Polaris Fin Tech Mar-qtr net down 28% at Rs 49 cr

The consolidated net income rose by 5% to Rs 542.83 cr

Financial technology firm Polaris Financial Technology today reported 28% fall in consolidated net profit at Rs 43.83 crore for the quarter ended March 31, 2013.

The Chennai-headquartered company also said it will sell its 85.30% stake in US-based firm IdenTrust Inc, following an order received from the Committee of Foreign Investment in the US, it said in a BSE filing.

The firm had posted a net profit of Rs 61.14 crore in the year-ago period.

Polaris's consolidated net income rose by 5% to Rs 542.83 crore in the January-March quarter of last fiscal from Rs 516.69 crore in the same quarter of 2011-12 fiscal.

On the sale of IdenTrust it said, Polaris on April 27, 2011 made an investment aggregating Rs 88.13 crore composing of 85.30% stake in the firm, which is engaged in the business of trusted identity solutions and digital identity authentication services in the US.

"Pursuant to an order received from the Committee of Foreign Investment in the US, the boards of directors have made a decision to sell its investment in IdenTrust Inc and are in the process of finalising a prospective buyer and completing the transaction.

"Management is confident of being able to complete the transaction shortly and expects a positive return on such sale," the filing said.

For the 2012-13 fiscal, Polaris's consolidated net profit declined by 9% to Rs 200.80 crore from Rs 220.70 crore in the 2011-12 fiscal.

Its consolidated net income rose to Rs 2,258.63 crore from Rs 2,049.15 crore during the reviewed period.