Infosys BPO net rises 43%

Infosys BPO has posted 43 per cent jump in its net profit for the second quarter ended September 30, 2007, to Rs 39.50 crore compared with that in the same period last year.

Its revenues went up by 35 per cent to Rs 212 crore compared with those in the year-ago period. The BPO business received a major boost during the quarter with the addition of a multi-million dollar contract from Royal Philips Electronics of the Netherlands. V Balakrishnan, chief financial officer, said the BPO subsidiary had expanded its footprint into Poland and Thailand while strengthening its European operations. Headcount in the BPO subsidiary went up to 13,000 professionals during the quarter.

The other notable and much talked about subsidiary, Infosys Consulting, has continued to bleed heavily. This arm has reported a net loss of Rs 48 crore, which rose 4 times during the quarter compared with the same period last year. However, its top line has improved by 20 per cent to Rs 65 crore during the period.

The company's Australian subsidiary, Infosys Technologies (Australia) has reported 75 per cent rise in its net profit to around Rs 28 crore compared with that in the same period last year. Its top line grew 20 per cent to Rs 138 crore during the quarter. Infosys Technologies (China) has also reported a loss of Rs 4.8 crore, even as its revenue went up by 17 per cent to Rs 20 crore.

During the second quarter of the current financial year, Infosys opened its subsidiary in Mexico, which would service clients in the US and also pitch for new clients, said Balakrishnan.

He said the company would further its investment in its Mexican subsidiary from $1 million to $2 million during the remaining quarters of the current financial year. "We are actively pitching for new clients in Mexico. For the time being, we are servicing our clients in the US, who are in the same time zone. We will also increase our headcount in this centre by end of this year from the present 27 employees."