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NIIT Dec qtr Net slips 12.5% to Rs 56 cr

The company had reported a net profit of Rs 64 crore in the corresponding quarter last year.

New Delhi: IT services company NIIT Technologies Tuesday reported a 12.5 percent drop in its net profit to Rs 56 crore for the quarter ended December 31, 2012 due to softness in the BFSI segment.

The company had reported a net profit of Rs 64 crore in the corresponding quarter last year.

Consolidated revenue of the company was, however, up 18.8 percent to Rs 514 crore for Q3 of FY 13 as compared to Rs 433 in the same period last year.

"There was softness in the BFSI (banking, financial services and insurance) segment due to overall economic uncertainties with a major catastrophe like hurricane Sandy causing losses among reinsurers," NIIT Technologies Chief Executive Officer Arvind Thakur told reporters here.

Business in the US contributed to 37 percent of revenues, Europe, the Middle East and Africa (EMEA) improved to 40 percent of the total revenue share, while the revenue share from Asia-Pacific (APAC) and India remained at 23 percent, he added.

"Revenues grew 4.4 percent sequentially in constant currencies during the quarter reflecting the sustained growth momentum of the company," Thakur said.

He added USD 83 million of fresh orders was secured during the quarter which included a USD 10 million renewal in travel and transport, leading to USD 242 million of order book executable over the next 12 months.

The company added four new clients which included two from manufacturing and one each in travel and transportation and government.

"Despite the uncertain environment the company has been securing fresh orders at a steady rate throughout the year," NIIT Technologies Chairman Rajendra S Pawar said.

The company added 265 net employees during the quarter taking the total headcount to 7,882 at the end of the period.