Patni FY07 net income up 72% at Rs 449cr

Mumbai-based Patni Computer Systems reported a 71.8% increase in consolidated net income at Rs 449.18 crore for the year ended December 31, 2007 when compared with Rs 261.36 crore in FY06.

Total income was up 2.3% at Rs 2,612.5 crore for the year ended December 31, 2007 when compared with Rs 2,553.3 crore in FY06.

The company reported a 12% decline in consolidated net income at Rs 99.7 crore for the fourth quarter ended December 31, 2007 when compared with Rs 113.49 crore in Q4CY06.

Revenue for the quarter at Rs 686.19 crore was up marginally (0.83%) from Rs 680.49 crore in the corresponding quarter of the last financial year.

Sequentially (quarter-on-quarter basis), net income was down 9% from Rs 109.7 crore, and revenue was up 1.8% from Rs 673.57 crore.

The total foreign exchange gain for the full year stood at approximately $23.4 million (Rs 92.0 crore) contributing 3.5% to operating margins during the year as against a loss of $2.7 million (Rs 12.12 crore) in 2006. At the end of Q4CY07, the company had overall forex hedge of $249.2 million.

The company expects revenue in the first quarter of the current year to be between $175 and176 million and net income (excluding the foreign exchange gain/loss) in the range of $15.5-$16 million based on Rs 39.40 per dollar.

Narendra K Patni, chairman & CEO, Patni Computer Systems, said: " In 2007, we have grown profits by managing our operations including forex changes very well. This highlights our ability to deliver sustained growth by focusing on improving internal operations while increasing our reach to customers worldwide. Overall, as the market dynamics are changing, including our customer mix , we remain confident about our business momentum and continue to further expand the focus on improving internal efficiencies."