Infotech Q2 net surges 64% to Rs 50 cr

Revenue up 28% at Rs 477 cr

Infotech Enterprises Limited, a Hyderabad-based engineering solutions provider, witnessed a 63.66 per cent growth in its net profit to Rs 50.31 crore for the second quarter ended September 2012, as compared to Rs 30.74 crore in the corresponding quarter last year.

The company’s PAT, however, declined 22.25 per cent (Rs 64.71 crore in Q1 of FY13) sequentially, on account of notional foreign exchange losses on restatement of foreign currency receivables due to rupee appreciation in the current quarter, as compared to the depreciation in Q1.

Revenue for the quarter under review stood at Rs 477.12 crore, as against Rs 372.6 crore during the same period a year ago, reflecting a growth of  28 per cent.

 

“Our business continues to grow steadily. We have seen volume growth, stable margins and a robust pipeline. Our order pipeline is strong and we are confident of growing at a higher rate in the second half than in H1. We believe we can at least maintain the same margins over the second half of the year,” BVR Mohan Reddy, chairman and managing director of Infotech, said in a release on Wednesday.

The company, which has cash balances (including liquid investments) of Rs 471 crore, has made a net addition of 759 employees in the first half of the current financial year, taking its global manpower to over 10,000.

Infotech has staffed its special economic zone (SEZ) facility in Hyderabad with 426 seats, and the Kakinada and Noida SEZs are on track, which will be complete by the third and fourth quarters respectively, the release added.