Higher volumes, margins lift Persistent Systems net over 12%

Mid-sized software services player Persistent Systems today reported a 12.4 per cent growth in September quarter net at Rs 82.36 crore on volume growth and margin expansion on efficiencies.
The Pune-based firm's chairman Anand Deshpande said the company has been seeing faster traction on its digital revenue stream, which has grown 21 per cent over the preceding quarter and now contributes 20 per cent of the overall revenue.
The company was also able to expand its margins due to work on efficiencies, he added.
Overall revenue rose 8.1 per cent over last year and 4.6 per cent over the preceding quarter to Rs 761.25 crore during the quarter.

Like its larger peers, the US market contributes as much as 84 per cent of its revenues at present, with the rest coming in from Europe (6 per cent) and domestic business (8 per cent).
Deshpande said there is an effort underway to diversify the revenue base, but declined to give any numbers on the same.
There was a net reduction of 200 which took its total employee base down during the quarter, he said, adding 180 employees were added compared to 340 who left the company. The company didn't disclose the total headcounts, though.
The company scrip grew 0.88 per cent to close at Rs 663.05 on the BSE, as against a 0.62 per cent rise in the benchmark.