Zensar net profit slips 5.8 pc to Rs 78.7 cr in June quarter

Information technology firm Zensar Technologies on Tuesday posted a 5.8 per cent decline in its net profit to Rs 78.7 crore for the June 2019 quarter.

The company had registered a net profit of Rs 83.6 crore in the June 2018 period, Zensar said in a regulatory filing.

Its operating revenue grew 20.8 per cent to Rs 1,066.1 crore during the quarter as compared with Rs 882.7 crore in the year-ago period, it added.

In dollar terms, net profit declined 9.3 per cent to USD 11.3 million, while revenue grew 16.4 per cent to USD 153.3 million in the June 2019 quarter from the year-ago period.

Digital revenues continue to grow and have moved up 28.3 per cent year-on-year and are now 48.5 per cent of the overall revenue in the June 2019 quarter, the filing said.

"Digital has grown significantly this quarter, contributing 48.5 per cent of the overall revenues fuelled by the exponential growth in our Cloud, Digital Led next gen CIS (cloud and infrastructure services) business posting approximately 70.3 per cent y-o-y growth," Zensar Technologies CEO and Managing Director Sandeep Kishores said.

He added that the company's total order booking for this quarter was USD 160 million (total contract value).

Zensar's total headcount was 10,166 people with addition of 1,279 people (gross). Attrition was at 16.7 per cent in the said quarter.

The company said it has appointment Radha Rajappa as an independent director on the board of the company for five years, subject to shareholders' approval at the next annual general meeting or general meeting.

Independent director Sudip Nandy has resigned from his position due to time constraints arising out of professional commitments and preoccupations, the filing said.