Infotech Enterprise Q3 net down 32.5%

Infotech Enterprise has posted a 32.5 per cent drop in its net profit for the third quarter ended December 2003, at Rs 4.6 crore compared with Rs 6.82 crore in the corresponding period of the previous year.

Total income edged up to Rs 33.49 crore (Rs 32.72 crore). Sequentially, the company's profit grew by 51 per cent from Rs 3.04 crore, while operating revenues were up by 2.9 per cent from Rs 31.6 crore.

For the nine months ended December, the company's net profit slid by 52 per cent to Rs 9.52 crore from Rs 19.66 crore registered for the corresponding period last fiscal. Total income increased marginally to Rs 93.73 crore (Rs 92.96 crore).

"Our dismal performance during the first quarter has had a drag on our profitability during the first nine months. The progress of the long0term contract we won from Bombardier Transportation too was slower than expected," BVR Mohan Reddy, chairman and managing director of Infotech, explained.

Commenting on the business outlook, Reddy said they expect the present quarter to be better than the last quarter.