.
The table below shows the values and lives of intangible assets recognized on acquisition:
The table below shows the values and lives of intangible assets recognized on acquisition:
Amount Life (Years) Basis of amortization
Amount Life (Years) Basis of amortization
Customer relationships 150 7 years 6 months In proportion of estimated revenue
Customer related intangibles 6,350 10 In proportion of estimated revenue
Customer contracts 25 6 months In proportion of estimated revenue
On straight line basis over the estimated life
Technology 2,428 7 to 10
Brand 78 5 On straight line basis of the respective products

Total intangible assets 253 Total intangible assets 8,778

Subsequent to the consummation date, the Group received certain revised information from seller which resulted in
The Group is in the process of making a final determination of the fair value of assets and liabilities primarily related to adjustments in the value of assets and liabilities acquired resulting into increase in intangible assets by ` 115 crores with
certain tax matters. corresponding decrease in goodwill by ` 127 crores and increase in net assets by ` 59 crores.

(b) Acquisitions in the previous year (ii) Other acquisitions

(i) Acquisition of Select IBM Software products (a) On 1 April 2019, the Group, through a wholly owned subsidiary, entered into an agreement to acquire 100% shareholding in
a Company in US doing business of digital transformation consulting. The acquisition will enhance Group’s digital consulting
On 7 December 2018, the Group had signed a definitive agreement to acquire business relating to select IBM software offerings with their strong capabilities in digital strategy development, agile program management, business transformation
products for a consideration of ` 12,252 crores. and organizational change management.

The Group has acquired these products for security, marketing, commerce, and digital solutions along with certain assumed
liabilities and in scope employees. With this the Group gets 100% control on the assets being acquired and has also taken
full ownership of the research and development, sales, marketing, delivery and support for these products. Through this
acquisition, the Group intends to enhance its products and platforms offering to customers across a wide range of industries
and markets. IBM will pay the Company for the assumed liabilities as related services are rendered, based on an agreed
basis, fair value of the same has been estimated at ` 3,490 crores.

292 Consolidated Financial Statements 293

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The total purchase price for the acquisition is ` 311 crores and has been paid. Total purchase consideration of ` 311 crores The table below shows the values and lives of intangible assets recognized on acquisition:
has been allocated based on management estimates to the acquired assets and liabilities as follows:
Amount Life (Years)
Amount Customer relationships 30 8.5
Net working capital (including cash of ` 6 crores) 69 Customer contracts 8 1.5
Deferred tax liability (17) Brand 3 2.5
Property plant and equipment and software 3
Non-compete agreement 2 3.0
Intangible assets
Total intangible assets 43
Customer relationships 56
Customer contracts 10 In addition to the purchase consideration, ` 15 crores is payable to certain key employees over a three-year period.
Brand 5 Payment of this amount is in the nature of long term incentive plan to the key employees of the operating entities that
includes retention and performance based bonuses. This consideration is being accounted for as post acquisition employee
Goodwill 185 compensation expense in accordance with Ind AS 103 on “Business combination”.
Total purchase consideration 311
3. Notes to consolidated financial statements
The resultant goodwill is not considered tax deductible and has been allocated to IT & business services segment.
3.1 Property, plant and equipment
The table below shows the values and lives of intangible assets recognized on acquisition:
The changes in the carrying value for the year ended 31 March 2021
Amount Life (Years)
Computers and
Customer relationships 56 9.0 networking Furniture
Freehold Plant and Office Vehicles
Buildings equipment and Total
Customer contracts 10 1.0 land equipment Equipment #
fixtures
Brand 5 2.0 Owned Leased
Total intangible assets 71 Gross block as at 1 April 2020 88 3,159 1,789 363 4,809 - 884 143 11,235

In addition to the purchase consideration, ` 35 crores is payable to certain key employees over a two-year period. Payment Additions - 106 135 27 1,225 - 76 28 1,597
of this amount is in the nature of long term incentive plan to the senior managers of the operating entities that includes Acquisitions through business
retention and performance based bonuses. This consideration is being accounted for as post acquisition employee - - 1 - 8 - 15 - 24
combinations
compensation expense in accordance with Ind AS 103 on “Business combination”.
Disposals 10 1 79 16 758 - 51 27 942
(b) On 10 October 2019, the Group acquired, 100% shareholding of a Company in India, which offers an integrated portfolio
of services and solution to its customers in key semiconductor domains. This acquisition offers an opportunity to combine Translation exchange differences - (1) 13 (1) 94 - 1 - 106
acquiree analog strength with Group digital SOC (System on Chip) expertise to gain market share in Very Large Scale Gross block as at 31 March 2021 78 3,263 1,859 373 5,378 - 925 144 12,020
Integration design services market.
Accumulated depreciation as at
The total purchase price for the acquisition is ` 185 crores. The Group has paid ` 181 crores till 31 March 2021. - 975 1,152 267 2,642 - 637 68 5,741
1 April 2020

Total purchase consideration of ` 185 crores has been allocated based on management estimates to the acquired assets Charge for the year - 161 140 36 985 - 71 26 1,419
and liabilities as follows:
Acquisitions through business
- - 1 - 6 - 4 - 11
Amount combinations
Net working capital (including cash of ` 13 crores) 30 Deduction/other adjustments - - 77 16 680 - 47 23 843
Deferred tax liability (4) Translation exchange differences - - 3 - 46 - 1 - 50
Property plant and equipment and software 35
Accumulated depreciation as at
Intangible assets - 1,136 1,219 287 2,999 - 666 71 6,378
31 March 2021
Customer relationships 30
Net block as at 31 March 2021 78 2,127 640 86 2,379 - 259 73 5,642
Customer contracts 8
Brand 3 Note: Capital work in progress includes ` 18 crores interest on extended interest bearing suppliers credit and during the year
` 6 crores have been capitalized by the Group.
Non-compete agreement 2
Goodwill 81
Total purchase consideration 185
The resultant goodwill is not considered tax deductible and has been allocated to Engineering and R&D services segment.

294 Consolidated Financial Statements 295

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The following table presents the changes in the carrying value of goodwill based on identified CGUs, for the year ended
# Also refer footnote 1 of note 3.13 31 March 2020
The changes in the carrying value for the year ended 31 March 2020 IT and Business Engineering and Products and
Total
Computers and Services R&D services Platforms
netw orking Furniture Opening balance as at 1 April 2019 5,022 2,755 1,284 9,061
Freehold Plant and Office Vehicles
Buildings equipment and Total
land equipment Equipment # Acquisitions through business combinations 185 81 6,342 6,608
fixtures
Owned Leased Measurement period adjustment - - (163) (163)
Gross block as at 1 April 2019 74 2,996 1,692 340 4,222 47 828 127 10,326 Effect of exchange rate changes 400 61 187 648
Closing balance as at 31 March 2020 5,607 2,897 7,650 16,154
Additions - 148 115 43 986 - 58 37 1,387
For the purpose of impairment testing, goodwill acquired in a business combination is allocated to the CGU, which benefit from the
Transition impact of Ind AS 116 - - - - - (47) - - (47) synergies of the acquisition.
Acquisitions through business
14 8 - - 4 - 4 - 30 Goodwill is tested annually on March 31, for impairment, or sooner whenever there is an indication that goodwill may be impaired.
combinations
Impairment is recognized, when the carrying amount of a CGU including the goodwill, exceeds the estimated recoverable amount of
Disposals - - 28 24 519 - 25 21 617 the CGU. The estimated value-in-use of this CGU is based on the future cash flow forecasts for 5 to 8 years & then on perpetuity on
the basis of certain assumptions which include revenue growth, earnings before interest and taxes, taxes, capital outflow and working
Translation exchange differences - 7 10 4 116 - 19 - 156 capital requirement. The assumptions are taken on the basis of past trends and management estimates and judgement. Future cash
flows are discounted with “Weighted Average Cost of Capital”. The key assumptions are as follows:
Gross block as at 31 March 2020 88 3,159 1,789 363 4,809 - 884 143 11,235
As at
Accumulated depreciation as at
- 819 1,040 251 2,277 9 580 57 5,033
1 April 2019 31 March 2021 31 March 2020
Charge for the year - 152 131 38 772 - 68 26 1,187 Growth rate (%) (6.4) to 10.0 (5.0) to 5.0
Terminal growth rate (%) (4.2) to 2.0 (2.2) to 2.0
Transition impact of Ind AS 116 - - - - - (9) - - (9)
Pre-tax discount rate (%) 11.2 to 14.9 10.9 to 15.3
Deduction/other adjustments - - 27 24 476 - 21 15 563
As at 31 March 2021 and 31 March 2020 the estimated recoverable amount of the CGU exceeded its carrying amount and accordingly,
Translation exchange differences - 4 8 2 69 - 10 - 93 no impairment was recognized. An analysis of the sensitivity of the computation to a change in key assumptions based on reasonable
probability did not identify any probable scenario in which the recoverable amount of the CGU would decrease below its carrying amount.
Accumulated depreciation as at
- 975 1,152 267 2,642 - 637 68 5,741
31 March 2020 3.3 Other intangible assets
Net block as at 31 March 2020 88 2,184 637 96 2,167 - 247 75 5,494 The changes in the carrying value for the year ended 31 March 2021
Net block as at 1 April 2019 74 2,177 652 89 1,945 38 248 70 5,293
Intellectual Non-
Licensed Customer Customer
Note: Capital work in progress includes ` 11 crores interest on extended interest bearing suppliers credit and during the year ` 6 crores have Software Technology property compete Total
IPRs relationships contracts
been capitalized by the Group. rights agreements
Gross block as at 1 April 2020 1,502 5,410 7,257 77 2,920 23 6 17,195
# Also refer footnote 1 of note 3.13 Additions 125 597 - 47 - - - 769
Acquisitions through business
3.2 Goodwill - - 239 40 92 78 7 456
combinations
The following table presents the changes in the carrying value of goodwill based on identified CGUs, for the year ended Disposals 727 - - - - - - 727
31 March 2021
Translation exchange differences 6 22 (9) (1) (12) - - 6
Gross block as at 31 March 2021 906 6,029 7,487 163 3,000 101 13 17,699
IT and Business Engineering and Products and
Total Accumulated amortization as at 1
Services R&D services Platforms 1,291 1,441 803 77 371 15 3 4,001
April 2020
Opening balance as at 1 April 2020 5,607 2,897 7,650 16,154 Charge for the year (including
170 708 1,197 48 370 9 2 2,504
Acquisitions through business combinations 901 - 133 1,034 impairment)
Effect of exchange rate changes 87 (19) (64) 4 Deduction 710 - - - - - - 710
Translation exchange differences 4 5 (2) (2) (2) - - 3
Closing balance as at 31 March 2021 6,595 2,878 7,719 17,192
Accumulated amortization and
755 2,154 1,998 123 739 24 5 5,798
impairment as at 31 March 2021
Net block as at 31 March 2021 151 3,875 5,489 40 2,261 77 8 11,901
Estimated remaining useful life
3 12 8 3 8 5 4
(in years)

296 Consolidated Financial Statements 297

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The changes in the carrying value for the year ended 31 March 2020 3.5 Loans
As at
Intellectual Non-
Licensed Customer Customer 31 March 2021 31 March 2020
Software Technology property compete Total
IPRs relationships contracts
rights agreements Current
Gross block as at 1 April 2019 1,316 8,748 755 55 452 13 4 11,343 Carried at amortized cost
Additions 141 74 - - - - - 215 Unsecured , considered good
Acquisitions through business Inter corporate deposits 4,841 3,420
10 - 6,436 18 2,428 8 2 8,902 Loans to employees - 2
combinations
Disposals / other adjustments 4,841 3,422
9 3,432 - - - - - 3,441
(refer note 2(b)(i))
3.6 Other financial assets
Translation exchange differences 44 20 66 4 40 2 - 176
As at
Gross block as at 31 March 2020 1,502 5,410 7,257 77 2,920 23 6 17,195
31 March 2021 31 March 2020
Accumulated amortization as
1,066 1,400 207 55 70 9 2 2,809 Non - current
at 1 April 2019
Carried at amortized cost
Charge for the year 184 517 580 18 291 5 1 1,596
Bank deposits with more than 12 months maturity (refer note below) 1 1
Deduction / other adjustments
1 482 - - - - - 483 Finance lease receivables [refer note 3.28(b)] 1,178 994
(refer note 2(b)(i))
Security deposits 138 138
Translation exchange differences 42 6 16 4 10 1 - 79
Security deposits - related parties (refer note 3.32) 17 19
Accumulated amortization as Unbilled receivable 1,110 1,199
1,291 1,441 803 77 371 15 3 4,001
at 31 March 2020
Other receivable - 22
Net block as at 31 March 2020 211 3,969 6,454 - 2,549 8 3 13,194
2,444 2,373
Net block as at 1 April 2019 250 7,348 548 - 382 4 2 8,534 Carried at fair value through other comprehensive income
Estimated remaining useful life Unrealized gain on derivative financial instruments [refer note 3.29(a)] 125 -
3 13 9 - 9 2 4
(in years) 2,569 2,373
Current
3.4 Investments Carried at amortized cost
As at Unbilled receivable 3,862 3,637
31 March 2021 31 March 2020 Interest receivable 223 253
Financial assets Security deposits 68 77
Non - current Security deposits - related parties (refer note 3.32) 7 4
Unquoted investments Finance lease receivables [refer note 3.28(b)] 1,106 711
Carried at fair value through profit and loss Other receivable 433 1,188
Equity instruments 34 33 5,699 5,870
Investment in limited liability partnership 55 44 Carried at fair value through other comprehensive income
89 77 Unrealized gain on derivative financial instruments [refer note 3.29(a)] 177 2
Current
Carried at fair value through profit and loss
Quoted investments
Unrealized gain on derivative financial instruments [refer note 3.29(a)] 13 65
Carried at fair value through other comprehensive income
5,889 5,937
Investment in debt securities 5,749 3,691
Unquoted investments Note: Pledged with banks as security for guarantees ` 1 crores (31 March 2020, ` 1 crores)
Carried at fair value through profit and loss 3.7 Other non- current assets
Investment in mutual funds 1,024 3,298 As at
6,773 6,989 31 March 2021 31 March 2020
Unsecured, considered good
Total investments - financial assets 6,862 7,066 Capital advances 86 112
Advances other than capital advances
Aggregate amount of quoted investments 5,749 3,691 Security deposits 39 38
Aggregate amount of unquoted investments 1,113 3,375 Others
Market value of quoted investments 5,749 3,691 Prepaid expenses 324 379
Deferred contract cost (refer note 3.19) 1,395 1,297
Investment carried at fair value through other comprehensive income 5,749 3,691 Others 3 3
Investment carried at fair value through profit and loss 1,113 3,375 1,847 1,829

298 Consolidated Financial Statements 299

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.11 Other current assets

3.8 Inventories
As at
As at
31 March 2021 31 March 2020
31 March 2021 31 March 2020 Unsecured , considered good
Stock-in-trade 94 91 Advances other than capital advances
94 91 Security deposits 40 51
Advances to employees 34 37
Advances to suppliers 95 131
3.9 Trade receivables
Others
As at
Deferred contract cost (refer note 3.19) 700 559
31 March 2021 31 March 2020 Prepaid expenses 1,280 1,132
Unsecured, considered good (refer note below) 14,077 14,614 Prepaid expenses - related parties (refer note 3.32) 2 15
Trade receivables - credit impaired 62 51 Contract assets 331 527
14,139 14,665 Goods and service tax receivable 101 79
Other advances 189 186
Impairment allowance for bad and doubtful debts (476) (534)
2,772 2,717
13,663 14,131
Unsecured , considered doubtful
Note: Includes receivables from related parties amounting to ` 7 crores (31 March 2020, ` 5 crores) Advances other than capital advances
Advances to employees 41 76
3.10 Cash and bank balances Other advances 36 15
As at Less: provision for doubtful advances (77) (91)
- -
31 March 2021 31 March 2020
2,772 2,717
(a) Cash and cash equivalents
Balance with banks
3.12 Share capital
- in current accounts 3,438 3,719
As at
- deposits with original maturity of less than 3 months 2,909 839
31 March 2021 31 March 2020
Cheques in hand 2 -
Authorized
Remittances in transit 166 285
3,017,000,000 (31 March 2020, 3,000,000,000) equity shares of ` 2 each 603 600
Unclaimed dividend account 6 5
Issued, subscribed and fully paid up
6,521 4,848
2,713,665,096 (31 March 2020, 2,713,665,096) equity shares of ` 2 each 543 543
Cash and cash equivalents consists of the following for the purpose of the cash flow
Terms / rights attached to equity shares
statement:
The Company has only one class of shares referred to as equity shares having a par value of ` 2/-. Each holder of equity shares is
Cash and cash equivalent 6,521 4,848 entitled to one vote per share.
Bank overdraft (refer note 3.13) - (1,088) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the remaining assets of the
6,521 3,760 Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by
the shareholders.
(b) Other bank balances
Deposits with remaining maturity up to 12 months (refer note below) 2,367 128
Reconciliation of the number of shares outstanding at the beginning and at the end of the financial year
8,888 4,976
As at
Note: Pledged with banks as security for guarantees ` 5 crores (31 March 2020, ` 5 crores)
31 March 2021 31 March 2020
No. of shares ` in Crores No. of shares ` in Crores
Number of shares at the beginning 2,713,665,096 543 1,356,278,868 271.3
Add: Shares issued on exercise of employee stock options - - 553,680 0.1
Add: Bonus shares issued - - 1,356,832,548 271.4
Number of shares at the end 2,713,665,096 543 2,713,665,096 543
The Company does not have any holding / ultimate holding company.

300 Consolidated Financial Statements 301

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Details of shareholders holding more than 5 % shares in the company Non-current Current
As at
As at As at
31 March 2021 31 March 2020
Name of the shareholder 31 March 2021 31 March 2020 31 March 2021 31 March 2020
% holding % holding Short term borrowings
No. of shares No. of shares
in the class in the class
Unsecured
Equity shares of ` 2 each fully paid Bank overdraft (refer note 6 below) - - - 1,088
Vama Sundari Investments (Delhi) Private Limited 1,177,357,190 43.39% 1,172,772,190 43.22%
Term loans from banks (refer note 7 below) - - - 757
HCL Holdings Private Limited 446,662,032 16.46% 446,662,032 16.46%
- - - 1,845
As per the records of the Company, including its register of shareholders/members and other declarations received from shareholders
regarding beneficial interest, the above shareholding represents both legal and beneficial ownership of shares. Note:-
1. The Group has availed term loans of ` 49 crores (31 March 2020, ` 50 crores) secured against gross block of vehicles of ` 129 crores
Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the (31 March 2020, ` 129 crores) at interest rates ranging from 8.05% p.a. to 9.75% p.a. The loans are repayable over a period of 3 to 5
period of five years immediately preceding the reporting date: years on a monthly basis.

As at 2. The Group has outstanding multi-option revolving credit facility of ` 61 crores (31 March 2020, ` Nil) secured against assets of one of its
subsidiary at interest rates of 0.73% p.a. and is repayable on 30 June 2021.
31 March 31 March
2021 2020 3. On 10 March 2021, the Group issued USD 500 million unsecured notes due 2026 (the “notes”) for ` 3,656 crores. The notes bear interest
Aggregate number and class of shares allotted as fully paid up pursuant to contract(s) without 15,563,430 15,563,430 at a rate of 1.375% per annum and will mature on 10 March 2026. Interest on the notes will be paid semi-annually on 10 March and
payment being received in cash Equity shares Equity shares 10 September of each year, commencing from 10 September 2021. The notes are listed on Singapore Exchange Securities Trading
Limited (SGX-ST). The notes were issued at the discount price of 99.510% against par value and have an effective interest rate of 1.58%
1,356,832,548 1,356,832,548 p.a. after considering the issue expenses and discount of ` 35 crores.
Aggregate number and class of shares allotted as fully paid up by way of bonus shares
Equity shares Equity shares
4. An unsecured long term loan of ` 176 crores (31 March 2020, ` 3,194 crores) borrowed from banks at interest rate ranging from 6.95%
71,363,636 71,363,636
Aggregate number and class of shares bought back p.a. to 7.00% p.a. The scheduled principal repayments of loans are as follows:
Equity shares Equity shares

During the previous year ended 31 March 2020, pursuant to the approval of the shareholders through postal ballot (including remote As at
e-voting), the Company has allotted 1,356,832,548 bonus shares of ` 2/- each fully paid-up on 10 December 2019 in the proportion 31 March 2021 31 March 2020
of 1 equity share for every 1 equity share of ` 2/- each held by the equity shareholders of the Company as on the record date of
Within one year - 378
7 December 2019. Consequently the Company capitalized a sum of ` 271 crores from “retained earnings”.
One to two years 45 272
During the current year, pursuant to the Scheme of amalgamation effective 13 July 2020 between the Company and its four wholly Two to three years 121 2,404
owned subsidiaries, the authorised shares of the erstwhile transferor companies have been clubbed with the authorised shares of
Three to five years 10 140
the Company. Consequently, as of 31 March 2021, the authorised share capital of the Company has increased to 3,017,000,000
equity shares of face value of ` 2 each. 176 3,194

Capital management 5. The other loan of ` Nil (31 March 2020, ` 3 crores) represents long term loan taken for purchase of plant and equipment at interest rates
of 0% p.a. was repaid during the year ended 31 March 2021.
The primary objective of the Group’s capital management is to support business continuity and growth of the company while
maximizing the shareholder value. The Group has been declaring quarterly dividend for last 18 years. The Group determines the 6. Current borrowings were primarily on account of bank overdrafts required for management of working capital at interest rate ranging from
capital requirement based on annual operating plans and long-term and other strategic investment plans. The funding requirements 1% p.a. to 6.85% p.a. which were repayable on demand.
have been generally met through operating cash flows generated. The Company have also resorted to borrowing to meet local 7. Unsecured short term loan of ` Nil (31 March 2020, ` 757 crores) borrowed from banks at interest rate of 1.72% p.a. was repaid during
funding requirements in certain foreign subsidiaries. the year ended 31 March 2021.

3.13 Borrowings 3.14 Other financial liabilities

Non-current Current As at
As at As at 31 March 2021 31 March 2020
Non - current
31 March 2021 31 March 2020 31 March 2021 31 March 2020
Carried at amortized cost
Long term borrowings
Employee bonuses accrued 47 127
Secured Capital accounts payables 475 94
Term loans from banks (refer note 1 and 2 below) 31 32 79 18 Deferred consideration - 365
Unsecured 522 586
Senior notes (refer note 3 below) 3,621 - - - Carried at fair value through other comprehensive income
Term loans from banks (refer note 4 below) 176 2,816 - 378 Unrealized loss on derivative financial instruments [refer note 3.29(a)] - 218

Other loans (refer note 5 below) - - - 3

Carried at fair value through profit and loss
3,828 2,848 79 399
Liability towards non-controlling interest 451 390
Current maturities of long term borrowings disclosed 451 390
- - (79) (399)
under Note 3.14 “Other financial liabilities”
973 1,194
3,828 2,848 - -

302 Consolidated Financial Statements 303

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

As at 3.16 Other non-current liabilities

31 March 2021 31 March 2020 As at
Current 31 March 2021 31 March 2020
Carried at amortized cost Contract liabilities (refer note 3.19) 516 373
Current maturities of long term borrowings 79 399 Others 29 26
Interest accrued but not due on borrowings 4 16 545 399
Unclaimed dividends 6 5
Deferred consideration 363 6,486 3.17 Trade payables
Accrued salaries and benefits
As at
Employee bonuses accrued 2,131 1,519
31 March 2021 31 March 2020
Other employee costs 1,171 981
Trade payables 1,726 1,163
Others
Trade payables-related parties (refer note 3.32) - 3
Liabilities for expenses 3,944 3,720
1,726 1,166
Liabilities for expenses-related parties (refer note 3.32) 11 23
Capital accounts payables [includes supplier credit ` 19 crores
634 640 3.18 Other current liabilities
(31 March 2020, ` 123 crores)]
Capital accounts payables-related parties [includes supplier credit ` Nil As at
- 1
(31 March 2020, ` 1 crores)] (refer note 3.32) 31 March 2021 31 March 2020
Supplier credit 16 165 Contract liabilities (refer note 3.19) 3,076 2,697
Supplier credit-related parties (refer note 3.32) 4 167 Contract liabilities-related parties (refer note 3.19 and 3.32) 2 2
Book overdraft - 4 Other advances
Other payables 24 22 Advances received from customers 320 252
8,387 14,148 Others
Carried at fair value through other comprehensive income Withholding and other taxes payable 901 938
Unrealized loss on derivative financial instruments [refer note 3.29(a)] - 136 4,299 3,889

Carried at fair value through profit and loss 3.19 Revenue from operations
Unrealized loss on derivative financial instruments [refer note 3.29(a)] 2 17 Year ended
Contingent consideration - 6 31 March 2021 31 March 2020
Liability towards non-controlling interest 32 33 Sale of services 73,272 68,711
34 56 Sale of hardware and software 2,107 1,965
8,421 14,340 75,379 70,676

Disaggregate revenue information

3.15 Provisions
The disaggregated revenue from contracts with the customers by contract type is as follows:
As at
Year ended
31 March 2021 31 March 2020
31 March 2021 31 March 2020
Non-current
Fixed price 50,942 47,037
Provision for employee benefits
Time and material 24,437 23,639
Provision for gratuity (refer note 3.31) 622 520 75,379 70,676
Provision for pension (refer note 3.31) 117 -
Provision for leave benefits 591 487 Of the above fixed price revenue, IT and Business Services, accounts for 72% (previous year 74%) and Products & Platforms
accounts for 20% (previous year 17%) and Engineering and R&D services accounts for 8% (previous year 9%). For time and material
Provision for provident fund liabilities (refer note 3.31) 3 41 revenue, IT and Business Services accounts for 68% (previous year 68%) and Engineering and R&D Services accounts for 32%
1,333 1,048 (previous year 32%).
Current
Revenue disaggregation as per geography has been included in segment information (Refer note 3.30).
Provision for employee benefits
Provision for gratuity (refer note 3.31) 122 88 Remaining performance obligations
Provision for pension (refer note 3.31) 2 - As at 31 March 2021, the aggregate amount of transaction price allocated to remaining performance obligations as per the requirements
Provision for leave benefits 839 618 of Ind AS 115 was ` 73,973 crores (31 March 2020, ` 66,699 crores) out of which, approximately 38% (31 March 2020, 36%) is
963 706 expected to be recognized as revenues within one year and the balance beyond one year. This is after exclusions as below:

(a) Contracts for which we recognize revenues based on the right to invoice for services performed,

304 Consolidated Financial Statements 305

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(b) Variable consideration allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to 3.20 Other income
transfer a distinct good or service that forms part of a single performance obligation, or Year ended
(c) Variable consideration in the form of a sales-based or usage-based royalty promised in exchange for a license of intellectual 31 March 2021 31 March 2020
property. Interest income
- On investments carried at fair value through other comprehensive income 190 156
Contract balances
- On other financial instruments carried at amortized cost 454 292
Contract assets : A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract - On income tax refund 1 11
assets are recognized where there is excess of revenue over the billings. Revenue recognized but not billed to customers is classified - On others 3 7
either as contract assets or unbilled receivable in our consolidated balance sheet. Contract assets primarily relate to unbilled amounts Profit on sale of investments carried at fair value through other comprehensive income 3 16
on fixed price contracts using the cost to cost method of revenue recognition. Unbilled receivables represents contracts where right
to consideration is unconditional (i.e. only the passage of time is required before the payment is due). Income on investments carried at fair value through profit and loss
- Unrealized gains (loss) on fair value changes on mutual funds (18) 14
Out of ` 331 crores contract assets as on 31 March 2021, ` 1 crore pertains to the period prior to 31 March 2020 and the balance - Profit on sale of mutual funds 110 109
pertains to current year.
- Share of profit in limited liability partnership 10 1
- Unrealized (loss) on fair value changes on equity instruments (5) (30)
Contract liabilities : A contract liability arises when there is excess billing over the revenue recognized.
Profit on sale of property, plant and equipments (refer note below) 102 -
The below table discloses the movement in balances of contract liabilities : Exchange differences (net) 46 -
Year ended Miscellaneous income 31 13
31 March 2021 31 March 2020 927 589
Balance as at beginning of the year 3,072 1,266 Note : Net of loss on sale of property, plant and equipments of ` 12 crores (previous year ` 4 crores)
Additional amounts billed but not recognized as revenue 1,950 2,192
3.21 Changes in inventories of stock-in-trade
Deduction on account of revenues recognized during the year (1,504) (2,389)
Addition on account of acquisitions 66 1,891 Year ended
Effect of exchange fluctuations 10 112 31 March 2021 31 March 2020
Balance as at end of the year 3,594 3,072
Opening stock 91 91
Deferred contract cost : Deferred contract cost primarily represents the contract fulfilment cost and cost for obtaining the contract. Less : Closing stock 94 91
The below table discloses the movement in balance of deferred contract cost: (3) -

Year ended 3.22 Employee benefits expense

31 March 2021 31 March 2020
Year ended
Balance as at beginning of the year 1,856 1,230
31 March 2021 31 March 2020
Additional cost capitalised during the year 860 946
Deduction on account of cost amortised during the year (605) (404) Salaries, wages and bonus (refer note below) 34,090 30,599
Effect of exchange fluctuations (16) 84 Contribution to provident fund and other employee funds 4,574 4,185
Balance as at end of the year 2,095 1,856 Staff welfare expenses 189 144
38,853 34,928
Reconciliation of revenue recognised with the contracted price is as follows:
Note : Employee benefit expenses for the year ended 31 March 2021 include ` 728 crores, being the one-time special bonus paid to
Year ended employees in recognition of the Group achieving the $10 billion revenue mark in the year ended 31 March 2021.
31 March 2021 31 March 2020
Contracted price 75,939 70,969 3.23 Finance costs
Reduction towards variable consideration components (560) (293) Year ended
Revenue recognised 75,379 70,676
31 March 2021 31 March 2020
The reduction towards variable consideration comprises of volume discounts, service level credits, etc.
Interest
-on loans from banks 124 133
-on senior notes 4 -
-on the lease liability 116 118
-on direct taxes 54 23
-others 78 166
Fair value changes on liabilities carried at fair value through profit and loss 109 44
Bank charges 26 21
511 505

306 Consolidated Financial Statements 307

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.24 Other expenses The reconciliation between the Group’s provision for income tax and amount computed by applying the statutory income tax rate in
India is as follows:
Year ended
Year ended
31 March 2021 31 March 2020
31 March 2021 31 March 2020
Rent (refer note 3.28) 83 99 Profit before income tax 15,853 13,980
Power and fuel 275 307 Statutory tax rate in India 34.94% 34.94%
Insurance 105 85 Expected tax expense 5,540 4,885

Repairs and maintenance Non-taxable export income (1,650) (1,873)

Non-taxable other income (42) (33)
- Plant and equipment 109 129
Reduction in deferred tax liabilities due to change in tax rate in India - (32)
- Buildings 87 126
Reversal of certain tax positions on judicial pronouncement (223) -
- Others 448 467
Provision (reversal) of prior year provision 26 (183)
Communication costs 457 364 Differences between Indian and foreign tax rates (338) (213)
Travel and conveyance 362 1,849 Deferred tax liability on Goodwill which ceased to be tax amortizable pursuant to
1,222 -
amendments in the Finance Act, 2021 *
Legal and professional charges 597 553
Amortization of goodwill and intangibles on acquisition of certain software products
- 261
Software license fee 1,071 902 from IBM relating to tax exempt units

Rates and taxes 77 100 Others (net) 149 111

Total taxes 4,684 2,923
Expenditure toward corporate social responsibility activities 197 178
Effective income tax rate 29.54% 20.91%
Provision for doubtful debts / bad debts written off 19 200
* Pursuant to a recent tax law amendment in India (enacted on 28 March 2021), the tax amortizable goodwill has become non-tax
Exchange differences (net) - 15
amortizable from financial year ending 31 March 2021. The amended law states that goodwill of a business or profession will not be
Change in non controlling interest (refer note 3.35) - 40 considered as a depreciable asset and no depreciation on goodwill will be allowed from 1 April 2020.

Miscellaneous expenses 738 782 In India, the company has benefited from certain tax incentives that the Government of India has provided for the units situated in
Special Economic Zones (SEZs) under the Special Economic Zone Act, 2005, which began providing services on or after 1 April 2005.
4,625 6,196 The eligible units are eligible for a deduction of 100% of profits or gains derived from the export of services for the first five years
from commencement of provision of services and 50% of such profits and gains for a further five years. Certain tax benefits are also
available for a further five years subject to the unit meeting defined conditions. The aforesaid tax benefits will not be available to units
3.25 Income taxes commencing operations after 31 March 2021.
Year ended The Company and its subsidiaries in India are subject to Minimum Alternate Tax (MAT) on its book profits, which gives rise to future
31 March 2021 31 March 2020 economic benefits in the form of adjustment of future income tax liability. MAT paid for a year can be set-off against the normal tax
liability within fifteen subsequent years, expiring between the years 2023 to 2035.
Income tax charged to statement of profit and loss
In India, Corporate taxpayers can opt for a specified lower tax rate in lieu of current applicable tax rate subject to taxpayers not
Current income tax charge 3,719 2,821 claiming any specified tax incentives including tax incentives available to special economic zone units and carryover of unutilized
Deferred tax charge 965 102 MAT credit (‘new tax regime’). The Company intends to opt for new tax regime from the year in which tax payable under the new tax
regime is lower than the existing tax regime (net of any outstanding MAT credit entitlement).
4,684 2,923
Income tax charged to other comprehensive income The tax returns are subject to examination by the tax authorities in the jurisdictions where the Group conducts business. The Group’s
two major tax jurisdictions are India and USA. The tax examination is open in India for annual year beginning 1 April 2016 onwards
Expense (benefit) on re-measurements of defined benefit plans 10 (18) and in USA for annual year beginning 1 April 2017 onwards. The examination may result in assessment of additional taxes that
Expense (benefit) on revaluation of cash flow hedges 165 (103) are resolved with the authorities or through legal proceedings. The Company has significant intercompany transactions with its
subsidiaries. It has filed application for bilateral advance pricing agreements in certain jurisdictions to gain certainty for its transfer
Expense (benefit) on unrealized gain on debt instruments 13 (2) pricing arrangement with its subsidiaries. Resolution of these matters involves some degree of uncertainty; accordingly, the Group
188 (123) recognizes income tax liability that it believes will ultimately result from the proceedings.

308 Consolidated Financial Statements 309

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Components of deferred tax assets and liabilities as on 31 March 2021

The Company’s subsidiaries have recognized deferred tax assets on carry forward business losses which can be utilized against
Recognised Recognized profits within the limit and carryover period permitted under laws of respective jurisdictions. Deferred tax assets primarily related to
Recognized carried forward losses and other temporary differences for certain subsidiaries amounting to ` 110 crores was not recognized as per
Opening in / Acquisitions/ directly in Exchange Closing
in profit and applicable accounting standards. These tax losses can be carried forward for an indefinite period except for tax losses amounting to
balance reclassified De- consolidation equity against difference balance
loss ` 22 crore in Indian subsidiary which will expire by 31 March 2029.
from OCI tax liability
Business losses 63 (28) - 4 - (1) 38 Above table represent the Gross deferred tax assets and liabilities. Amounts of deferred tax assets and liabilities presented in
MAT credit entitlement 2,343 (91) - - - 1 2,253 statement of consolidated balance sheet has been offset, wherever the Group has legally enforceable right and is related to same
Provision for doubtful debts 123 3 - 1 - - 127 taxable authority.
Accrued employee costs 609 333 (10) 23 - (4) 951
Undistributed earnings of the subsidiaries aggregate approximately ` 14,245 crores (31 March 2020, ` 11,759 crores). The Group
Unrealized loss on derivative has the intent to reinvest the undistributed foreign earning indefinitely in its significant overseas operations or repatriate only to
67 - (67) - - - -
financial instruments the extent these can be distributed in a tax free manner. Consequently, the Company did not record a deferred tax liability on the
Property, plant and equipment 41 (23) - - - 1 19 undistributed earnings.
Others 242 183 - 12 - (6) 431
3.26 Components of other comprehensive income attributable to shareholders of the Company
Gross deferred tax assets (A) 3,488 377 (77) 40 - (9) 3,819
Property, plant and equipment 157 6 - - - (2) 161 Year ended
Unrealized gain on derivative 31 March 2021 31 March 2020
- - 98 - - - 98
financial instruments
A Items that will not be reclassified to statement of profit and loss
Intangibles and goodwill 1,011 1,265 - 76 - - 2,352
Retained earnings (Actuarial gain relating to defined benefit plans)
Others 90 71 13 1 - (1) 174
Gross deferred tax liabilities (B) 1,258 1,342 111 77 - (3) 2,785 Opening balance (net of tax) (29) 38
Net deferred tax assets (A-B) 2,230 (965) (188) (37) - (6) 1,034 Actuarial gains 33 (85)
Income tax expense (10) 18
Components of deferred tax assets and liabilities as on 31 March 2020 Closing balance (net of tax) (6) (29)
Recognised Recognized B Items that will be reclassified subsequently to statement of profit and loss
Recognized
Opening in / directly in Exchange Closing Foreign currency translation reserve
in profit and Acquisitions
balance reclassified equity against difference balance
loss Opening balance 2,513 1,497
from OCI tax liability
Business losses 61 (5) - 1 - 6 63 Foreign currency translation 222 1,027
MAT credit entitlement 2,003 338 - - - 2 2,343 Attributable to non controlling interest 5 (11)
Provision for doubtful debts 91 32 - - - - 123 Closing balance 2,740 2,513
Accrued employee costs 476 104 7 2 - 20 609 Cash flow hedging reserve
Unrealized loss on derivative Opening balance (net of tax) (307) 171
- - 67 - - - 67
financial instruments
Unrealized gains (losses) 584 (446)
Property, plant and equipment 27 (11) - 24 - 1 41
Reclassification adjustments into other (income) expense, net 71 (135)
Employee stock compensation 7 (1) - - (6) - -
Income tax benefit (expense) (165) 103
Others 210 21 - 4 - 7 242
Closing balance (net of tax) 183 (307)
Gross deferred tax assets (A) 2,875 478 74 31 (6) 36 3,488
Unrealized gain on debt instruments
Property, plant and equipment 197 (49) - - - 9 157
Opening balance (net of tax) (1) 2
Unrealized gain on derivative
36 - (36) - - - - Unrealized gains (losses) 36 (5)
financial instruments
Intangibles and goodwill 272 674 - 44 - 21 1,011 Income tax benefit (expense) (13) 2
Others 141 (45) (13) - - 7 90 Closing balance (net of tax) 22 (1)
Gross deferred tax liabilities (B) 646 580 (49) 44 - 37 1,258 TOTAL (B) 2,945 2,205
Net deferred tax assets (A-B) 2,229 (102) 123 (13) (6) (1) 2,230

310 Consolidated Financial Statements 311

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.27 Earnings Per Share The following table presents a maturity analysis of expected undiscounted cash flows for lease liabilities:
The computation of earnings per share is as follows:
As at
Year ended
31 March 2021 31 March 2020
31 March 2021 31 March 2020
Profit for the year attributable to shareholders of the Company 11,145 11,057 Within one year 794 840
Weighted average number of equity shares outstanding in calculating Basic EPS 2,713,665,096 2,713,085,729 One to two years 685 717
Dilutive effect of stock options outstanding - 579,367 Two to three years 523 576
Weighted average number of equity shares outstanding in calculating diluted EPS 2,713,665,096 2,713,665,096 Three to five years 552 658
Nominal value of equity shares (in `) 2 2
Thereafter 363 533
Earnings per equity share (in `)
Total lease payments 2,917 3,324
- Basic 41.07 40.75
- Diluted 41.07 40.75 Imputed interest (323) (430)
Total lease liabilities 2,594 2,894
3.28 Leases Certain lease agreements include options to terminate or extend the leases. The lease agreements do not contain any material
(a) Group as a lessee residual value guarantees or material restrictive covenants.
The Group’s significant leasing arrangements are in respect of leases for office spaces, accommodation for its employees, (b) Group as a lessor
leasehold land and IT equipments.
The details of the right-of-use asset held by the Group is as follows: The Group has given IT equipments to its customers on a finance lease basis. The future lease receivables in respect of assets
given on finance lease are as follows:
Computers and
Leasehold
Buildings networking Total Interest included Present value
land Total minimum
equipment in minimum of minimum
lease payments
Balance as at 1 April 2019 - - - - lease payments lease payments
receivable
receivable receivable
Transition impact of Ind AS 116 285 1,900 188 2,373
Depreciation charge for the year (4) (542) (91) (637) As at 31 March 2021
Additions - 877 22 899 Not later than one year 1,161 55 1,106
Acquisitions through business combinations - 12 - 12 Later than one year and not later than 5 years 1,223 48 1,175
Derecognition - (64) - (64)
Later than 5 years 3 - 3
Translation exchange differences - 63 2 65
2,387 103 2,284
Balance as at 31 March 2020 281 2,246 121 2,648
Balance as at 1 April 2020 281 2,246 121 2,648 As at 31 March 2020

Depreciation charge for the year (3) (606) (79) (688) Not later than one year 759 48 711
Additions - 396 95 491 Later than one year and not later than 5 years 1,046 52 994
Acquisitions through business combinations - 24 2 26 1,805 100 1,705
Derecognition - (83) - (83)
Translation exchange differences - 6 10 16 3.29 Financial instruments
Balance as at 31 March 2021 278 1,983 149 2,410 (a) Derivatives

The Group is exposed to foreign currency fluctuations on assets / liabilities and forecasted cash flows denominated in foreign
The reconciliation of lease liabilities is as follows:
currency and interest rate fluctuation risk on indebtedness. The use of derivatives to hedge the risk is governed by the Group’s
Year ended strategy, which provides principles on the use of such forward contracts, currency options and interest rate swaps consistent with
31 March 2021 31 March 2020 the Group’s risk management policy. The counterparties in these derivative instruments are banks and the Group considers the
Balance as at beginning of the year 2,894 - risks of non-performance by the counterparties as insignificant. The Group has entered into a series of foreign exchange forward
contracts, options and interest rate swaps that are designated as cash flow hedges and the related forecasted transactions
Transition impact of Ind AS 116 - 2,330 extend through July 2025. The Group does not use these derivative instruments for speculative purposes.
Additions 632 1,275
Amounts recognized in statement of profit and loss as interest expense 116 118
Payment of lease liabilities (1,016) (866)
Acquisitions through business combinations 29 12
Derecognition (79) (56)
Translation exchange differences 18 81
Balance as at end of the year 2,594 2,894

The lease rental expense relating to short-term leases recognized in the statement of profit and loss for the year amounted to
` 83 crores (previous year, ` 99 crores).

312 Consolidated Financial Statements 313

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The following table presents the aggregate notional principal amounts of the outstanding derivative instruments together with the The following table presents the aggregate notional principal amounts of the outstanding forward options together with the
related balance sheet exposure: related balance sheet exposure:

Notional principal amounts Balance sheet exposure Notional principal amounts Balance sheet exposure
Foreign exchange forward Notional Notional (amount in thousands) Asset (Liability) (`)
(amount in thousands) Asset (Liability) (`)
denominated in Currency Currency
31 March 2021 31 March 2020 31 March 2021 31 March 2020 31 March 2021 31 March 2020 31 March 2021 31 March 2020
Sell covers Range Forward (Sell covers)
USD / INR USD 1,012,387 787,370 165 (272) USD / INR USD 606,870 637,982 85 (96)
GBP / INR GBP 56,300 40,540 (5) 2 GBP / INR GBP 12,000 15,750 - 4
EUR / INR EUR 117,000 79,000 44 27 EUR / INR EUR 13,500 36,530 3 3
CHF / INR CHF 24,500 35,500 12 (6) AUD / INR AUD - 8,500 - 3
SEK / INR SEK - 15,000 - 2
SEK / INR SEK 560,000 110,000 9 4
EUR / USD EUR - 2,300 - -
AUD / INR AUD 113,288 16,000 (9) 9
Seagull (Sell covers)
NOK / INR NOK 115,000 60,000 (4) 8
EUR / INR EUR 8,000 - 2 -
CAD / INR CAD 23,500 23,000 (2) 5
GBP / USD GBP - 6,750 - 1
JPY / INR JPY 2,075,000 1,910,000 13 (1) EUR / USD EUR - 8,300 - -
NZD / INR NZD 2,165 - 1 - Seagull (Buy covers)
SGD / INR SGD 7,691 - 1 - USD / INR USD - 143,500 - 32
EUR / USD EUR 20,250 57,300 1 2 90 (51)
GBP / USD GBP - 95,650 - 7 The following table presents the aggregate notional principal amounts of the outstanding interest rate swaps together with the
SGD / USD SGD 2,300 - - - related balance sheet exposure:
MXN / USD MXN 257,000 505,861 (1) 10
Notional principal amounts Balance sheet exposure
JPY / USD JPY - 870,000 - - Notional (amount in thousands) Asset (Liability) (`)
RUB / USD RUB 149,500 290,000 - 6 Currency
31 March 2021 31 March 2020 31 March 2021 31 March 2020
AUD / USD AUD 80,400 4,250 1 1
Interest rate swap (floating to fixed) USD - 255,000 - (54)
CHF / USD CHF - 17,391 - 1 - (54)
ZAR / USD ZAR 159,217 118,000 (1) 6
The notional amount is a key element of derivative financial instrument agreements. However, notional amounts do not represent
PLN / USD PLN 11,000 30,200 - 2 the amount exchanged by counterparties and do not measure the Group’s exposure to credit risk as these contracts are settled
IDR / USD IDR 23,200,000 - - - at their fair values at the maturity date.
RON / USD RON 30,000 - - - The balance sheet exposure denotes the fair values of these contracts at the reporting date and is presented in ` crores. The
CNY / USD CNY 157,000 79,000 - 1 Group presents its foreign exchange derivative instruments on a net basis in the consolidated financial statements due to the
right of offset by its individual counterparties under master netting agreements.
NZD / USD NZD 17,350 1,551 - -
BRL / USD BRL 80,000 81,000 (2) 17 The fair value of the derivative instruments presented on a gross basis as at each date indicated below is as follows:
Buy covers As at 31 March 2021
ILS / USD ILS 8,074 - - - Financial assets Financial liabilities Total
JPY / USD JPY 1,255,000 1,590,000 (1) (1) Current Non current Current Non current fair value
SEK / USD SEK 419,000 385,000 (1) (12) Derivatives designated as hedging
CAD / USD CAD 40,750 25,500 - (7) instruments
BGN / USD BGN 8,850 - - - Foreign exchange contracts in an
196 139 19 14 368
asset position
GBP / USD GBP 16,350 34,000 - -
Foreign exchange contracts in an
EUR / USD EUR 8,000 16,500 - (1) (19) (14) (19) (14) (66)
liability position
AUD / USD AUD 3,400 - - - Net asset (liability) 177 125 - - 302
CZK / USD CZK 50,000 200,100 - (3) Derivatives not designated as
CHF / USD CHF 11,515 1,000 - - hedging instruments
DKK / USD DKK 89,500 79,500 - 1 Foreign exchange contracts in an
20 - 7 - 27
asset position
SGD / USD SGD 21,950 40,700 - (3)
Foreign exchange contracts in an
NOK / USD NOK 247,500 202,000 2 (2) (7) - (9) - (16)
liability position
ZAR / USD ZAR - 35,000 - -
Net asset (liability) 13 - (2) - 11
PHP / USD PHP 500,000 275,000 - -
Total Derivatives at fair value 190 125 (2) - 313
223 (199)

314 Consolidated Financial Statements 315

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The following table summarizes the activities in the consolidated statement of profit and loss:
As at 31 March 2020
Financial assets Financial liabilities Total Year ended
Current Non current Current Non current fair value 31 March 2021 31 March 2020
Derivatives designated as hedging Derivatives in hedging relationships
instruments
Effective portion of gain or (loss) recognized in OCI on derivatives 584 (446)
Foreign exchange contracts in an
57 22 55 22 156
asset position Effective portion of gain or (loss) reclassified from OCI into statement of profit and
(11) 135
Foreign exchange contracts in an loss as “exchange differences”
(55) (22) (178) (199) (454)
liability position
Effective portion of gain or (loss) reclassified from OCI into statement of profit and
Interest rate swaps in an liability (60) -
- - (13) (41) (54) loss as “finance cost”
position
Derivatives not in hedging relationships
Net asset (liability) 2 - (136) (218) (352)
Derivatives not designated as Gain or (loss) recognized into statement of profit and loss as “exchange differences” 282 22
hedging instruments
Foreign exchange contracts in an The following table summarizes the activity in the accumulated ‘Other comprehensive income’ within equity related to all
95 - 30 - 125 derivatives classified as cash flow hedges:
asset position
Foreign exchange contracts in an Year ended
(30) - (47) - (77)
liability position
31 March 2021 31 March 2020
Net asset (liability) 65 - (17) - 48
(Loss) gain as at the beginning of the year (374) 207
Total Derivatives at fair value 67 - (153) (218) (304)
Unrealized gain (loss) on cash flow hedging derivatives during the year 584 (446)

The following tables set forth the fair value of derivative instruments included in the consolidated balance sheets as at each date Net loss (gain) reclassified into net income on occurrence of hedged transactions 71 (135)
indicated: Gain (loss) as at the end of the year 281 (374)
As at Deferred tax asset (liability) (98) 67
31 March 2021 31 March 2020 Cash flow hedging reserve (net of tax) 183 (307)
Derivatives designated as hedging instruments
The estimated net amount of existing gain that is expected to be reclassified into the statement of profit and loss within the next
Unrealized gain on financial instruments classified under current assets 177 2 twelve months is ` 158 crores (previous year loss of ` 153 crores).
Unrealized gain on financial instruments classified under non-current assets 125 -
(b) Financial assets and liabilities
Unrealized loss on financial instruments classified under current liabilities - (136)
The carrying value of financial instruments by categories as at 31 March 2021 is as follows:
Unrealized loss on financial instruments classified under non-current liabilities - (218)
302 (352) Fair value
Fair value through Total
Derivatives not designated as hedging instruments Amortized
through other carrying
cost
Unrealized gain on financial instruments classified under current assets 13 65 profit and loss comprehensive value
income
Unrealized loss on financial instruments classified under current liabilities (2) (17)
Financial assets
11 48
Investments 1,113 5,749 - 6,862
Trade receivables - - 13,663 13,663
Maturity profile of derivative liabilities based on contractual payments is as below:
Cash and cash equivalents - - 6,521 6,521
As at
Other bank balances - - 2,367 2,367
31 March 2021 31 March 2020
Loans - - 4,841 4,841
Within one year 2 153
Others (refer note 3.6) 13 302 8,143 8,458
One to two years - 128
Total 1,126 6,051 35,535 42,712
Two to three years - 79
Financial liabilities
Three to five years - 11
Borrowings - - 3,828 3,828
2 371
Trade payables - - 1,726 1,726
Lease liabilities - - 2,594 2,594
Others (refer note 3.14) 485 - 8,909 9,394
Total 485 - 17,057 17,542

316 Consolidated Financial Statements 317

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The carrying value of financial instruments by categories as at 31 March 2020 is as follows: The following table discloses the assets and liabilities measured at fair value on a recurring basis as at 31 March 2020 and the
basis for that measurement:
Fair value
Fair value Total
through other Amortized Fair Value Level 1 inputs Level 2 inputs Level 3 inputs
through carrying
comprehensive cost
profit and loss value Assets
income
Financial assets Investments carried at fair value through profit and loss 3,375 3,298 - 77
Investments 3,375 3,691 - 7,066 Investments carried at fair value through other
3,691 - 3,691 -
comprehensive income
Trade receivables - - 14,131 14,131
Unrealized gain on derivative financial instruments 67 - 67 -
Cash and cash equivalents - - 4,848 4,848
Liabilities
Other bank balances - - 128 128
Unrealized loss on derivative financial instruments 371 - 371 -
Loans - - 3,422 3,422
Liability towards non-controlling interest 423 - - 423
Others (refer note 3.6) 65 2 8,243 8,310
Contingent consideration 6 - - 6
Total 3,440 3,693 30,772 37,905
Financial liabilities Valuation Methodologies
Borrowings - - 4,693 4,693 Investments: The Group’s investments consist of investment in debt linked mutual funds which are determined using quoted
Trade payables - - 1,166 1,166 prices or identical quoted prices of assets or liabilities in active markets and are classified as Level 1. Fair value of corporate debt
securities is determined using observable markets’ inputs and is classified as Level 2.
Lease liabilities - - 2,894 2,894
Others (refer note 3.14) 446 354 14,734 15,534 Investments in unquoted equity shares and limited liability partnerships are classified as fair value through profit and loss and
is classified as Level 3. The re-measurement is calculated using unobservable inputs based on the Group’s own assessment of
Total 446 354 23,487 24,287 third party valuations and respective company’s financial performance.

Derivative financial instruments: The Group’s derivative financial instruments consist of foreign currency forward exchange
Transfer of financial assets contracts, options and interest rate swaps. Fair values for derivative financial instruments are based on broker quotations and
The Group has revolving accounts receivables based facilities of ` 2,332 crores (USD 319 million) permitting it to sell certain are classified as Level 2.
accounts receivables to banks on a non-recourse basis in the normal course of business. The aggregate maximum capacity
utilized by the Group at any time during the year was ` 718 crores (previous year, ` 912 crores). Outstanding utilization against Liability towards non-controlling interest: As part of the acquisition of “Actian Corporation” on 17 July 2018, joint venturer
this facility as of 31 March 2021 is ` 56 crores (31 March 2020, ` 478 crores). “Sumeru Equity Partners” (SEP) contributed ` 276 crores in form of preferred stock qualified as “compound financial instrument”
(equity and financial liability) in the books of joint venture company controlled by the Group, carrying 11% cumulative dividend
During the year ended 31 March 2021, the Group has also sold finance lease receivables of ` 307 crores (previous year, rights with participating dividend rights, conversion rights into equity, voting rights and has a put option, after the expiry of
` 394 crores) on non-recourse basis and re-purchased finance lease receivables of ` 504 crores (previous year, ` Nil). Gains or 3 years to require the Group to repurchase all the stake owned by SEP at a price dependent upon performance of the acquiree.
losses on the sale and re-purchase are recorded at the time of transfers of these receivables and are immaterial. The Group has The Group also have a call option to purchase all stake held by SEP after the expiry of 4.5 years at a price dependent upon the
immaterial outstanding service obligations. performance of the acquiree. The initial contribution by SEP of ` 276 crores, including the value of options was fair valued at
` 453 crores was recorded as non-controlling interest of ` 96 crores and financial liability at fair value through profit and loss of
` 357 crores. The financial liability is initially and subsequently re-measured based on independent third party valuation using
Fair value hierarchy
“Monte Carlo Simulation” methodology. Change in significant unobservable input of volatility in the valuation by 500 bps does
The assets and liabilities measured at fair value on a recurring basis as at 31 March 2021 and the basis for that measurement not have a significant impact on the carrying value of the liability in the financial statement.
is as below:
Fair value of earn-out consideration: The fair value measurement of earn-out consideration is determined using Level 3
Fair Value Level 1 inputs Level 2 inputs Level 3 inputs inputs. The Group earn-out consideration represents a component of the total purchase consideration for its various acquisitions.
Assets The measurement is calculated using unobservable inputs based on the Group’s own assessment of achievement of certain
performance goals.
Investments carried at fair value through profit and loss 1,113 1,024 - 89
Investments carried at fair value through other The Group assessed that fair value of cash and short-term deposits, trade receivables, trade payables, bank overdrafts and
5,749 - 5,749 - other current liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.
comprehensive income
Unrealized gain on derivative financial instruments 315 - 315 -
Liabilities
Unrealized loss on derivative financial instruments 2 - 2 -
Liability towards non-controlling interest 483 - - 483
There have been no transfers between Level 1 and Level 2 during the year.

318 Consolidated Financial Statements 319

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

The following table discloses reconciliation of financial assets and liabilities categorised within Level 3 of the fair value hierarchy: (ii) Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes
Investment in
in market interest rates. The Group’s exposure to the risk of changes in market interest rates arises on borrowings with
unquoted equity Liability towards
Contingent floating interest rate which is not material.
shares and non-controlling
consideration
limited liability interest Credit risk
partnerships
Financial instruments that potentially subject the Group to concentration of credit risk consist principally of cash and bank
Balance as at 1 April 2019 85 378 13 balances, inter-corporate deposits, trade receivables, unbilled receivables, finance lease receivables, investment securities
Fair value changes recognized in statement of profit and loss (29) 42 2 and derivative instruments. The cash resources of the Group are invested with mutual funds, banks, financial institutions and
Additional investments 18 - - corporations after an evaluation of the credit risk. By their nature, all such financial instruments involve risks, including the credit
Distribution from limited liability partnership (1) - - risk of non-performance by counterparties.
Payment of liability - (31) (10) The customers of the Group are primarily corporations based in the United States of America and Europe and accordingly,
Foreign currency translation 4 34 1 trade receivables, unbilled receivables and finance lease receivables are concentrated in the respective countries. The Group
periodically assesses the financial reliability of customers, taking into account the financial condition, current economic trends,
Balance as at 31 March 2020 77 423 6
analysis of historical bad debts and ageing of trade receivables, unbilled receivables, contract assets and finance lease
Balance as at 1 April 2020 77 423 6 receivables.
Fair value changes recognized in statement of profit and loss 5 108 1
The allowance for lifetime expected credit loss on customer balances is as below:
Additional investments 7 - -
Payment of liability - (33) (6) As at
Foreign currency translation - (15) (1) 31 March 2021 31 March 2020
Balance as at 31 March 2021 89 483 - Balance at the beginning of the year 534 309
Additional provision during the year 205 282
(c) Financial risk management
Deductions on account of write offs and collections (268) (115)
The Group is exposed to market risk, credit risk and liquidity risk which may impact the fair value of its financial instruments. The
Group has a risk management policy to manage & mitigate these risks. Other adjustments 3 45
Effect of exchange rates changes 2 13
The Group’s risk management policy aims to reduce volatility in financial statements while maintaining balance between providing
predictability in the Group’s business plan along with reasonable participation in market movement. Balance at the end of the year 476 534

Market risk Liquidity risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market Liquidity risk is the risk that the Group will encounter difficulty in meeting its obligations associated with financial liabilities.
prices. Market risk comprises of currency risk and interest rate risk. The Group is primarily exposed to fluctuation in foreign The investment philosophy of the Group is capital preservation and liquidity in preference to returns. The Group consistently
currency exchange rates. generates sufficient cash flows from operations and has access to multiple sources of funding to meet the financial obligations
and maintain adequate liquidity for use.
(i) Foreign currency risk
Maturity profile of the Group’s financial liabilities based on contractual payments is as below:
Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in
exchange rates. The Group’s exposure to the risk of changes in exchange rates relates primarily to the Group’s operations Year 1 Year 2 Year 3 Year 4-5
in foreign subsidiaries. Total
(Current) and thereafter
The exchange rate risk primarily arises from assets and liabilities denominated in currencies other than the functional As at 31 March 2021
currency of the respective entities and foreign currency forecasted revenue and cash flows. A significant portion of the
Borrowings 145 122 186 3,774 4,227
Group revenue is in US Dollar, Pound Sterling (GBP) and Euro while a large portion of costs are in Indian rupees. The
fluctuation in exchange rates in respect to India rupee may have potential impact on the statement of profit and loss and Trade payables 1,726 - - - 1,726
other comprehensive income and equity. Lease liabilities 794 685 523 915 2,917
To mitigate the foreign currency risk the Group uses derivatives as governed by the Group’s strategy, which provides Deferred consideration 363 - - - 363
principles on the use of such forward contracts and currency options consistent with the Group’s Risk Management Policy. Derivative financial liabilities 2 - - - 2
Appreciation / depreciation of 1% in respective foreign currencies with respect to functional currency of the Company and Other financial liabilities 7,973 179 549 277 8,978
its subsidiaries would result in decrease / increase in the Group’s profit before tax by approximately ` 74 crores for the year Total 11,003 986 1,258 4,966 18,213
ended 31 March 2021.
The rate sensitivity is calculated by aggregation of the net foreign exchange exposure and a simultaneous parallel foreign As at 31 March 2020
exchange rates shift of all the currencies by 1% against the respective functional currencies of the Company and its
subsidiaries. The sensitivity analysis presented above may not be representative of the actual change. Borrowings 2,335 369 2,461 150 5,315
Trade payables 1,166 - - - 1,166
Non-derivative foreign currency exposure as of 31 March 2021 and 31 March 2020 in major currencies is as below:
Lease liabilities 840 717 576 1,191 3,324
Net financial assets Net financial liabilities Deferred consideration 6,532 378 - - 6,910
31 March 2021 31 March 2020 31 March 2021 31 March 2020 Derivative financial liabilities 153 128 79 11 371
USD / INR 3,738 8,165 947 8,912 Other financial liabilities 7,302 254 357 - 7,913
GBP / INR 409 528 105 87 Total 18,328 1,846 3,473 1,352 24,999

EURO / INR 1,071 459 132 266

320 Consolidated Financial Statements 321

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Offsetting of financial instruments Financial information about the business segments for the year ended 31 March 2020 is as follows:
Under cash pooling arrangements with banks outside India, the contractual terms of arrangements preclude individual bank IT and Business Engineering and Products &
Total
accounts within the arrangement from being considered separate units of account. Accordingly, the balances of all such bank Services R&D services Platforms
accounts subject to the arrangements are presented on net basis. The impact of such netting on gross bank balances of Segment revenues 50,742 11,819 8,115 70,676
` 6,924 crores (31 March 2020, ` 5,525 crores) and gross bank overdraft of ` 403 crores (31 March 2020, ` 1,766 crores) is
` 403 crores (31 March 2020, ` 678 crores). Less : Inter-segment revenue - - - -
Net revenue of operations from external customers 50,742 11,819 8,115 70,676
3.30 Segment Reporting
Segment results 9,017 2,293 2,601 13,911
Operating segments are defined as components of an enterprise for which discrete financial information is available and whose Finance cost (505)
results are reviewed regularly by the chief operating decision maker (CODM), for allocation of resources and assess performance.
Exchange differences (net) (15)
The group has organized itself into the following segments. Other income 589
IT and Business Services provide a comprehensive portfolio of IT & Business Services (Application, Infrastructure and Profit before tax 13,980
Digital Process Operations) and Digital transformation services enabled by Digital and Analytics, IoTWoRKs, Cloud native and Tax expense (2,923)
Cybersecurity solutions including products developed within these businesses. Profit for the year 11,057
Engineering and R&D Services provides comprehensive engineering services and solutions across software, embedded, Significant non-cash items
mechanical, VLSI and platform engineering that support the end to end lifecycle of products – both hardware and software Depreciation and amortization expense 1,768 275 1,377 3,420
across diverse industries including products developed within this business.
Provision for doubtful debts / bad debts written off 200
Products & Platforms includes standalone product businesses that provide modernized software products to global clients for
their technology and industry specific requirements. Segment revenue from customers by geographic area based on location of the customer is as follows:
Segment accounting policies Year ended
31 March 2021 31 March 2020
The accounting principles used in the preparation of the financial statements are consistently applied to record revenue and
America 42,468 40,798
expenditure in individual segments and are as set out in note 1 to the financial statements on significant accounting policies. The
accounting policies in relation to segment accounting are as under: Europe 20,884 19,397
India * 2,297 2,354
(a) Segment revenue and expenses
Rest of the world 9,730 8,127
Segment revenue is directly attributable to the segment and segment expenses have been allocated to various segments 75,379 70,676
on the basis of specific identification. However, segment revenue does not include other income. Segment expenses do not * includes revenue billed to India based captive of global customers
include finance cost, exchange differences and tax expense. Inter segment revenue primarily relates to software sourced
internally from Products & Platforms segment by other segments for providing services to end customers. No single customer represents 10% or more of the Group’s total revenue for the years ended 31 March 2021 and 2020,
respectively.
(b) Segment assets and liabilities
Group operates out of various geographies and America & Europe constitute major portion of revenue. In case of IT and Business
Assets and liabilities are not identified to any reportable segments, since these are used interchangeably across segments Services and Engineering and R&D services approximately 57% and 57% of revenues are generated in America, Europe
and consequently, the management believes that it is not practicable or meaningful to provide segment disclosures relating generates around 28% and 28% revenue and balance is generated by other geographies during year ended 31 March 2021 and
to total assets and liabilities. 2020 respectively. Products & Platforms segment generates approximately 53% and 60% revenue from America, 28% and 23%
from Europe and balance geographies generates rest of revenue during the year ended 31 March 2021 and 2020 respectively.
Financial information about the business segments for the year ended 31 March 2021 is as follows:
3.31 Employee benefits
IT and Business Engineering and Products &
Total The Group has calculated the various benefits provided to employees as shown below:
Services R&D services Platforms
(A) Defined contribution plans and state plans
Segment revenues 53,401 11,745 10,243 75,389
Superannuation Fund
Less : Inter-segment revenue - - (10) (10)
Employer’s contribution to Employees State Insurance
Net revenue of operations from external customers 53,401 11,745 10,233 75,379
Employer’s contribution to Employee Pension Scheme
Segment results 10,194 2,379 2,864 15,437 During the year the Company and its subsidiaries in India have recognized the following amounts in the statement of profit
Finance cost (511) and loss :-
Exchange differences (net) 46 Year ended
Other income 881 31 March 2021 31 March 2020
Profit before tax 15,853 Superannuation Fund 9 7
Employer’s contribution to Employees State Insurance 11 11
Tax expense (4,684)
Employer’s contribution to Employee’s Pension Scheme 146 134
Profit for the year 11,169 Total 166 152
Significant non-cash items
The Group has contributed ` 761 crores (previous year ` 622 crores) towards other foreign defined contribution plans.
Depreciation, amortization and impairment expense 2,003 269 2,339 4,611
Provision for doubtful debts / bad debts written off 19

322 Consolidated Financial Statements 323

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

(B) Defined benefit plans The principal assumptions used in determining gratuity for the Group’s plans are shown below:
(a) Gratuity
As at
(b) Pension
31 March 2021 31 March 2020
(c) Employer’s contribution to provident fund
Discount rate 6.45% 6.60%
Gratuity Estimated rate of salary increases 8.00% 8.00%
Employee turnover 24.00% 24.00%
The following table sets out the status of the gratuity plan :
Expected rate of return on assets 6.45% 6.60%
Statement of profit and loss
The estimates of future salary increases, considered in the actuarial valuation, take account of inflation, seniority, promotion
Year ended and other relevant factors, such as supply and demand in the employment market.
31 March 2021 31 March 2020
Current service cost 138 110 Discount rate and future salary escalation rate are the key actuarial assumptions to which the defined benefit obligation are
particularly sensitive. The following table summarizes the impact on defined benefit obligation as at 31 March 2021 arising
Interest cost (net) 37 30 due to increase / decrease in key actuarial assumptions by 50 basis points:
Net benefit expense 175 140
Salary
Discount rate
Balance Sheet escalation rate

As at Impact of increase (24) 24

31 March 2021 31 March 2020 Impact of decrease 25 (23)
Defined benefit obligations 764 626
The sensitivity analysis presented may not be representative of the actual change in the defined benefit obligations as
Fair value of plan assets 20 18 sensitivities have been calculated to show the movement in defined benefit obligations in isolation and assuming there
Net plan liability 744 608 are no other changes in market conditions. There have been no changes from the previous years in the methods and
Current defined benefit obligations 122 88 assumptions used in preparing the sensitivity analyses.
Non-current defined benefit obligations 622 520
The defined benefit obligations are expected to mature after 31 March 2021 as follows:

Changes in present value of the defined benefit obligations are as follows: Year ending 31 March, Cash flows
Year ended - 2022 107
31 March 2021 31 March 2020 - 2023 111
Opening defined benefit obligations 626 480 - 2024 135
Current service cost 138 110 - 2025 151
Interest cost 38 31 - 2026 164
Re-measurement gains (losses) in OCI - Thereafter 3,293
Actuarial changes arising from changes in demographic assumptions - (2) The weighted average duration to the payment of these cash flows is 6.91 years.
Actuarial changes arising from changes in financial assumptions 7 61
Retirement benefit pension plans
Experience adjustments (14) (15)
Business combinations - 3 The following table sets out the status of the plan :
Benefits paid (31) (42) Statement of profit and loss
Closing defined benefit obligations 764 626
Year ended
31 March 2021 31 March 2020
Changes in fair value of the plan assets are as follows:
Current service cost 9 -
Year ended Net benefit expense 9 -
31 March 2021 31 March 2020
Opening fair value of plan assets 18 16 Balance Sheet
Interest income 1 1
As at
Contributions 31 43
Re-measurement gains (losses) in OCI 31 March 2021 31 March 2020
Return on plan assets, excluding amount recognized in interest income (1) - Defined benefit obligations 119 -
Benefits paid (29) (42) Fair value of plan assets - -
Closing fair value of plan assets 20 18 Net plan liability 119 -
The overall expected rate of return on assets is determined based on the market prices prevailing on that date, applicable
to the period over which the obligation is to be settled. Current defined benefit obligations 2 -
Non-current defined benefit obligations 117 -

324 Consolidated Financial Statements 325

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Changes in present value of the retirement benefit pension plans are as follows: 3.32 Related party transactions
(a) Related parties where control exists
Year ended
31 March 2021 31 March 2020 Refer note 3.36 for list of subsidiaries of the Company
Business combinations 99 - Employee benefit trusts
Current service cost 9 - Hindustan Instruments Limited Employees Provident Fund Trust
Re-measurement gains (losses) in OCI HCL Consulting Limited Employees Superannuation Scheme
Actuarial changes arising from changes in financial assumptions 6 - HCL Comnet System and Services Limited Employees Provident Fund Trust
Experience adjustments 5 - HCL Technologies Employees Group Gratuity Trust
Closing defined benefit obligations 119 - HCL Technologies Stock Options Trust
C3i Support Services Employees Gratuity Trust
The principal assumptions used in determining retirement benefit pension plans are shown below: Sankalp Stock Trust
As at Sankalp Semiconductor Private Limited Employees Group Gratuity Trust
31 March 2021 31 March 2020
Key Management Personnel
Discount rate 0.58% -
Mr. Shiv Nadar – Chief Strategy Officer (ceased to be Chairman w.e.f. 17 July 2020)
Estimated rate of salary increases 2.50% -
Mr. C. Vijayakumar – President and Chief Executive Officer
The defined benefit obligations are expected to mature after 31 March 2021 as follows: Mr. Prateek Aggarwal – Chief Financial Officer
Mr. Manish Anand – Company Secretary
Year ending 31 March, Cash flows
- 2022 2 Non-Executive & Independent Directors
- 2023 3 Mr. Ramanathan Srinivasan
Ms. Robin Ann Abrams
- 2024 3
Dr. Sosale Shankara Sastry
- 2025 4
Mr. Subramanian Madhavan
- 2026 5
Mr. Thomas Sieber
- Thereafter 38 Ms. Nishi Vasudeva
Mr. Deepak Kapoor
Employers Contribution to Provident Fund
Mr. James Philip Adamczyk (ceased to be Director w.e.f. 9 October 2019)
The actuary has provided a valuation for provident fund liabilities on the basis of guidance issued by Actuarial Society of Mr. Mohan Chellappa (appointed w.e.f. 6 August 2019)
India based on the assumption mentioned below.
Mr. Simon John England (appointed w.e.f. 16 January 2020)
The details of the fund and plan asset position are given below:-
Non-Executive & Non-Independent Directors
31 March 2021 31 March 2020 Ms. Roshni Nadar Malhotra, Chairperson (appointed Chairperson w.e.f. 17 July 2020)
Fair value of plan assets at the year end 4,876 4,105 Mr. Shikhar Neelkamal Malhotra (appointed w.e.f. 22 October 2019)
Present value of benefit obligation at year end 4,879 4,146 Mr. Sudhindar Krishan Khanna (ceased to be Director w.e.f. 8 April 2019)
Net liability recognized in balance sheet (refer note 3.15) (3) (41)
(b) Related parties with whom transactions have taken place
The amount for the year ended 31 March 2021 and 2020 has been recognized in the other comprehensive income.
Others (Significant influence)
Assumptions used in determining the present value obligation of the interest rate guarantee under the Deterministic
Approach: HCL Infosystems Limited
HCL IT City Lucknow Private Limited
31 March 2021 31 March 2020 HCL Avitas Private Limited
Government of India (GOI) bond yield 6.45% 6.60% HCL Infotech Limited
Remaining term of maturity 7.08 years 8 years Vama Sundari Investments (Delhi) Private Limited
Expected guaranteed interest rate 8.50% 8.50% Shiv Nadar University
HCL Corporation Private Limited
During the year ended 31 March 2021, the Group has contributed ` 211 crores (previous year, ` 186 crores) towards HCL Holding Private Limited
employer’s contribution to provident fund. SSN Investments (Pondi) Private Limited
SSN Trust
Naksha Enterprises Private Limited
Shiv Nadar Foundation
HCL Insys. Pte. Limited, Singapore (ceased to be related party from 15 November 2019)

326 Consolidated Financial Statements 327

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Significant influence 3.34 Commitments and contingent liabilities

Transactions with related parties during the normal course of business Year ended As at
31 March 2021 31 March 2020
31 March 2021 31 March 2020
Revenue from operations 11 13
(i) Capital and other commitments
Interest income 2 1
Staff welfare, outsourcing costs and software license fee 87 187 Capital commitments
Payment for use of facilities 6 16 Estimated amount of contracts remaining to be executed on capital account and
350 558
Purchase of capital equipments - 1 not provided for (net of advances)
Interim dividend 1,636 814 Uncalled liability on other investments partly paid
Final dividend (refer note below) 328 - Capital commitment in limited liability partnership 7 11
Depreciation charge on right-of-use assets 33 35 (ii) Contingent liabilities
Interest expense on the lease liability 8 9
Others (refer note below) 133 133
Other expenses 10 45
Note : Final dividend represents final dividend paid of ` 2 per equity share for the financial year ended 31 March 2020 recommended 490 702
by the Board of Directors in their meeting on 7 May 2020 and approved by the shareholders at the Annual General Meeting held on
29 September 2020. Notes :

(a) A wholly owned subsidiary (‘WOS’) with a VSAT License had received a demand from Department of Telecommunications (DoT) in
Year ended February 2015 for FY 2011-12 and FY 2013-14 for an amount of ` 133 crore, including penalty, interest and interest on penalty. It had
Material related party transactions received provisional assessment orders for all the prior years with no demand. Demand is primarily due to DoT including IT Services
31 March 2021 31 March 2020
revenues and related exchange gains in Adjusted Gross Revenue (AGR). The WOS had obtained stay in 2015 and its petition is
Interim dividend paid pending adjudication at the Hon’ble Telecom Disputes Settlement and Appellate Tribunal (“TDSAT”). The IT Services business had been
Vama Sundari Investments (Delhi) Private Limited 1,174 582 demerged from the WOS with effect 1 April 2012. The Hon’ble Supreme Court has pronounced its ruling on the AGR matter relating to
HCL Holdings Private Limited 447 223 Unified Access Service License on 24 October 2019. Subsequent to this ruling, the Company has obtained legal opinion and is of the
view that it should be able to defend its position in the above matter.
Final dividend (refer note below)
Vama Sundari Investments (Delhi) Private Limited 235 - (b) The Indian Parliament has approved the Code on Social Security, 2020 which would impact the contributions by the Group towards
HCL Holdings Private Limited 89 - Provident Fund and Gratuity. The effective date from which the changes are applicable is yet to be notified and the final rules are yet to
be framed. The Group will carry out an evaluation of the impact and record the same in the financial statements in the period in which
the Code becomes effective and the related rules are published.
Year ended
Transactions with Key Managerial personnel during the year (c) The Group is involved in various lawsuits, claims and proceedings that arise in the ordinary course of business, the outcome of which
31 March 2021 31 March 2020
is inherently uncertain. Some of these matters include speculative and frivolous claims for substantial or indeterminate amounts of
Compensation damages. The Group records a liability when it is both probable that a loss has been incurred and the amount can be reasonably
- Short-term employee benefits 40 37 estimated. Significant judgment is required to determine both probability and the estimated amount. The Group reviews these provisions
at least quarterly and adjusts these provisions accordingly to reflect the impact of negotiations, settlements, rulings, advice of legal
- Other long-term employee benefits 2 90
counsel, and updated information. The Group believes that the amount or estimable range of reasonably possible loss, will not, either
individually or in the aggregate, have a material adverse effect on its business, consolidated financial position, results of the Group, or
Year ended cash flows with respect to loss contingencies for legal and other contingencies as at 31 March 2021.
Transactions with Directors during the year
31 March 2021 31 March 2020 3.35 Change in non-controlling interest
Commission & other benefits to Directors (includes sitting fees) 8 9
During the previous year ended 31 March 2020, to meet the requirements of Broad-Based Black Economic Empowerment Act of
South Africa, necessary restructuring was done and HCL entities allotted their shares to give 51.8% effective ownership in an entity in
Significant influence South Africa (operating entity) to trusts created for the benefit of black nationals, and consequently recorded non-controlling interest
and an upfront charge of ` 40 crores in consolidated statement of profit and loss.
Outstanding balances As at
31 March 2021 31 March 2020
Trade receivables, other financial assets and other assets 33 43
Trade payables, other financial liabilities and other liabilities 17 196
Right-of-use assets 79 110
Lease liabilities 85 113

3.33 Research and development expenditure

Year ended
31 March 2021 31 March 2020
Amount charged to statement of profit and loss 1,400 1,286
1,400 1,286

328 Consolidated Financial Statements 329

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.36 Additional information under general instructions for the preparation of consolidated financial statements of Schedule Net Assets, i.e. Share in other Share in total
Share in profit
III to the Companies Act, 2013 Percentage total assets minus and loss comprehensive comprehensive
holding liabilities as at income income
Country of
S. No. Name of the Entity incorporation 31as
Net Assets, i.e. Share in other Share in total at 31 March 2021
Share in profit March
Percentage total assets minus and loss comprehensive comprehensive
holding liabilities as at income income 2021 As % of As % of As % of As % of
Country of Amount Amount Amount Amount
S. No. Name of the Entity consolidate consolidate consolidate consolidate
incorporation 31as at 31 March 2021
March 32 HCL Mexico S. de R.L. Mexico 100% 0.25 152 0.35 39 - - 0.33 39
2021 As % of As % of As % of As % of
Amount Amount Amount Amount HCL Technologies
consolidate consolidate consolidate consolidate 33 Romania 100% 0.04 22 0.08 9 - - 0.08 9
Romania s.r.l.
Parent
34 HCL Hungary Kft Hungary 100% 0.01 3 0.01 1 - - 0.01 1
HCL Technologies Limited India NA 63.91 38,398 77.72 8,680 94.59 507 78.49 9,187 HCL Latin America
35 USA 100% 0.03 16 0.05 6 - - 0.05 6
Subsidiaries Holding LLC
Indian HCL (Brazil) Technologia
da informacao EIRELI
HCL Comnet Systems & 36 (Formely “HCL (Brazil) Brazil 100% 0.27 165 - (1) - - (0.01) (1)
1 India 100% 0.02 12 (0.11) (12) - - (0.10) (12)
Services Limited Technologia da
Statestreet HCL Services informacao Ltda.”)
2 (India) Private Limited * India 100% 0.87 521 0.92 102 0.19 1 0.88 103
HCL Technologies
37 Denmark Aps Denmark 100% 0.29 176 0.27 30 - - 0.26 30
HCL Software Products
Limited (formely “HCL HCL Technologies
3 India 100% (0.08) (46) 0.88 99 - - 0.85 99 38 Norway 100% 0.12 75 - - - - - -
Global Processing Norway AS
Services Limited”) PT. HCL Technologies
HCL Training & Staffing 39 Indonesia 100% 0.05 30 0.05 5 - - 0.04 5
4 India 100% - 1 (0.16) (18) - - (0.15) (18) Indonesia Limited
Services Private Limited HCL Technologies
C3i Support Services 40 Philippines 100% 0.17 101 0.08 9 - - 0.08 9
5 India 100% 0.08 49 0.09 10 - - 0.09 10 Philippines Inc.
Private Limited HCL Technologies South
Sankalp Semiconductor 41 Africa (Proprietary) Limited South Africa 36.40% 0.04 23 0.01 1 - - 0.01 1
6 India 100% 0.33 197 0.15 17 - - 0.15 17
Private Limited
42 HCL Arabia LLC Saudi Arabia 100% 0.11 69 0.10 12 - - 0.10 12
Sankguj Semiconductor
7 India 100% - - - - - - - - HCL Technologies France
Private Limited 43 France 100% 0.36 215 0.20 23 - - 0.20 23
SAS
8 HCL Foundation India 100% - - - - - - - -
Filial Espanola De HCL
44 Spain 100% 0.17 102 0.13 14 - - 0.12 14
Foreign Technologies S.L
Anzospan Investments
9 HCL Bermuda Limited Bermuda 100% 0.06 38 1.08 120 - - 1.02 120 45 South Africa 70% - 1 (0.24) (27) - - (0.23) (27)
Pty Limited
HCL Technologies HCL Investments (UK)
10 China 100% 0.20 120 0.11 12 - - 0.10 12 46 Limited UK 100% 1.05 628 0.06 7 - - 0.06 7
(Shanghai) Limited
47 HCL America Solutions Inc. USA 100% (0.11) (65) 0.33 37 - - 0.32 37
11 HCL Singapore Pte. Limited Singapore 100% 0.28 170 0.50 56 - - 0.48 56
HCL Technologies Chile
12 HCL Great Britain Limited UK 100% 0.19 116 (0.15) (17) - - (0.15) (17) 48 Chile 100% 0.07 42 0.04 5 - - 0.04 5
Spa
13 HCL GmbH Germany 100% 0.10 59 0.02 2 - - 0.02 2 HCL Technologies UK
49 UK 100% 4.50 2,702 0.60 67 - - 0.57 67
HCL Australia Services Limited
14 Australia 100% 0.60 363 0.66 73 - - 0.62 73 Statestreet HCL Holding
Pty. Limited 50 UK 100% - - - - - - - -
HCL (New Zealand) UK Limited *
15 New Zealand 100% 0.31 184 0.19 21 - - 0.18 21 Statestreet HCL Services
Limited 51 Philippines 100% 0.05 32 - (1) - - (0.01) (1)
HCL Hong Kong SAR (Phillipines) Inc. *
16 Hong Kong 100% 0.04 24 0.09 10 - - 0.09 10 52 HCL Technologies B.V. Netherlands 100% 0.35 211 0.61 69 - - 0.59 69
Limited
17 HCL Japan Limited Japan 100% 0.23 136 0.22 25 - - 0.21 25 53 HCL (Ireland) Information Ireland 100% 0.30 180 0.76 85 - - 0.73 85
Systems Limited
18 HCL America Inc. USA 100% 4.30 2,586 6.66 744 7.28 39 6.68 783
HCL Technologies
HCL Technologies 54 Germany 100% (0.06) (37) 0.73 82 (2.06) (11) 0.61 71
19 Austria 100% 0.02 14 0.06 6 - - 0.05 6 Germany Gmbh
Austria GmbH HCL Technologies
20 HCL Poland Sp.z.o.o Poland 100% 0.08 46 0.23 25 - - 0.21 25 55 Belgium 100% 0.20 117 0.12 13 - - 0.11 13
Belgium BVBA
21 HCL EAS Limited UK 100% - 3 (0.64) (71) - - (0.61) (71) HCL Technologies
56 Sweden AB Sweden 100% 2.59 1,554 1.76 196 - - 1.67 196
HCL Insurance BPO
22 UK 100% 0.03 18 (0.03) (3) - - (0.04) (3) HCL Technologies
Services Limited 57 Finland 100% 0.27 162 0.50 56 - - 0.48 56
Finland Oy
23 Axon Group Limited UK 100% 0.02 9 - - - - - - HCL Technologies Italy
58 Italy 100% (0.05) (32) 0.15 17 - - 0.15 17
HCL Canada Inc. S.P.A
24 (Formely “HCL Axon Canada 100% 0.35 214 0.37 41 - - 0.35 41 HCL Technologies Columbia
Technologies Inc.”) 59 S.A.S Columbia 100% 0.05 29 (0.03) (4) - - (0.03) (4)
HCL Technologies HCL Technologies
25 Switzerland 100% 0.14 82 0.10 12 - - 0.10 12 60 UAE 100% 0.04 25 0.10 12 - - 0.10 12
Solutions GmbH Middle East FZ-LLC
Axon Solutions Pty. HCL Istanbul Bilisim
26 Australia 100% 0.02 15 - - - - - - 61 Turkey 100% 0.01 7 - - - - - -
Limited Teknolojileri Limited Sirketi
27 Axon Solutions Limited UK 100% 0.78 469 0.19 21 - - 0.18 21 HCL Technologies Greece
62 Single Member P.C Greece 100% 0.01 7 - - - - - -
HCL Technologies
Malaysia Sdn. Bhd. 63 HCL Technologies S.A. Venezuela 100% - - - - - - - -
28 Malaysia 100% 0.09 52 0.14 16 - - 0.14 16
(Formely “HCL Axon
Malaysia Sdn. Bhd.”) HCL Technologies
64 China 100% 0.03 19 0.07 8 - - 0.07 8
Beijing Co., Ltd
Axon Solutions HCL Technologies
29 China 100% 0.67 403 0.37 41 - - 0.35 41 65 Luxembourg 100% 0.01 4 - - - - - -
(Shanghai) Co. Limited Luxembourg S.a r.l
HCL Technologies 66 HCL Technologies Egypt Egypt 100% 0.02 11 0.01 1 - - 0.01 1
(Proprietary) Ltd Limited
30 South Africa 48.16% 0.64 385 0.42 47 - - 0.40 47
(Formely “HCL Axon HCL Technologies
(Proprietary) Limited”) 67 Estonia OÜ Estonia 100% 0.01 6 0.01 1 - - 0.01 1
31 HCL Argentina s.a. Argentina 100% 0.04 26 (0.02) (2) - - (0.02) (2)

330 Consolidated Financial Statements 331

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Net Assets, i.e. Share in other Share in total Net Assets, i.e. Share in other Share in total
Share in profit Share in profit
Percentage total assets minus comprehensive comprehensive Percentage total assets minus and loss comprehensive comprehensive
and loss liabilities as at income income
holding liabilities as at income income holding
Country of Country of
S. No. Name of the Entity incorporation 31as
S. No. Name of the Entity at
incorporation 31as at 31 March 2021 31 March 2021
March March
2021 As % of As % of As % of As % of 2021 As % of As % of As % of As % of
Amount Amount Amount Amount Amount Amount Amount Amount
consolidate consolidate consolidate consolidate consolidate consolidate consolidate consolidate
HCL Technologies HCL Technologies
68 Thailand 100% 0.05 29 - - - - - - 106 Vietnam 100% 0.01 4 - - - - - -
(Thailand) Ltd. Vietnam Company Limited
HCL Technologies Czech 107 HCL Guatemala, Guatemala 100% (0.02) (12) 0.15 18 - - 0.15 18
69 100% 0.13 79 0.26 29 - - 0.25 29 Sociedad Anonima
Czech Republic s.r.o. Republic
HCL Muscat Technologies 108 Sankalp Semiconductor Inc. Canada 100% 0.01 8 0.01 1 - - 0.01 1
70 L.L.C. Oman 100% 0.01 4 0.02 2 - - 0.02 2
109 Sankalp USA Inc. USA 100% 0.01 6 - (1) - - (0.01) (1)
71 Point To Point Limited UK 100% 0.09 52 - - - - - -
Sankalp Semiconductor
Point To Point Products 110 Germany 100% - - - - - - - -
72 UK 100% 0.02 10 0.03 4 - - 0.03 4 GmbH.
Limited
Sankalp Semiconductor
HCL Technologies 111 Malaysia 100% - - - - - - - -
73 Lithuania 100% 0.07 41 0.09 10 - - 0.09 10 SDN.BHD.
Lithuania UAB
H C L Technologies
HCL Technologies 112 Sri Lanka 100% 0.04 23 - 1 - - 0.01 1
74 China 100% 0.03 20 0.02 2 - - 0.02 2 Lanka (Private) Limited
(Taiwan) Ltd.
HCL TECHNOLOGIES
75 Geometric Americas, Inc. USA 100% 0.38 227 (0.02) (3) - - (0.03) (3) Trinidad and
113 TRINIDAD AND 100% - - - - - - - -
Tobago
HCL Asia Pacific Pte Ltd TOBAGO LIMITED
76 (Formely “Geometric Singapore 100% 0.04 25 0.04 5 - - 0.04 5 HCL Technologies
Asia Pacific Pte. Ltd”) 114 Azerbaijan Limited Azerbaijan 100% - - - - - - - -
77 Geometric Europe GmbH Germany 100% 0.12 73 (0.06) (6) - - (0.05) (6) Liability Company
HCL Technologies
78 Geometric China, Inc. China 100% 0.03 17 - - - - - - 115 Bulgaria 100% - 1 - - - - - -
Bulgaria EOOD
79 Geometric SRL Romania 100% 0.01 7 0.01 1 - - 0.01 1 HCL Vietnam Company
116 Vietnam 100% - 2 0.01 1 - - 0.01 1
Limited
Butler America Aerospace
80 LLC USA 100% 1.06 636 - (1) - - (0.01) (1) HCL Technologies
117 Angola 100% - - - - - - - -
Angola (SU), LDA.
Urban Fulfillment
81 USA 100% 0.10 59 0.50 55 - - 0.47 55 HCL Technologies
Services LLC 118 Peru 100% - - - - - - - -
S.A.C.
Datawave (An HCL
Technologies Company) 119 DWS Limited Australia 100% 0.81 488 (0.28) (30) - - (0.26) (30)
82 Limited (formely Scotland 100% 0.07 43 (0.04) (4) - - (0.03) (4)
known as “ETL Factory Wallis Nominees
120 Australia 100% 0.08 48 - (1) - - (0.01) (1)
Limited”) (Computing) Pty Ltd
HCL Technologies 121 D W S (NSW) Pty Ltd Australia 100% 0.08 48 0.02 4 - - 0.03 4
83 Corporate Services Limited UK 100% 6.09 3,659 0.05 6 - - 0.05 6
122 Projects Assured Pty Ltd Australia 100% 0.75 449 0.18 22 - - 0.19 22
84 Telerx Marketing, Inc. USA 100% 0.42 262 1.36 151 - - 1.29 151
123 Symplicit Pty Ltd Australia 100% 0.01 4 - - - - - -
85 C3i Europe Eood Bulgaria 100% (0.01) (7) 0.19 22 - - 0.19 22
Phoenix IT & T
124 Australia 100% - - - - - - - -
86 C3i (UK) Limited UK 100% - 1 - - - - - - Consulting Pty limited
87 C3i Japan GK Japan 100% 0.01 5 0.01 1 - - 0.01 1 DWS Product Solutions
125 Pty Ltd Australia 100% 0.02 10 - - - - - -
88 C3i Services & Technologies Graeme V. Jones &
China 100% 0.03 21 0.05 5 - - 0.04 5 126 Australia 100% - - - - - - - -
(Dalian) Co., Ltd Associates Pty Ltd
HCL Technologies SEP
89 USA 80% (0.48) (289) (0.96) (107) - - (0.91) (107) 127 SDM Sales Pty Ltd Australia 100% - 1 - - - - - -
Holdings Inc
Actian Corporation (and Strategic Data
90 USA 80% 3.99 2,396 1.75 195 - - 1.67 195 128 Australia 100% - - - - - - - -
including its subsidiaries) Management Pty Ltd
Honisgberg & Duvel 129 DWS (New Zealand) New Zealand 100% - - - - - - - -
91 Germany 100% 0.43 259 (0.36) (41) - - (0.35) (41) Limited
Datentichnik GMBH
H&D Business Services Total 100.00 60,082 100.00 11,169 100.00 536 100.00 11,705
92 Germany 100% (0.01) (8) - - - - - -
GmbH
93 H&D IT Solutions GmbH Germany 100% (0.02) (12) - - - - - - Non controlling interest (169) (24) 5 (19)

H&D Training und Consolidation adjustments - - 222 222

94 Germany 100% - - - - - - - -
Consulting GmbH
Consolidated Net assets / Profit after tax 59,913 11,145 763 11,908
H&D IT Professional
95 Germany 100% - (1) - - - - - -
Services GmbH
Note: Dividend received from subsidiaries has been excluded from profits.
96 qmo-it GmbH Germany 100% - 1 - - - - - -
H&D Services for * The Group has equity interest of 49% and 100% dividend rights and control
97 Germany 100% (0.01) (7) - - - - - -
Engineering GmbH
98 CATIS GmbH Germany 100% - - - - - - - -
H&D IT Automotive
99 Germany 100% - (2) - - - - - -
Services GmbH
CA Management
100 Germany 100% (0.01) (5) - - - - - -
Services GmbH
H&D ITAS Infrastructure
101 Germany 100% - (1) - - - - - -
Services GmbH
H&D ITAS Application
102 Germany 100% - (3) - - - - - -
Services GmbH
H&D ITAS Client
103 Germany 100% (0.02) (9) - - - - - -
Services GmbH
104 H&D ITAS Sud GmbH Germany 100% - (1) - - - - - -
105 H&D International GmbH Germany 100% 0.01 5 - (1) - - (0.01) (1)

332 Consolidated Financial Statements 333

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

3.36 Additional information under general instructions for the preparation of consolidated financial statements of Schedule Net Assets, i.e. Share in other Share in total
Share in profit
III to the Companies Act, 2013 Percentage total assets minus
and loss
comprehensive comprehensive
holding liabilities as at income income
Net Assets, i.e. Share in other Share in total Country of
Share in profit S. No. Name of the Entity as at
Percentage total assets minus comprehensive comprehensive incorporation 31 March 2020
and loss 31 March
holding liabilities as at income income 2020 As % of As % of As % of As % of
Country of Amount Amount Amount Amount
S. No. Name of the Entity as at consolidate consolidate consolidate consolidate
incorporation 31 March 2020
31 March 33 Axon Solutions Limited UK 100% 3.12 1,603 0.61 68 - - 0.65 68
2020 As % of As % of As % of As % of
Amount Amount Amount Amount HCL Technologies
consolidate consolidate consolidate consolidate
Malaysia Sdn. Bhd.
Parent 34 Malaysia 100% 0.17 88 0.22 24 - - 0.23 24
(Formely “HCL Axon
HCL Technologies Limited India NA 60.26 30,988 80.69 8,921 100.00 (505) 80.08 8,416 Malaysia Sdn. Bhd.”)
Axon Solutions
Subsidiaries 35 Singapore 100% 0.01 7 - - - - - -
Singapore Pte. Limited
Indian
Axon Solutions
HCL Comnet Systems & 36 China 100% 0.35 178 0.22 24 - - 0.23 24
1 India 100% 0.09 48 (0.04) (4) - - (0.04) (4) (Shanghai) Co. Limited
Services Limited
HCL Technologies
2 HCL Comnet Limited India 100% 0.49 254 0.07 8 - - 0.08 8 (Proprietary) Ltd
Statestreet HCL Services 37 South Africa 48.16% 0.43 219 0.22 25 - - 0.24 25
3 India 100% 0.90 461 0.66 73 - (3) 0.67 70 (Formely “HCL Axon
(India) Private Limited * (Proprietary) Limited”)
4 HCL Eagle Limited India 100% 0.03 13 - 1 - - 0.01 1 38 HCL Argentina s.a. Argentina 100% 0.02 12 (0.01) (1) - - (0.01) (1)
HCL Software Products 39 HCL Mexico S. de R.L. Mexico 100% 0.29 149 (0.19) (21) - - (0.20) (21)
Limited (formely “HCL
5 India 100% 0.09 47 0.04 4 - - 0.04 4 HCL Technologies
Global Processing 40 Romania 100% 0.03 18 0.04 4 - - 0.04 4
Romania s.r.l.
Services Limited”)
HCL Technologies 41 HCL Hungary Kft Hungary 100% 0.01 6 (0.01) (1) - - (0.01) (1)
6 India 100% 0.01 6 - 0 - - - - HCL Latin America
Solutions Limited 42 USA 100% 0.02 10 0.01 1 - - 0.01 1
Concept2Silicon Holding LLC
7 India 100% 0.02 10 - 0 - - - - HCL (Brazil) Technologia
Systems Private Limited
HCL Training & Staffing da informacao EIRELI
8 India 100% 0.01 3 (0.22) (24) - - (0.23) (24) 43 (Formely “HCL (Brazil) Brazil 100% 0.16 82 (0.08) (9) - - (0.09) (9)
Services Private Limited
C3i Support Services Technologia da
9 India 100% 0.06 32 0.11 12 - - 0.11 12 informacao Ltda.”)
Private Limited
Sankalp Semiconductor HCL Technologies
10 India 100% 0.33 172 0.08 9 - - 0.09 9 44 Denmark 100% 0.28 146 0.21 23 - - 0.22 23
Private Limited Denmark Aps
Sankguj Semiconductor HCL Technologies
11 India 100% - - - - - - - - 45 Norway 100% 0.20 103 0.54 59 - - 0.56 59
Private Limited Norway AS
PT. HCL Technologies
Foreign 46 Indonesia 100% 0.08 41 0.06 7 - - 0.07 7
Indonesia Limited
12 HCL Bermuda Limited Bermuda 100% 0.03 14 (0.18) (19) - - (0.18) (19) HCL Technologies
47 Philippines 100% 0.18 94 0.23 25 - - 0.24 25
HCL Technologies Philippines Inc.
13 China 100% 0.12 62 0.14 15 - - 0.14 15 HCL Technologies South
(Shanghai) Limited
48 Africa (Proprietary) South Africa 36.40% 0.04 19 0.01 1 - - 0.01 1
14 HCL Singapore Pte. Limited Singapore 100% 0.33 169 0.59 65 - - 0.62 65
Limited
15 HCL Great Britain Limited UK 100% (0.13) (65) 0.13 15 - - 0.14 15 49 HCL Arabia LLC Saudi Arabia 100% 0.12 62 (0.02) (2) - - (0.02) (2)
16 HCL (Netherlands) BV Netherlands 100% 0.02 13 0.06 7 - - 0.07 7 HCL Technologies
50 France 100% 0.19 97 0.22 24 - - 0.23 24
17 HCL Belgium NV Belgium 100% 0.06 30 0.04 4 - - 0.04 4 France SAS
Filial Espanola De HCL
18 HCL Sweden AB Sweden 100% 0.05 26 (0.03) (3) - - (0.03) (3) 51 Spain 100% 0.20 105 0.10 11 - - 0.10 11
Technologies S.L
19 HCL GmbH Germany 100% 0.12 63 0.08 8 - - 0.08 8 Anzospan Investments
52 South Africa 70% - - (0.39) (43) - - (0.41) (43)
HCL Australia Services Pty Limited
20 Australia 100% 0.44 225 0.57 64 - - 0.61 64
Pty. Limited HCL Investments (UK)
53 UK 100% 1.18 606 0.10 12 - - 0.11 12
HCL (New Zealand) Limited
21 New Zealand 100% 0.07 34 0.07 8 - - 0.08 8
Limited 54 HCL America Solutions Inc. USA 100% 0.14 72 0.08 9 - - 0.09 9
HCL Hong Kong SAR HCL Technologies Chile
22 Hong Kong 100% 0.10 50 0.08 9 - - 0.09 9 55 Chile 100% 0.10 54 0.06 6 - - 0.06 6
Limited Spa
23 HCL Japan Limited Japan 100% 0.44 224 0.24 27 - - 0.26 27 HCL Technologies UK
56 UK 100% 2.61 1,343 0.60 66 - - 0.63 66
24 HCL America Inc. USA 100% 6.24 3,210 6.67 738 - (40) 6.64 698 Limited
HCL Technologies Statestreet HCL Holding
25 Austria 100% 0.01 5 0.04 4 - - 0.04 4 57 UK 100% - - - - - - - -
Austria GmbH UK Limited *
Statestreet HCL Services
26 HCL Poland Sp.z.o.o Poland 100% 0.02 10 0.26 29 - - 0.28 29 58 Philippines 100% 0.06 32 0.01 1 - - 0.01 1
(Phillipines) Inc. *
27 HCL EAS Limited UK 100% 0.35 181 0.34 37 - - 0.35 37 59 HCL Technologies B.V. Netherlands 100% 0.20 103 0.28 31 - - 0.29 31
HCL Insurance BPO HCL (Ireland) Information
28 UK 100% 0.12 59 0.05 6 - - 0.06 6 60 Ireland 100% 0.40 208 0.79 87 - - 0.83 87
Services Limited Systems Limited
29 Axon Group Limited UK 100% 0.08 40 0.02 2 - - 0.02 2 HCL Technologies
61 Germany 100% 0.43 223 0.55 61 - - 0.58 61
HCL Canada Inc. Germany Gmbh
30 (Formely “HCL Axon Canada 100% 0.33 171 0.61 67 - - 0.64 67 HCL Technologies
62 Belgium 100% 0.13 69 0.03 3 - - 0.03 3
Technologies Inc.”) Belgium BVBA
HCL Technologies HCL Technologies
31 Switzerland 100% 0.20 103 0.10 11 - - 0.10 11 63 Sweden 100% 2.04 1,050 2.01 222 - - 2.11 222
Solutions GmbH Sweden AB
Axon Solutions Pty. HCL Technologies
32 Australia 100% 0.02 12 - - - - - - 64 Finland 100% 0.25 129 0.51 56 - - 0.53 56
Limited Finland Oy

334 Consolidated Financial Statements 335

Notes to consolidated financial statements for the year ended 31 March 2021 Notes to consolidated financial statements for the year ended 31 March 2021
(All amounts in crores of ₹, except share data and as stated otherwise) (All amounts in crores of ₹, except share data and as stated otherwise)

Net Assets, i.e. Share in other Share in total Net Assets, i.e. Share in other Share in total
Share in profit Share in profit
Percentage total assets minus comprehensive comprehensive Percentage total assets minus comprehensive comprehensive
and loss and loss
holding liabilities as at income income holding liabilities as at income income
Country of Country of
S. No. Name of the Entity as at S. No. Name of the Entity as at
incorporation 31 March 2020 incorporation 31 March 2020
31 March 31 March
2020 As % of As % of As % of As % of 2020 As % of As % of As % of As % of
Amount Amount Amount Amount Amount Amount Amount Amount
consolidate consolidate consolidate consolidate consolidate consolidate consolidate consolidate
65 HCL Technologies Italy S.P.A Italy 100% (0.01) (3) 0.20 22 - - 0.21 22 Honisgberg & Duvel
101 Germany 100% 0.48 246 (0.29) (31) - - (0.29) (31)
HCL Technologies Datentichnik GMBH
66 Columbia 100% 0.03 13 (0.05) (6) - - (0.06) (6) H&D Business Services
Columbia S.A.S 102 Germany 100% (0.01) (3) - - - - - -
HCL Technologies Middle GmbH
67 UAE 100% 0.06 28 (0.02) (2) - - (0.02) (2) 103 H&D IT Solutions GmbH Germany 100% (0.02) (13) - - - - - -
East FZ-LLC
HCL Istanbul Bilisim H&D Training und
68 Teknolojileri Limited Turkey 100% 0.04 18 0.01 1 - - 0.01 1 104 Germany 100% - - - - - - - -
Consulting GmbH
Sirketi
H&D IT Professional
HCL Technologies Greece 105 Germany 100% - (1) - - - - - -
69 Greece 100% 0.01 3 - - - - - - Services GmbH
Single Member P.C
106 qmo-it GmbH Germany 100% - 1 0.01 1 - - 0.01 1
70 HCL Technologies S.A. Venezuela 100% - - 0.01 1 - - 0.01 1
H&D Services for
HCL Technologies 107 Germany 100% (0.01) (3) - - - - - -
71 China 100% 0.06 31 0.06 6 - - 0.06 6 Engineering GmbH
Beijing Co., Ltd
108 CATIS GmbH Germany 100% - - - - - - - -
HCL Technologies
72 Luxembourg 100% - 1 - - - - - - H&D IT Automotive
Luxembourg S.a r.l 109 Germany 100% (0.01) (4) - - - - - -
Services GmbH
HCL Technologies Egypt
73 Egypt 100% 0.02 13 0.01 1 - - 0.01 1 CA Management
Limited 110 Germany 100% - (3) - - - - - -
Services GmbH
HCL Technologies
74 Estonia 100% - 2 - 1 - - 0.01 1 H&D ITAS Infrastructure
Estonia OÜ 111 Germany 100% (0.01) (4) - - - - - -
Services GmbH
HCL Technologies
75 Thailand 100% 0.05 25 0.02 2 - - 0.02 2 H&D ITAS Application
(Thailand) Ltd. 112 Germany 100% - (2) (0.01) (1) - - (0.01) (1)
Services GmbH
HCL Technologies Czech Czech
76 100% 0.01 7 0.06 7 - - 0.07 7 H&D ITAS Client
Republic s.r.o. Republic 113 Germany 100% (0.01) (5) - - - - - -
Services GmbH
HCL Muscat
77 Oman 100% 0.02 9 (0.01) (1) - - (0.01) (1) 114 H&D ITAS Sud GmbH Germany 100% - (1) - - - - - -
Technologies L.L.C.
78 Powerteam, LLC USA 100% 0.40 206 0.19 21 - - 0.20 21 115 H&D International GmbH Germany 100% 0.01 6 0.02 2 - - 0.02 2
79 Point To Point Limited UK 100% 0.10 49 - - - - - - Honisgberg & Duvel Czech
116 100% 0.06 30 0.12 13 - - 0.12 13
Datentechnik Czech s.r.o. Republic
Point To Point Products
80 UK 100% 0.02 13 - - - - - - HCL Technologies
Limited 117 Vietnam 100% - 1 - - - - - -
Vietnam Company Limited
HCL Technologies
81 Lithuania 100% 0.05 27 0.05 5 - - 0.05 5 HCL Guatemala,
Lithuania UAB 118 Guatemala 100% (0.04) (23) 0.09 10 - - 0.10 10
Sociedad Anonima
HCL Technologies
82 China 100% 0.05 23 0.02 2 - - 0.02 2 119 Sankalp Semiconductor Inc. Canada 100% 0.01 7 - - - - - -
(Taiwan) Ltd.
83 Geometric Americas, Inc. USA 100% 0.47 241 (0.01) (1) - - (0.01) (1) 120 Sankalp USA Inc. USA 100% 0.01 7 (0.05) (5) - - (0.05) (5)
HCL Asia Pacific Pte Ltd Sankalp Semiconductor
121 Germany 100% - - - - - - - -
84 (Formely “Geometric Singapore 100% 0.06 30 0.02 3 - - 0.02 3 GmbH.
Asia Pacific Pte. Ltd”) Sankalp Semiconductor
122 Malaysia 100% - - - - - - - -
SDN.BHD.
85 Geometric Europe GmbH Germany 100% 0.17 89 (0.06) (7) - - (0.07) (7)
H C L Technologies
86 Geometric China, Inc. China 100% 0.04 20 0.04 4 - - 0.04 4 123 Sri Lanka 100% - 1 - - - - - -
Lanka (Private) Limited
87 Geometric SRL Romania 100% 0.01 6 0.01 1 - - 0.01 1 HCL TECHNOLOGIES
Trinidad and
88 Geometric SAS France 100% 0.07 34 0.03 3 - - 0.03 3 124 TRINIDAD AND 100% - - - - - - - -
Tobago
TOBAGO LIMITED
Butler America HCL Technologies
89 USA 100% 1.32 677 0.12 14 - - 0.13 14
Aerospace LLC 125 Azerbaijan Limited Azerbaijan 100% - - - - - - - -
Urban Fulfillment Liability Company
90 USA 100% 0.15 76 0.22 24 - - 0.23 24
Services LLC HCL Technologies
Datawave (An HCL 126 Bulgaria 100% - - - - - - - -
Bulgaria EOOD
Technologies Company) HCL Technologies
91 Scotland 100% 0.12 61 (0.05) (5) - - (0.05) (5) 127 Vietnam 100% - - - - - - - -
Limited (formely known (Vietnam) Company Limited
as “ETL Factory Limited”)
HCL Technologies Total 100.00 51,421 100.00 11,057 100.00 (548) 100.00 10,509
92 UK 100% 6.24 3,207 - - - - - -
Corporate Services Limited Non controlling interest (154) - (11) (11)
93 Telerx Marketing, Inc. USA 100% 0.82 416 0.72 79 - - 0.72 79 Consolidation adjustments - - 1,027 1,027
94 C3i Europe Eood Bulgaria 100% - (5) 0.07 7 - - 0.07 7 Consolidated Net assets / Profit after tax 51,267 11,057 468 11,525
95 C3i (UK) Limited UK 100% - - - - - - - -
Note: Dividend received from subsidiaries has been excluded from profits.
96 C3i Japan GK Japan 100% 0.01 4 0.01 1 - - 0.01 1
* The Group has equity interest of 49% and 100% dividend rights and control
C3i Services & Technologies
97 China 100% - 2 0.03 3 - - 0.03 3
(Dalian) Co., Ltd
HCL Technologies SEP
98 USA 80% (0.39) (198) (0.32) (35) - - (0.33) (35)
Holdings Inc
Actian Corporation (and
99 USA 80% 4.78 2,457 0.45 50 - - 0.47 50
including its subsidiaries)
Honisgberg & Duvel
100 USA 100% 0.01 4 - - - - - -
Corporation

336 Consolidated Financial Statements 337



338
Partner

23 April 2021
Rakesh Dewan

Gurugram, India
For B S R & Co. LLP
Chartered Accountants
3.38 Subsequent events

Membership Number: 092212

3.37 Change in classification

As per our report of even date attached

Firm’s Registration No.: 101248W/W-100022

financial statements were reclassified for consistency.
(All amounts in crores of ₹, except share data and as stated otherwise)

Shiv Nadar

23 April 2021
C. Vijayakumar

Noida (UP), India

Prahlad Rai Bansal
Chief Strategy Officer

Deputy Chief Financial Officer

Notes to consolidated financial statements for the year ended 31 March 2021

President and Chief Executive Officer

the Company’s recent milestone, crossing the $10 Billion mark in Revenue during FY’21.

Director
S. Madhavan

Manish Anand
Prateek Aggarwal

Company Secretary
Chief Financial Officer
For and on behalf of the Board of Directors of HCL Technologies Limited
` 10/- per equity share of ` 2/- each for FY 2021-22. The special interim dividend has been declared by the Board in recognition of
current assets’ to reflect more appropriately the nature of such amount. Comparative amounts in the notes to the consolidated

The Board of Directors has declared 1st Interim dividend of ` 6/- per equity share of ` 2/- each and a Special interim dividend of
During the year ended 31 March 2021, the Group modified the classification of ‘contract assets’ from ‘other financial assets’ to ‘other

Statement containing the salient features of the financial statements of subsidiaries/ associates companies
[Pursuant to first proviso to sub-section (3) of section 129 of the Companies Act, 2013, read with rule 5 of Companies (Accounts) Rules, 2014 in the prescribed Form AOC-I]
(Amount in B Thousand)
Exchange
Investments Profit/
Date of Financial Rate as on Profit/(Loss) Provision Extent of
Reporting Share Reserves & Total Total (other (Loss) Proposed
S. No Name of the Subsidiary Company acquisition / period respective Turnover before for shareholding
Currency Capital Surplus Assets Liabilities than in after Dividend
incorporation ended balance taxation taxation (in percentage)
subsidiaries) taxation
sheet date
1 HCL Comnet Systems & Services 24-Aug-99 31-Mar-21 INR 1.00 12,800 2,826 294,972 279,346 50,488 165,841 (13,493) (37) (13,456) - 100%
Limited
2 HCL Bermuda Limited 10-Dec-97 31-Mar-21 USD 73.11 33,613,092 46,178,310 79,791,402 - - 4,552,058 4,531,634 - 4,531,634 - 100%
3 HCL Technologies (Shanghai) 23-Jul-07 31-Dec-20 CNY 11.17 171,117 627,780 2,236,376 1,437,479 - 1,331,363 195,250 37,180 158,070 - 100%
Limited
4 HCL Singapore Pte. Limited 1-Jan-03 31-Mar-21 SGD 54.36 110,616 2,135,249 7,090,129 4,844,264 - 13,227,151 699,286 135,845 563,441 - 100%
5 HCL Training & Staffing Services 29-Feb-16 31-Mar-21 INR 1.00 17,513 (233,810) 294,626 510,923 33,076 324,406 (171,050) (72) (170,978) - 100%
Private Limited
6 HCL Great Britain Limited 7-Jan-97 31-Mar-21 GBP 100.77 1,064,923 2,750,830 6,305,721 2,489,968 - 4,866,577 341,805 41,818 299,987 - 100%
7 HCL Australia Services Pty. Limited 21-May-98 31-Mar-21 AUD 55.71 4,562,633 3,094,825 22,499,078 14,841,620 - 25,441,849 1,070,851 364,073 706,778 - 100%
8 HCL (New Zealand) Limited 28-Jan-98 31-Mar-21 NZD 51.17 2,375 537,706 3,294,354 2,754,273 - 4,611,842 344,348 94,989 249,359 - 100%
9 HCL Hong Kong SAR Limited 5-Jun-98 31-Mar-21 HKD 9.40 1,817 223,809 538,201 312,575 - 1,107,082 147,482 18,874 128,608 - 100%
10 HCL Japan Limited 10-Feb-98 31-Mar-21 JPY 0.66 145,376 909,516 6,515,886 5,460,994 - 11,752,559 507,349 205,929 301,420 - 100%
11 HCL America Inc. 17-Jan-95 31-Mar-21 USD 73.11 546,000 92,186,000 194,105,000 101,373,000 - 216,349,000 12,366,000 1,933,000 10,433,000 - 100%
12 HCL Technologies Austria GmbH 1-Mar-97 31-Mar-21 EUR 85.78 40,520 7,382,531 8,361,007 937,956 - 1,050,395 64,253 4,177 60,076 - 100%
13 HCL Software Products Limited 22-Feb-99 31-Mar-21 INR 1.00 1,061 1,471,928 13,221,900 11,748,911 877,254 12,835,416 1,604,716 587,089 1,017,627 - 100%
(Formerly “HCL Global Processing
Services Limited”)
14 HCL Technologies (Taiwan) Ltd. 15-Dec-16 31-Mar-21 TWD 2.57 28,217 53,993 274,958 192,748 - 219,966 30,250 7,240 23,010 - 100%
15 HCL Technologies Lithuania UAB 26-Aug-16 31-Mar-21 EUR 85.78 30,880 235,274 1,046,678 780,524 - 1,648,605 104,953 16,016 88,937 - 100%
16 HCL Poland Sp.z.o.o 31-May-07 31-Mar-21 PLN 18.44 255,369 1,171,473 2,486,439 1,059,597 - 4,698,154 323,032 78,032 245,000 - 100%
17 HCL EAS Limited 11-Sep-08 31-Mar-21 USD 73.11 11,519,256 (12,240,534) 55,020,266 55,741,544 - 256,396 327,148 950 326,198 - 100%
18 HCL Insurance BPO Services 1-Sep-08 31-Mar-21 GBP 100.77 817,107 (147,194) 1,444,340 774,427 - 2,085,259 (29,269) - (29,269) - 100%
Limited
19 Axon Group Limited 15-Dec-08 31-Mar-21 GBP 100.77 68,321 19,274,746 19,343,999 932 - - 238,138 (2,517) 240,655 - 100%
20 HCL Canada Inc. (Formerly “HCL 15-Dec-08 31-Mar-21 CAD 58.03 12,000 4,563,100 8,682,000 4,106,900 - 14,729,200 675,500 253,900 421,600 - 100%
Axon Technologies Inc.”)
21 HCL Technologies Solution GmbH 15-Dec-08 31-Mar-21 CHF 77.56 9,307 362,927 1,136,011 763,777 - 2,255,361 142,360 30,092 112,268 - 100%
22 Axon Solutions Limited 15-Dec-08 31-Mar-21 GBP 100.77 101 6,148,840 6,440,010 291,069 - 1,396,479 1,391,757 28,731 1,363,026 - 100%
23 HCL Technologies Malaysia Sdn. 15-Dec-08 31-Dec-20 MYR 18.18 1,455,818 941,960 6,454,658 4,056,880 - 6,442,546 650,749 192,764 457,985 - 100%
Bhd. (Formerly “HCL Axon Malaysia
Sdn. Bhd.”)
24 Axon Solutions (Shanghai) Co. 15-Dec-08 31-Dec-20 CNY 11.17 23,118 1,431,151 4,890,627 3,436,358 - 3,739,560 402,119 134,174 267,945 - 100%
Limited
25 HCL Technologies (Proprietary) Ltd 15-Dec-08 31-Mar-21 ZAR 4.94 430,032 2,128,978 4,981,418 2,422,408 - 6,972,571 749,342 227,183 522,159 - 48%
(Formerly “HCL Axon (Proprietary)
Limited”) (Note 8)
26 HCL Argentina s.a. 27-Jul-09 31-Mar-21 ARS 0.80 3,513 131,666 434,908 299,729 - 371,547 (40,674) 13,503 (54,177) - 100%
27 HCL Mexico S. de R.L. 25-Jun-09 31-Dec-20 MXN 3.68 168,317 990,433 4,382,979 3,224,229 - 5,566,294 72,295 9,772 62,523 - 100%
28 HCL Technologies Romania s.r.l. 28-May-09 31-Dec-20 RON 18.44 6,516 151,065 933,482 775,901 - 1,275,611 112,279 23,557 88,722 - 100%
Statement under Section 129

29 HCL Hungary Kft 12-May-09 31-Mar-21 HUF 0.24 3,839 20,851 190,699 166,009 - 252,440 1,141 502 639 - 100%
30 HCL Latin America Holding LLC 30-Mar-09 31-Mar-21 USD 73.11 1,279,133 (156,012) 3,147,282 2,024,161 - 184,790 (167,127) 388 (167,515) - 100%
31 HCL (Brazil) Technologia da 30-Dec-08 31-Dec-20 BRL 14.07 429,108 515,586 3,160,257 2,215,563 - 3,739,681 (37,406) (22,872) (14,534) - 100%
informacao EIRELI
32 HCL Technologies Denmark Apps 23-Jun-10 31-Mar-21 DKK 11.55 37,751 1,236,391 3,355,069 2,080,927 - 6,117,783 345,721 76,232 269,489 - 100%
339
 (Amount in B Thousand)
Exchange
Investments Profit/

340
Date of Financial Rate as on Profit/(Loss) Provision Extent of
Reporting Share Reserves & Total Total (other (Loss) Proposed
S. No Name of the Subsidiary Company acquisition / period respective Turnover before for shareholding
Currency Capital Surplus Assets Liabilities than in after Dividend
incorporation ended balance taxation taxation (in percentage)
subsidiaries) taxation
sheet date
33 HCL Technologies Norway AS 9-Jun-10 31-Mar-21 NOK 8.59 25,713 2,058,973 3,378,688 1,294,002 - 4,143,020 (6,368) (1,381) (4,987) - 100%
34 PT. HCL Technologies Indonesia 13-Aug-10 31-Mar-21 IDR 0.01 52,313 135,935 452,419 264,171 - 475,933 91,008 22,471 68,537 - 100%
Limited
35 HCL Technologies Philippines Inc. 24-Nov-10 31-Mar-21 PHP 1.51 410,129 993,788 2,617,092 1,213,175 - 3,370,987 294,268 225,711 68,557 - 100%
36 HCL Technologies South Africa 14-Sep-10 31-Mar-21 ZAR 4.94 1,315,923 206,107 1,561,924 39,894 - 33,410 11,690 3,273 8,417 - 36%
(Proprietary) Limited (Note 8)
37 HCL Arabia LLC 7-May-11 31-Dec-20 SAR 19.47 118,794 87,011 874,918 669,113 - 918,424 91,527 15,458 76,069 - 100%
38 HCL Technologies France SAS 7-Mar-11 31-Mar-21 EUR 85.78 215,819 1,277,753 6,459,340 4,965,768 - 9,574,940 242,051 125,794 116,257 - 100%
39 Filial Espanola De HCL 12-Jan-11 31-Mar-21 EUR 85.78 25,734 315,915 2,579,585 2,237,936 - 2,879,526 121,862 29,670 92,192 - 100%
Technologies S.L
40 Anzospan Investments Pty Limited 15-Mar-11 31-Mar-21 ZAR 4.94 303,692 1,069,308 1,955,194 582,194 - - (278,498) - (278,498) - 70%
(Note 8)
41 HCL Investments (UK) Limited 9-Nov-11 31-Mar-21 USD 73.11 779,770 2,604,668 7,027,219 3,642,781 - 445,296 403,366 68,285 335,081 - 100%
42 HCL America Solutions Inc. 26-Jun-12 31-Mar-21 USD 73.11 700 495,900 4,271,900 3,775,300 - 13,455,100 485,400 122,100 363,300 - 100%
43 HCL Technologies Chile Spa 10-Jun-13 31-Dec-20 CLP 0.10 61,904 269,743 1,255,017 923,370 - 823,853 65,405 14,290 51,115 - 100%
44 HCL Technologies UK Limited 20-Aug-13 31-Mar-21 GBP 100.77 14,658,970 (727,490) 44,233,408 30,301,928 334,540 59,798,280 3,446,210 689,230 2,756,980 - 100%
45 HCL Technologies B.V. 19-Sep-13 31-Mar-21 EUR 85.78 8,578 1,947,207 6,425,526 4,469,741 - 12,958,940 787,472 187,102 600,370 - 100%
46 HCL (Ireland) Information Systems 29-Oct-13 31-Mar-21 EUR 85.78 8,578 324,058 2,957,110 2,624,474 - 8,386,547 983,052 124,220 858,832 - 100%
Limited
47 HCL Technologies Germany Gmbh 21-Nov-13 31-Mar-21 EUR 85.78 10,782 773,082 11,388,226 10,604,362 - 22,048,692 635,284 170,074 465,210 - 100%
48 HCL Technologies Belgium BVBA 25-Nov-13 31-Mar-21 EUR 85.78 314,651 325,271 2,304,212 1,664,290 - 3,940,949 160,496 58,541 101,955 - 100%
49 HCL Technologies Sweden AB 18-Dec-13 31-Mar-21 SEK 8.39 11,576 11,183,807 22,861,138 11,665,755 - 35,572,496 1,441,290 393,800 1,047,490 - 100%
50 HCL Technologies Finland Oy 14-Jan-14 31-Mar-21 EUR 85.78 8,578 1,652,586 8,049,181 6,388,017 - 10,965,850 460,245 99,030 361,215 - 100%
51 HCL Technologies Italy S.P.A 29-Jul-14 31-Mar-21 EUR 85.78 243,612 781,224 3,922,041 2,897,205 - 5,564,164 216,332 62,688 153,644 - 100%
52 HCL Technologies Columbia S.A.S 6-Aug-14 31-Dec-20 COP 0.02 100,063 50,416 342,119 191,640 - 272,293 15,110 7,033 8,077 - 100%
53 HCL Technologies Middle East 19-Aug-14 31-Mar-21 AED 19.93 72,734 74,372 515,327 368,221 - 876,500 29,924 - 29,924 - 100%
FZ-LLC
54 HCL Istanbul Bilisim Teknolojileri 30-Sep-14 31-Mar-21 TRY 8.80 880 70,627 192,143 120,636 - 222,512 11,827 4,398 7,429 - 100%
Limited Sirketi
55 HCL Technologies Greece Single 30-Sep-14 31-Mar-21 EUR 85.78 37,828 20,598 166,344 107,918 - 118,131 5,998 1,974 4,024 - 100%
Member P.C
56 HCL Technologies S.A. 20-Nov-14 31-Mar-21 VES 0.00 89 468 20,692 20,135 - 21,583 517 187 330 - 100%
57 HCL Technologies Beijing Co. Ltd 6-Feb-15 31-Dec-20 CNY 11.17 70,617 86,877 634,539 477,045 - 824,202 36,023 19,693 16,330 - 100%
58 HCL Technologies Luxembourg 12-Feb-15 31-Mar-21 EUR 85.78 4,289 43,560 86,380 38,531 - 113,548 5,058 1,095 3,963 - 100%
S.a r.l
59 HCL Technologies Egypt Limited 22-Mar-15 31-Mar-21 EGP 4.65 21,658 25,171 176,674 129,845 - 199,499 20,147 4,530 15,617 - 100%
60 HCL Technologies Estonia OÜ 8-Jun-15 31-Mar-21 EUR 85.78 45,370 (1,841) 113,721 70,192 - 90,135 12,029 - 12,029 - 100%
61 HCL Technologies (Thailand) Ltd. 10-Jun-15 31-Mar-21 THB 2.34 45,894 67,886 343,252 229,472 - 239,069 7,939 4,836 3,103 - 100%
62 HCL Technologies Czech Republic 28-Aug-15 31-Dec-20 CZK 3.42 62,411 728,023 1,633,076 842,642 - 2,031,024 195,200 34,177 161,023 - 100%
s.r.o.
63 HCL Muscat Technologies L.L.C. 17-Dec-15 31-Mar-21 OMR 190.01 33,005 41,061 89,461 15,395 - 62,295 5,240 796 4,444 - 100%
64 Point To Point Limited 22-Jan-16 31-Mar-21 GBP 100.77 16,579 95,070 111,649 - - - 101 - 101 - 100%
65 Point to Point Products Limited # 22-Jan-16 31-Mar-21 GBP 100.77 - 68,470 99,802 31,332 - 168,132 32,744 6,227 26,517 - 100%
66 Statestreet HCL Holding UK Limited 9-Dec-11 31-Mar-21 GBP 100.77 644,440 (5,922) 643,994 5,476 - - (908) (159) (749) - 100%
(Note 6)
67 Statestreet HCL Services (India) 6-Jan-12 31-Mar-21 INR 1.00 393,693 5,385,485 8,221,243 2,442,065 - 5,833,541 876,636 160,876 715,760 - 100%
Private Limited (Note 6)
68 Statestreet HCL Services 20-Jun-13 31-Mar-21 PHP 1.51 129,468 170,699 301,684 1,517 - - (18,354) - (18,354) - 100%
(Philippines) Inc. (Note 6)
69 Geometric Europe GmbH 1-Apr-16 31-Mar-21 EUR 85.78 1,205,191 (812,042) 576,083 182,934 - 608,154 264,569 12,781 251,788 - 100%

(Amount in B Thousand)
Exchange
Investments Profit/
Date of Financial Rate as on Profit/(Loss) Provision Extent of
Reporting Share Reserves & Total Total (other (Loss) Proposed
S. No Name of the Subsidiary Company acquisition / period respective Turnover before for shareholding
Currency Capital Surplus Assets Liabilities than in after Dividend
incorporation ended balance taxation taxation (in percentage)
subsidiaries) taxation
sheet date
70 HCL Asia Pacific Pte Ltd (Formerly 1-Apr-16 31-Mar-21 SGD 54.36 5,436 299,686 724,823 419,701 - 635,890 60,986 4,962 56,024 - 100%
“Geometric Asia Pacific Pte. Ltd”)
71 Geometric China, Inc. 1-Apr-16 31-Dec-20 CNY 11.17 36,657 23,627 210,403 150,119 - 14,032 12,990 - 12,990 - 100%
72 Geometric Americas, Inc. 1-Apr-16 31-Mar-21 USD 73.11 881,910 242,653 1,822,478 697,915 - 2,236,862 99,105 46,154 52,951 - 100%
73 Geometric SRL 1-Apr-16 31-Dec-20 RON 18.44 6 99,605 112,937 13,326 - 72,154 4,168 775 3,393 - 100%
74 Butler America Aerospace LLC 3-Jan-17 31-Mar-21 USD 73.11 - 1,136,911 1,880,929 744,018 - 5,047,267 268,045 72,175 195,870 - 100%
75 HCL Software Limited (Formerly 30-Dec-14 31-Mar-21 INR 1.00 500 (500) 15 15 - - (238) - (238) - 100%
“HCL Foundation”)
76 Urban Fulfillment Services LLC 23-Aug-17 31-Dec-20 USD 73.07 807,424 (155,094) 1,795,454 1,143,124 - 2,464,023 612,320 - 612,320 - 100%
77 Datawave (An HCL Technologies 1-Sep-17 31-Mar-21 GBP 100.77 12 300,541 495,114 194,561 - 675,097 7,391 1,315 6,076 - 100%
Company) Limited
78 HCL Technologies Corporate 5-Mar-18 31-Mar-21 USD 73.11 - 1,027 27,770,320 27,769,293 - 8,364 482 97 385 - 100%
Services Limited #
79 C3i Support Services Private 6-Apr-18 31-Mar-21 INR 1.00 15,421 735,864 857,629 106,344 466,427 519,466 103,554 31,359 72,195 - 100%
Limited
80 Telerx Marketing, Inc. 6-Apr-18 31-Dec-20 USD 73.07 145 3,431,435 7,444,024 4,012,444 - 14,121,282 2,126,883 545,734 1,581,149 - 100%
81 C3i Europe Eood 6-Apr-18 31-Dec-20 BGN 45.89 6,929 682,412 1,303,933 614,592 - 2,500,218 121,459 12,160 109,299 - 100%
82 C3i (UK) Limited # 6-Apr-18 31-Dec-20 GBP 99.81 - 5,644 9,131 3,487 - 17,519 701 99 602 - 100%
83 C3i Japan GK # 6-Apr-18 31-Dec-20 JPY 0.71 - 26,170 80,647 54,477 - 118,135 14,511 4,318 10,193 - 100%
84 C3i Services &Technologies 6-Apr-18 31-Dec-20 CNY 11.17 21,901 384,297 455,775 49,577 - 443,542 92,596 17,584 75,012 - 100%
(Dalian) Co., Ltd
85 HCL Technologies SEP Holdings Inc 28-Mar-18 31-Dec-20 USD 73.07 1 11,759,594 16,565,357 4,805,762 - - (676,409) 1,209 (677,618) - 80%
86 Actian Corporation (Consolidated) 17-Jul-18 31-Dec-20 USD 73.07 1 427,971 12,570,744 12,142,772 - 8,694,380 2,106,243 297,176 1,809,067 - 80%
87 Actian Australia Pty Ltd # 17-Jul-18 31-Dec-20 AUD 56.29 - 377,964 707,462 329,498 - 839,456 190,901 45,751 145,150 - 80%
88 Actian Europe Limited # 17-Jul-18 31-Dec-20 GBP 99.81 - 92,821 966,117 873,296 - 2,267,852 22,297 5,642 16,655 - 80%
89 Actian France 17-Jul-18 31-Dec-20 EUR 89.76 3,321 27,808 253,213 222,084 - 287,641 5,493 1,531 3,962 - 80%
90 Actian Germany GmbH 17-Jul-18 31-Dec-20 EUR 89.76 2,244 46,745 427,036 378,047 - 655,574 28,420 8,539 19,881 - 80%
91 Actian International, Inc. # 17-Jul-18 31-Dec-20 USD 73.07 - 7,050 7,050 - - - - - - - 80%
92 Actian Netherlands B.V. 17-Jul-18 31-Dec-20 EUR 89.76 1,616 (484,007) 4,912 487,303 - 30,745 3,968 652 3,316 - 80%
93 Actian Technology Private Limited 17-Jul-18 31-Mar-21 INR 1.00 1,000 13,592 16,586 1,994 - 14,760 1,839 466 1,373 - 80%
94 Pervasive Software Inc. 17-Jul-18 31-Dec-20 USD 73.07 - - - - - - - - - - 80%
95 Versant GmbH 17-Jul-18 31-Dec-20 EUR 89.76 16,157 1,439,747 1,640,560 184,656 - 599,116 192,170 16,637 175,533 - 80%
96 Versant India Private Limited 17-Jul-18 31-Mar-21 INR 1.00 1,000 5,458 8,737 2,279 - - (50) - (50) - 80%
97 Versant Software LLC 17-Jul-18 31-Dec-20 USD 73.07 2,672,371 (653,639) 3,341,684 1,322,952 - 148,149 (129,824) - (129,824) - 80%
98 HCL Technologies Vietnam 27-Apr-18 31-Mar-21 VND 0.00 3,628 8,929 81,070 68,513 - 54,227 5,914 1,289 4,625 - 100%
Company Limited
99 HCL Guatemala, Sociedad Anonima 22-Feb-19 31-Dec-20 GTQ 9.37 197,432 238,182 3,010,677 2,575,063 - 3,709,791 205,796 52,168 153,628 - 100%
100 Sankalp Semiconductor Private 10-Oct-19 31-Mar-21 INR 1.00 15,178 842,295 1,253,518 396,045 254,572 1,661,758 293,001 58,773 234,228 - 100%
Limited
101 Sankguj Semiconductor Private 10-Oct-19 31-Mar-21 INR 1.00 4,300 (3,736) 1,641 1,077 - - (300) - (300) - 100%
Limited
102 Sankalp Semiconductor Inc. 10-Oct-19 31-Mar-21 CAD 58.03 4,643 55,879 84,629 24,107 - 105,987 13,878 3,413 10,465 - 100%
103 Sankalp USA Inc. # 10-Oct-19 31-Dec-20 USD 73.07 - (3,224) 61,452 64,676 - 130,121 4,851 2,209 2,642 - 100%
104 Sankalp Semiconductor GmbH. 10-Oct-19 31-Mar-21 EUR 85.78 2,144 103 3,797 1,550 - - (2,312) - (2,312) - 100%
Statement under Section 129

105 Sankalp Semiconductor SDN.BHD. 10-Oct-19 31-Mar-21 MYR 17.64 8,818 (7,623) 1,292 97 - - (1,108) - (1,108) - 100%
106 H C L Technologies Lanka (Private) 29-Nov-19 31-Mar-21 LKR 0.37 13,248 2,511 558,932 543,173 - 258,857 4,913 - 4,913 - 100%
Limited
107 HCL Technologies Bulgaria EOOD 18-Nov-19 31-Dec-20 BGN 45.89 3,900 4,264 39,207 31,043 - 17,773 754 73 681 - 100%
341
 (Amount in B Thousand)
Exchange
Investments Profit/

342
Date of Financial Rate as on Profit/(Loss) Provision Extent of
Reporting Share Reserves & Total Total (other (Loss) Proposed
S. No Name of the Subsidiary Company acquisition / period respective Turnover before for shareholding
Currency Capital Surplus Assets Liabilities than in after Dividend
incorporation ended balance taxation taxation (in percentage)
subsidiaries) taxation
sheet date
108 HCL Technologies Trinidad and 23-May-19 31-Dec-20 TTD 10.81 - 970 28,625 27,655 - 28,625 1,386 416 970 - 100%
Tobago Limited
109 HCL Technologies Azerbaijan 8-Oct-19 31-Dec-20 AZN 43.01 73 (956) 1,419 2,302 - - (956) - (956) - 100%
Limited Liability Company
110 HCL Vietnam Company Limited 16-Mar-20 31-Mar-21 VND 0.00 7,344 5,533 237,889 225,012 - 103,529 12,428 6,895 5,533 - 100%
(Formerly known as HCL
Technologies (Vietnam) Company
Limited)
111 DWS Limited (Note 4) 5-Jan-21 31-Mar-21 AUD 55.71 1,627,767 (492,312) 9,560,372 8,424,917 - 64,513 (229,989) 59,460 (289,449) - 100%
112 DWS (New Zealand) Ltd (Note 4) 5-Jan-21 31-Mar-21 NZD 51.17 5 (810) 7,762 8,567 - 6,995 (3,078) - (3,078) - 100%
113 Phoenix IT & T Consulting Pty Ltd 5-Jan-21 31-Mar-21 AUD 55.71 13,649 301,912 1,033,791 718,230 - - 405 - 405 - 100%
(Note 4)
114 Wallis Nominees (Computing) Pty 5-Jan-21 31-Mar-21 AUD 55.71 55,761 1,248,636 3,996,918 2,692,521 - 886,486 2,482 7,829 (5,347) - 100%
Ltd (Note 4)
115 DWS (NSW) Pty Ltd (Note 4) 5-Jan-21 31-Mar-21 AUD 55.71 6 305,436 1,876,392 1,570,950 - 198,110 46,284 10,194 36,090 - 100%
116 Symplicit Pty Ltd (Note 4) # 5-Jan-21 31-Mar-21 AUD 55.71 - 204,381 356,144 151,763 - 87,301 6,772 2,543 4,229 - 100%
117 Projects Assured Pty Ltd (Note 4) 5-Jan-21 31-Mar-21 AUD 55.71 11,142 551,135 2,115,094 1,552,817 - 815,301 215,692 - 215,692 - 100%
118 DWS Product Solutions Pty Ltd 5-Jan-21 31-Mar-21 AUD 55.71 662 56,741 4,929,411 4,872,008 - - 39 - 39 - 100%
(Note 4)
119 Graeme V Jones & Associates Pty 5-Jan-21 31-Mar-21 AUD 55.71 25 50,792 57,537 6,720 - - - - - - 100%
Ltd (Note 4)
120 Strategic Data Management Pty 5-Jan-21 31-Mar-21 AUD 55.71 6 (873) 197,631 198,498 - - - - - - 100%
Ltd (Note 4)
121 SDM Sales Pty Ltd (Note 4) # 5-Jan-21 31-Mar-21 AUD 55.71 - 7,224 14,206 6,982 - - - - - - 100%
122 PowerTeam, LLC 28-Oct-15 31-Mar-21 USD 73.11 91 2,839,106 3,735,829 896,632 - 3,539,297 96,670 - 96,670 - 100%

Notes:

1 Indian rupee equivalents of the figures given in foreign currencies in the accounts of the subsidiary companies, are based on the exchange rates as mentioned above for respective
subsidiary.

2 # Refer table given below for absolute amount of share capital in the following company:

Name of the Subsidiary Company Share Capital (`)

Point to Point Products Limited 202
HCL Technologies Corporate Services Limited 73
C3i (UK) Limited 100
C3i Japan GK 1
Actian Australia Pty Ltd 56
Actian Europe Limited 100
Actian International, Inc. 73
Sankalp USA Inc. 111
Symplicit Pty Ltd 89
SDM Sales Pty Ltd 56

3 Following are the entities incoporated during the year but are yet to commence operations.

Name of the Subsidiary Company Date of Incorporation

HCL Technologies Angola (SU), LDA 30 June 2020
HCL Technologies S.A.C. 11 September 2020

4 DWS Limited (and its subsidiaries) was acquired on 5 January 2021.

5 Following are the entities which have been merged during the year.
S. No. Transferor company Transferee company Order date Effective date of Merger
1 Hönigsberg & Düvel Corporation HCL America Inc 29 June 2020 1 July 2020
2 Axon Solutions Singapore Pte. Limited HCL Singapore Pte. Limited 7 July 2020 1 July 2020
3 HCL Eagle Limited HCL Technologies Limited 13 July 2020 * 1 April 2019
4 HCL Comnet Limited HCL Technologies Limited 13 July 2020 * 1 April 2019
5 HCL Technologies Solutions Limited HCL Technologies Limited 13 July 2020 * 1 April 2019
6 Concept2Silicon Systems Private Limited HCL Technologies Limited 13 July 2020 * 1 April 2019
7 Hönigsberg & Düvel Datentechnik Czech s.r.o. HCL Technologies Czech Republic s.r.o. 1 October 2020 1 July 2020
8 HCL Belgium NV HCL Technologies Belgium BVBA 27 October 2020 1 April 2020
9 HCL Sweden AB HCL Technologies Sweden AB 30 December 2020 30 December 2020
10 HCL Netherlands BV HCL Technologies B.V. 5 January 2021 1 April 2020
11 H&D Business Services GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
12 H&D IT Solutions GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
13 H&D Training und Consulting GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
14 H&D International GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
15 H&D IT Professional Services GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
16 qmo-it GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
17 H&D Services for Engineering GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
18 CATIS GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
19 H&D IT Automotive Services GmbH Hönigsberg & Düvel Datentechnik GmbH 1 April 2021 1 January 2020
20 CA Management Services GmbH CATIS GmbH 1 April 2021 1 January 2020
21 H&D ITAS Infrastructure Services GmbH H&D IT Automotive Services GmbH 1 April 2021 1 January 2020
22 H&D ITAS Application Services GmbH H&D IT Automotive Services GmbH 1 April 2021 1 January 2020
23 H&D ITAS Client Services GmbH H&D IT Automotive Services GmbH 1 April 2021 1 January 2020
24 H&D ITAS Süd GmbH H&D IT Automotive Services GmbH 1 April 2021 1 January 2020
25 Hönigsberg & Düvel Datentechnik GmbH HCL Technologies Germany GMBH 6 April 2021 1 January 2020
26 HCL GMBH HCL Technologies Germany GMBH 6 April 2021 1 April 2020
27 Geometric SAS # HCL Technologies France SAS 20 April 2021 31 March 2021

* This represent date of order file with the regulatory authorities

# Geometric SAS merged with HCL Technologies France on mid night of 31 March 2021 and ceased to exist w.e.f 1 April 2021.
Statement under Section 129
343
 6 With respect to entities on serial number 66, 67 and 68, the Group has equity interest of 49% and 100% dividend rights and control.

344
7 Axon Solutions Pty. Limited is under liquidation hence, no financial statement has been prepared as per their local laws.

8 With respect to entities on serial number 25, 36 and 40, the Group has majority composition of board of directors and management control.

9 The merger of PowerTeam, LLC, (a Delaware Limited Company), a step-down wholly owned subsidiary of the Company with and into HCL America Inc. (incorporated in California,
USA), another step-down wholly owned subsidiary of the Company with effect from 1 January 2021 was approved by the State of Delaware on 3 December 2020. The approval
from the California Secretary of State was subsequently received on 11 May 2021, effective date of the merger.

10 On 30 September 2017, the Group has terminated its existing arrangements with DXC. Accordingly, CeleritiFinTech Limited (and its step down subsidiaries) and Celeritifintech
Services Limited (and its step down subsidiaries) has not been consolidated with the Group from that date. Accordingly, their standalone financial statements are not considered
for the purpose of this statement.

11 In view of the Covid -19 pandemic, the financial details of few subsidiaries in certain geographies, whose audit is in progress, have been reported from their unaudited financials.

For HCL Technologies Limited

Roshni Nadar Malhotra S. Madhavan C. Vijayakumar

Chairperson Director Chief Executive Officer and Managing Director

Prateek Aggarwal Prahlad Rai Bansal Manish Anand

Chief Financial Officer Deputy Chief Financial Officer Company Secretary

Place: Noida, UP (India)

Date: 30 July 2021

Statement under Section 129

345