NIIT Tech Jan-Mar net falls 8% on currency losses

Revenue for Jan-March quarter rose 41% at Rs 443 cr

Infotech solutions vendor NIIT Technologies today reported an 8% decline in net profit at Rs 46.2 crore for the quarter ended March 31, 2012 due to currency losses and higher tax outgo.

The company had reported a net profit of Rs 50 crore for the same period last year.

"The decline in margins is primarily on account of currency losses that we experienced during the quarter," NIIT Technologies CEO Arvind Thakur told reporters here.

The revenue for the January-March quarter rose 41% at Rs 443.5 crore from Rs 315.7 crore in year-ago period.

Thakur also attributed the decline in net profit to larger proportion of taxes and loss in other income.

"The tax holiday came to an end this financial year, so we have higher incidence of taxes this year compared to last year," he added.   

Thakur said the US and Europe, the Middle East and Africa (EMEA) regions contributed 37% each to the total revenue. The revenue share of APAC and India stood at 13% each.

The company got fresh orders worth $92 million during the quarter and it added four clients, two in travel and transportation segment, one each from BFSI and government, Thakur said.

During the quarter, 384 people were added taking the total headcount to 7,362 at the end of the period.

Net profit for the year grew by 8.2% to Rs 197.2 crore from Rs 182.22 crore last year, while the revenues grew 27.9% to Rs 1,576.5 crore from Rs 1,232.3 crore the previous year.    

"Twenty-eight per cent growth during the year came on the back of new large engagements and expansion within our top accounts," Thakur said.    

The company is planning a capital expenditure of Rs 81 crore for financial year 2012-2013.