Polaris Q4 net up 3.6% to Rs 45.41 cr

Company reported a net profit of Rs 43.83 crore in the January-March 2013 quarter

Mid-sized IT firm Polaris Financial Technology today said its consolidated net profit has increased 3.6% to Rs 45.41 crore in the quarter ended March 31, 2014.

This is against a net profit of Rs 43.83 crore in the January-March 2013 quarter, Polaris said in a statement.

The company's revenues grew 16.3% to Rs 645.49 crore for the said quarter from 554.73 crore in the corresponding quarter last year.

For the fiscal ended March 31, 2014, Polaris saw net profit dipping marginally to Rs 199.19 crore, while revenues grew 8.2% to Rs 2,499.06 crore compared to the previous fiscal.

"Profit after tax was at Rs 199 crore after absorbing hedging losses of Rs 104 crore. We expect to see a upside to EPS in the coming year as hedging losses move out," Polaris Chief Financial Officer S Swaminathan said.

He added that the company generated an additional cash of over Rs 170 crore in the quarter, bringing the cash position to Rs 691 crore after payout of Rs 54 crore towards the PCFC loan.

Last month, the company had announced the demerger of its products business into a separate unit.

After the process is completed, the product company will be called Intellect Design Arena, while Polaris will continue to run the Services business.

For the January-March 2014 quarter, services business grew 18% year-on-year to Rs 515 crore from Rs 438 crore, while for the year, it grew 10% y-o-y to Rs 1,966 crore.

It represented 79% of the consolidated revenues.

Americas contributed 56%, Europe by 20%, India by 6% and Rest of the World by 18% to Polaris' Services revenues.