NIIT Tech Q3 net profit up 66% to Rs 123.3 cr

IT company NIIT Technologies Ltd (NTL) on Wednesday posted a 66.29 per cent jump in consolidated profit to Rs 123.3 crore for the quarter ended on December 31, 2019.

The company had reported a net profit of Rs 100.2 crore in October-December 2018, NIIT Technologies said in a regulatory filing.

The company's revenue from operations increased by 10.4 per cent to Rs 1,073.4 crore during the reported quarter from Rs 971.7 crore in the corresponding quarter of 2018-19.

"The firm registered a robust performance in the quarter across key parameters including revenue, earnings, cashflow, and deal wins, in line with our stated intent to drive robust, predictable and profitable growth," NIIT Technologies CEO Sudhir Singh said.

In April last year, NIIT Technologies had agreed to sell its 88.99 per cent stake in Esri India Technologies Ltd to Environmental Systems Research Institute, Inc (Esri, Inc) for Rs 89.7 crore.

Excluding that business, the net profit was up 33.8 per cent year-on-year, while revenue was higher by 16.1 per cent.

The Board has recommended an interim dividend of Rs 10 per share, and the record date has been set for February 10, 2020. In addition to this, the company has distributed interim dividend amounting to Rs 62.4 crore during the quarter, the filing said.

NTL said it secured fresh business of USD 218 million in the December quarter.

"As a result, the order book executable over the next 12 months has also increased to USD 424 million," it added.

In reported terms, Banking and Financial Services (BFS) contracted 1.3 per cent quarter-on-quarter contributing 16 per cent of revenue, NIIT Technologies said in a statement.

Travel, Transportation and Hospitality (TTH) was up 6.2 per cent on quarterly basis contributing 28.5 per cent of the revenue, while insurance grew 0.2 per cent sequentially accounting for 30.2 per cent of overall revenues.

Americas, Europe, Middle East and Africa (EMEA), and Rest of the World (RoW) contributed 48 per cent, 37 per cent, and 15 per cent of the revenue mix.