A day before India’s largest IT firm Tata Consultancy Services announces its first quarter results for 2009-10, its subsidiary CMC reported a jump of 70 per cent in its ITeS (IT-enabled Services) business, largely due to a revival in the US market.
“Our international business, that is the US market, almost doubled year-on-year. It grew from Rs 7 crore to Rs 16 crore this quarter. The margins of the ITeS business also moved up from 12 per cent to 38 per cent Y-o-Y,” CMC’s Chief Financial Officer J K Gupta said. CMC registered 5 per cent sequential growth in the US market and saw a 27 per cent growth year-on-year.
L&T’s profit triples after stake sale
The first-quarter profit of Larsen and Toubro (L&T), India’s largest engineering and construction firm, more than tripled to Rs 1,598.20 crore from Rs 502.44 crore following the sale of its stake in Ultratech last month. Income rose 6.72 per cent to Rs 7,408.29 crore. The profit before exceptional gain rose 12.75 per cent to Rs 851.35 crore without the Rs 1,019.88 crore earned from selling the 11.49 per cent stake in Ultratech Cement, Executive Vice-President R Shankar Raman said. However, order inflows in the first quarter fell 22 per cent from a year earlier to Rs 9,571 crore. “The economic buoyancy prevailing in the early part of the previous year transformed into a cautious wait-and-watch approach, resulting in relatively lower order inflows during the quarter as compared with the corresponding quarter of the previous year,” the company said.
JK Tyres net up 101%
JK Tyres & Industries Ltd on Thursday reported a 101 per cent rise in net profit for the quarter ended June 2009 to Rs 40.75 crore. The net profit earned for the same quarter last year stood at Rs 20.24 crore. Sales for the first quarter rose by 5.72 per cent to Rs 897.67 crore against last year. “The excellent performance for the current year has been achieved on the back of all-round cost reduction measures, better operating efficiencies and productivity, and richer product mix,” said Raghupati Singhania, vice-chairman & MD, JK Tyres.
ICI’s Q1 net drops 2.4%
Paint-maker ICI India Ltd (ICI) posted a 2.4 per cent drop in net profit for the first quarter of FY10 at Rs 69.2 crore, compared with the same period last financial year. The drop was on account of higher tax provisioning and lower indexation benefit in investment income. Net sales for the quarter were up 6 per cent over the last fiscal at Rs 239 crore.
