Hinduja Global Solutions Q1 net at Rs 16.2 crore

BPO services provider Hinduja Global Solutions (HGS) today reported a consolidated net profit of Rs 16.16 crore on net sales of Rs 738.82 crore for the quarter ended June 30, 2015.

The firm had posted a net profit of Rs 32.49 crore and net sales of Rs 666.21 crore in the year-ago period, it said in a BSE filing.

The company said the results are not comparable with the corresponding quarter of 2014-15 fiscal as it acquired majority stake in the US-based Colibrium Partners and Colibrium Direct (Colibrium) in March 2015.

Commenting on the results, Hinduja Global Solutions CEO said, "Revenues for the first quarter grew almost 11%. Our profitability has been below expectations due to lower than anticipated volumes in some geographies and increased cost of operation."

"We believe these volume fluctuations are short-term and expect them to improve over the rest of the year along with increase in profitability. We have introduced cost containment measures to further strengthen our profitability."

As of June 30, 2015, the company had net debt of Rs 219.5 crore and net worth of Rs 1,117.7 crore, the company said.

Shares of Hinduja Global Solutions were trading at Rs 491.20 apiece in the morning trade, down 8.55% from their previous close.