The MphasiS, an EDS company, posted a 54 per cent increase in net profit to Rs 79 crore for the quarter ended June 30, 2008 from Rs 51 crore in the corresponding quarter of the last financial year.
Revenues for this quarter stood at Rs 742 crore, an increase of 40 per cent over last year same quarter.
Sequential quarter revenues grew by 12.9 per cent from Rs 657.6 crore in the quarter ended 31 March 2008. On a quarter-on-quarter basis, net profits grew by 10.6 per cent from Rs 71.4 crore.
The group added 1206 employees during the quarter. Cash and Bank balance stood at Rs 116.5 crore with 43 days of debtors outstanding.
Profits during the quarter ended 30 June 2008 were impacted by Visa costs amounting to Rs 9.3 crore. The net margin and operating margin were impacted by 1.3 per cent on consolidated revenues due to the change in the accounting treatment.
Jeya Kumar, CEO said “Anticipating changes in our business due to altered global market demands, we undertook specific initiatives to meet the challenges of next generation outsourcing. Our results are an indication of the early benefits of organizational and structural transformation. As we progress into the fiscal, we are expanding aggressively, adding new domain specific services to our portfolio. We have increased our focus on leveraging technologies to deliver innovative solutions to our clients.”
During the quarter the Group added 28 new clients including relationships through EDS. These include clients in multiple sectors like Banking and Financial, Telecom, Manufacturing, Logistics and Healthcare covering all the business lines of Application services, BPO services and ITO services.