Zensar Technologies Q3 Net up 4.1% at Rs 50.71 cr

Software solutions company Zensar Technologies today posted 4.1 per cent growth in its consolidated net profit at Rs 50.71 crore for the quarter ended December 31, 2013 aided by growth in infrastructure services and rebound in Europe.
The Pune-based firm had reported a net profit of Rs 48.70 crore in the year-ago period.
Consolidated revenues rose by 13 per cent to Rs 592.01 crore in October-December quarter this fiscal from Rs 524.78 crore in the same quarter of 2012-13 fiscal.
Commenting on the performance, Zensar technologies Deputy Chairman and Managing Director Ganesh Natarajan told PTI: "The quarter has been upbeat with new client additions and growth from Continental Europe."

The company has a robust pipeline and is confident of a good conversion in 2014, he added.
"The profit growth in the third quarter has been impacted due to currency fluctuations. The currency impact was to the tune Rs 20 crore sequentially and Rs 19 crore year-on-year," Natarajan said.

Infrastructure Management(IM) business, that has been restructured over the last few quarters, has shown a sharp increase in dollar revenues of over 12 per cent sequentially, he added.
"The Quarter has been upbeat with several new client additions, with the company's focus on cloud, security and multi-vendor services reaping results," Zensar Technologies Global Infrastructure Management business Chief Executive Vivek Gupta said.

Zensar's focus on Continental Europe is also paying dividends. The territory has recorded robust growth of 11.1 per cent over the same quarter previous year.
On Europe, Natarajan said: "Europe is responding very well. We see good growth from the Benelux region, Germany, Holland, Austria, etc."
Zensar reported 12 new customer wins during the quarter including an over USD 27 million of new business in IM.
Of the total deals in the third quarter, five were in infrastructure. Geography-wise nine deals were from the US, two from Europe and one from Africa.
The company added 85 (net) employees in the December quarter taking its total headcount to 6,400-6,500 as of December 2013.

On hiring, Natrajan said: "In the next four quarter, we expect to hire about 500-550 people."
Zensar shares today rose by 4.96 per cent to settle at Rs 412.55 apiece on the BSE.