Software firm iGate today reported 19.42 per cent decline in its revenue at $44.8 million in the first quarter of 2009. The company follows January-December as its acccounting year. The Nasdaq-listed firm had a revenue of $55.6 million in the March quarter of FY 08, it said in a statement.
“Our revenue and net income were down...(as) a large part of our business comes from the financial services — the sector worst hit by recession... (also) most of our revenues come from the US — which is also hit by recession,” said Phaneesh Murthy, CEO, iGate Corporation.
Net income from continuing operations was at $5 million, compared to $6.4 million in the same period last fiscal, the integrated technology and operations firm said.
During the quarter, the company added five new customers. As of March 2009, the company had 6,492 employees, the statement added.
“While we are engaged actively in several conversations with both clients and prospects, slow decision making has impacted closures,” Murthy said.
“We faced a challenging first quarter which negatively impacted revenue. Despite the revenue decline, we increased our operating margin through a persistent focus on cost discipline. The weak global economy and global currency fluctuations continue to be a cause of concern going forward,” said Sujit Sircar, CFO, iGate Corp.