Accel's bottom line rises 35.39 per cent

CORPORATE SCORECARD

Chennai-based IT services company Accel Frontline (AFL) has posted a net profit growth of 35.39 per cent at Rs 2.41 crore in the fourth quarter compared with Rs 1.78 crore in the year-ago quarter.

Accel's net sales increased by 13.22 per cent to Rs 24.49 crore compared with Rs 21.63 crore in the corresponding period a year ago, on a standalone basis.

On a consolidated basis, Accel has recorded a decrease of 13.90 per cent in net profit to Rs 2.85 crore in the last quarter of 2007 against Rs 3.31 crore in the corresponding period of 2006.

The dip in net profit during the fourth quarter of 2007 was mainly due to higher provision for taxation, including deferred tax of Rs 2.95 crore against the previous year-on-year quarter provision of Rs 0.73 crore, according to a company release. In net sales, the company posted a growth of 10.86 per cent at Rs 25.63 crore against Rs 23.12 crore in the previous year.

On a standalone basis, for the full year ended March 31, 2007, Accel's net profit rose by 68.31 per cent to Rs 11.95 crore against Rs 7.10 crore during the 2005-06 period.

The company's net sales increased to Rs 92.10 crore in the last quarter of 2007 from Rs 90.99 crore in the corresponding period of 2006, clocking a growth of 1.21 per cent.

Income from services, which provided for the highest gross margins, rose by 32 per cent, while IT services accounted for around 50 per cent of the total revenue in FY2007.

System integration services and infrastructure products accounted for the rest.