NIIT Technologies’ Net Profit Increases By 44.7% For Q2 FY2014

NIIT-TechnologiesNIIT Technologies Limited (NSE: NIITTECH), a leading global IT solutions organization, announced its financial results for the quarter ended on September 30, 2013 with a revenue of `587.3Crores, representing a sequential growth of 8.4%.

Operating Profits stood at `88.6Crores, representing a QoQ growth of 13.2% while net profits grew 17.2% sequentially to `62.4 Crores, representing a 44.7% rise over the same period last year.

We experienced robust growth in the U.S with business expanding by 15% sequentially during the quarter.” said Arvind Thakur, CEO & Joint MD NIIT Technologies. “EMEA grew by 11% with a strong intake of fresh new business”, he added.

Three new clients were added during the quarter in the EMEA region all in the Travel and Transportation segment. This included a global carrier and also a large contract of approx 10m USD from a mid-sized regional airline.

Fresh orders of USD 84Mn were secured during the quarter leading to USD 248Mn worth of orders executable over the next 12 months. This includes new business from an existing client in excess of 10m USD.

The contribution to the total revenues from the U.S. increased to 41% while that from EMEA stood at 36%. The revenue share from rest of the world stood at 23%. Among industry segments, Travel and Transportation contributed to 37%, BFSI was 33% and Manufacturing/Distribution contributed to 6% to the revenue mix.

The Company also successfully went live across two states in the implementation of the Crime and Criminal Tracking Network System (CCTNS). This included Tamil Nadu using Ciprus software developed by National Informatics Centre and Jharkhand using Core Application Software (CAS). CCTNS is one of the most important mission mode programmes under NeGP, Govt. of India.

During the quarter the Company created a new position of Chief Operating Officer and inducted Sudhir Chaturvedi into this role. Global sales and delivery for software and business services would henceforth be managed by Sudhir.

Sudhir’s induction enhances leadership bandwidth to execute on the next phase of the Company’s growth” said Mr. Rajendra S. Pawar, Chairman, NIIT Technologies Ltd.

Headcount at the end of the quarter stood at 8,017. Utilisation improved to 80.3% from 77.3% from the previous quarter. Attrition during the quarter remained at 12.4%.

Acknowledgements during the quarter

NIIT Technologies listed in the Forbes Asia’s 200 ‘Best under a Billion’ Companies.

Recognised for its Excellence in Training at Asia’s Best Employer Brand Awards 2013.

NIIT Technologies’ Progress, the Career Mobility centre acknowledged as the Innovation in Career Development at Asia’s Best Employer Brand Awards 2013.

Received Asia’s Most Promising Brand Award by World Consulting and Research Corporation.

Arvind Mehrotra, President Asia & Australia received Leadership Award from eIndia 2013 and “Business Leader of the Year” from World Consulting and Research Corporation.