NIIT Technologies Q1 FY 15 revenues up 6.6%
New Delhi, India, July 16, 2014: NIIT Technologies Limited (NSE: NIITTECH), a leading global IT solutions organization, today announced its financial results for the quarter ended in June 30, 2014 with a revenue increase of 6.6% over the same period last year to 577.6 Crores. Sequentially revenues declined 1.8% during the quarter. Operating Profits stood at 77.5 Crores and Profit after Tax at 43.2 Crores.
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Qtr ended |
Qtr ended |
Growth |
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| Consolidated Revenues |
541.9 |
577.6 |
6.6% |
| Operating Profit |
78.2 |
77.5 |
-0.8% |
| Profit After Tax |
53.2 |
43.2 |
-18.7% |
Lower other income at 3.6 crores as compared to 20.6 crores in the same quarter last year, on account of revaluation of current assets and liabilities due to rupee depreciation, has resulted in YoY decline in PAT.
CEO and Joint MD of NIIT Technologies Ltd Arvind Thakur said, “In constant currency, revenues remained flat sequentially during the quarter. Operating Margins declined 171 bps to 13.4% primarily on account of wage increase during the quarter.”
US geography had a setback when two clients in the BFSI segment scaled down their business impacting overall growth in the region. In all US contributed to 44% of total revenues during the quarter, EMEA to 36% and the rest of the world to 20%. Among industry segments, Travel and Transportation, Manufacturing/Distribution, and Government segments grew sequentially while business in BFSI declined due to reduction in revenues from US BFSI clients. BFSI contributed to 34% of total revenues, Travel and Transportation to 39% Manufacturing/Distribution to 7% and Government contributed to 6% to the revenue mix.
COO of NIIT Technologies Ltd Sudhir Chaturvedi said, “Fresh orders of USD 124 Mn were secured during the quarter. This includes a large multimillion dollar contract with a major airline”.
The Company has entered into a five year engagement with a major airline in the Asia Pacific region. The scope of the multimillion dollar contract encompasses Application Support, Maintenance, Testing and Project services and will leverage NIIT Technologies’ knowledge and expertise in aviation systems.
The Company added 4 new clients, two in BFSI and two in the Travel and Transportation segment during the quarter. USD 295m worth of business is executable over the next 12 months from the order book.
During the quarter the company successfully executed and implemented the Airport Operations Control Centre (AOCC) at Chennai Airport. The project is a key initiative undertaken by Airports Authority of India to improve capacity utilization, passenger throughput, and key stakeholder management for improved service. This is the first multi airport implementation in Asia which will be rolled across 10 airports in India.
Chairman of NIIT Technologies Ltd. Rajendra S. Pawar said, “The Company continued its momentum of securing large deals during the quarter. Revenues are expected to scale during the second half of the year”.
Total headcount stood at 8,282 at the end of the quarter under review.
