Syntel to invest Rs 350 cr in cloud and mobility this year

Company expects a revenue of $780-810 mn in 2013

Nasdaq-listed software firm Syntel is planning to invest $60-65 million (around Rs 350 crore) in emerging verticals such as cloud and mobility during this year.

"We have increased our capex to $60-65 million for 2013 guidance which is in emerging verticals such as cloud and mobility," Syntel President and CEO Prashant Ranade told PTI.

Ranade added that based on current visibility levels and an exchange rate assumption of Rs 53 to the US dollar, the company currently expects a revenue of $780-810 million in 2013.

The company is looking at adding around 6 per cent a quarter to its total headcount of over 21,000 this year. Its global headcount was at 21,407 as on December 31, out of which over 16,000 employees are in India.

    
The company is also planning to open a local delivery centre in the Philippines in the first half of this year and while three centres will be opened in India and one in Manila in next 3-3.5 years.
    
Syntel has offshore software development centres in Mumbai, Chennai and Pune.
    
The company which has recorded a compound annual growth rate of 18-19 per cent in the last five years has given a muted guidance of 8-12 per cent growth for this year due to the economic downturn.
    
"While in the last five years, our CAGR has been 18-19 per cent, due to the economic downturn in CY12 Syntel registered growth of 13 per cent. Our guidance for CY13 is 8-12 per cent," Ranade said.

    
He added BFSI contributes 56-57 per cent to their overall revenues, going forward, the company will be tapping new opportunities in healthcare, insurance, retail/logistics and manufacturing.