R Systems Q1 net rises 20% at Rs 10 cr

Software and BPO firm R Systems International today said its consolidated net profit grew 20.17 per cent during the first quarter ended March 31, 2009, to Rs 9.59 crore over the same period a year ago.

The company had a consolidated net profit of Rs 7.98 crore in the first quarter of the last financial year, Noida-based R Systems International said in a statement.

The consolidated income from operations rose to Rs 90.08 crore in Q1 of FY'09 from Rs 79.87 crore in the same quarter last fiscal.

"Our growth trend has been distorted as sales cycle time on new assignments is getting stretched and existing clients cutting back on new initiatives in the current economic environment. However, the funnel for assignments that optimise cost structures are very encouraging," R Systems CMD Rekhi Singh said.

On a standalone basis, the software and BPO firm posted a net profit of Rs 9.93 crore, registering a two-fold growth, compared to Rs 4.93 crore in the March quarter of last financial year.

"We are realigning our business to changing customer needs for cost optimisation initiatives and internally aligning our business to increase efficiency, " R Systems COO Raj Swaminathan said.

Shares of R Systems surged 9.21 per cent to close at Rs 68.80 on the Bombay Stock Exchange.