Aztecsoft net dips 38.5%

The appreciating rupee has hit the margins of the software engineering provider Aztecsoft with the company's net profit dipping 38.51 per cent during the first quarter ended June 30 compared with the corresponding quarter in the last financial year. Net profit for the quarter ended June 30 was Rs 5.7 crore.

The top line during the first quarter was Rs 59.07 crore (Rs 59.48 crore), dipping marginally. The company has admitted its revenues were impacted to the tune of 6.8 per cent due to exchange rate variation.

Though the company undertook measures such as control over operations, better utilisation and hedging to minimise the impact of the rupee appreciation, the operating profit was down 60 per cent over the corresponding quarter last year.

Operating profit was Rs 3.91 crore during the period. On a sequential basis too, net profit has slipped 15.5 per cent. While the top line witnessed a dip of 5.1 per cent, operating profit too witnessed a negative growth of 28.12 per cent.

During the quarter under review, the company added four new clients and renewed the contracts of two of its top five clients.

The total number of active clients stood at 87, he added.