RS Software Q1 net profit up 17% sequentially

RS Software today said its net profit for the quarter ended June 30, 2013 increased by 17% sequentially to Rs 11.07 crore. The earnings growth was aided by higher revenues and better operating margin.

"It has been an exciting start to the year...The company is committed to domain focused enhanced fulfillment model. This is helping the company to provide best value to our customers, and at the same time increase the company's operational efficiencies," Raj Jain, chairman and managing director of RS Software, said in his post-earnings comments.

Revenues grew by 13% from a quarter ago to Rs 92.04 crore in April-June quarter. On a year-on-year basis, revenues increased by 20%. Operating margin was up 33%.

The earnings per share (EPS) improved to 9.14 in the first three months of this financial year from 8.12 in the fourth quarter of 2012-13.

"The global electronic payments industry is experiencing an unprecedented growth on account of an irreversible shift from paper to electronic payment forms, approaching transactional revenues worth $900 billion. RS Software is well positioned to capitalise on this global opportunity and has a well laid out strategy backed by our comprehensive understanding of each client's business," Jain said.

"Our investments will be in strengthening our sales engine, talent acquisition and developing technology frameworks to address key industry needs," he added.