Firstsource Q2 profit up 36.8% at Rs 61.2 cr

BPO firm Firstsource Solutions Ltd today posted a 36.8 per cent increase in net profit at Rs 61.2 crore for the quarter ended September this fiscal.
This is against a net profit of Rs 44.7 crore in the same period last year.
The company's revenues, however, fell by 2.1 per cent to Rs 773.9 crore in the quarter under review from Rs 790.7 crore in the July-September quarter of the previous fiscal.
Sequentially, net profit was up 15 per cent from Rs 53.2 crore, while revenue was higher by 2.4 per cent from the April-June quarter.
Firstsource reported additional wins of about USD 45 million in ACV (annual contract value) across business verticals with existing and new customers in July-September period.

This includes the entry and cross selling of customer management services into the healthcare vertical in the US.

Firstsource removed 224 people during the quarter under review to bring its total headcount to 26,923 as of September 30, 2014.
Its attrition rate at its offshore (India and the Philippines) operations stood at 49.6 per cent (from 56.6 per cent in the first quarter), while the same for onshore (US and Europe) operations was at 43.6 per cent (46.4 per cent).
As of September 30, Firstsource derived 47 per cent revenues from the US, 36 per cent from the UK and 17 per cent from rest of world, including India.

About 46 per cent revenues in the reported quarter came from telecom & media, 34 per cent from healthcare and 20 per cent from BFSI.
"This fiscal the company has signed significant new business wins, which will translate into revenues over ensuing quarters," RP-Sanjiv Goenka Group and Firstsource Chairman Sanjiv Goenka said.
The investment into analytics strengthens capabilities to provide valuable insights to clients and the focus on profitable margin growth and customer satisfaction continues, he added.