3i Infotech revenue grows to Rs 471.62cr

3i Infotech, a global provider of IT solutions and one of India’s largest and fastest growing software product companies, today announced its operating results for the quarter ended June 30, 2008. 

FINANCIAL HIGHLIGHTS

The operations for the quarter include one month’s revenues and profits from Regulus, the largest US acquisition by the Company (recently completed).

Consolidated results for the quarter ended June 30, 2008:

• Revenue for the quarter was Rs 471.62 crores, a growth of 78.5% over the corresponding quarter of the previous year and a sequential growth of 34% over the previous quarter. This growth consisted of 32.9% of organic growth and 45.6% of inorganic growth on a year on year basis and 14.1% of organic growth and 19.9% of inorganic growth, on a sequential basis.  
• Profit before depreciation, interest and tax for the quarter was Rs 94.29 crores, a growth of 60.9% over the corresponding quarter of the previous year. 
• Profit after tax for the quarter was Rs 58.10 crores, a growth of 44.1% over the corresponding quarter of the previous year. 
• Earnings per share (EPS) increased to Rs 4.35 from Rs 3.20** in the same quarter of the previous year.  
• The Company has amended its segment reporting to separately report the revenues and profits from Transaction Services business, which now constitutes around 22% of the total revenues of the Company. 
• Apart from this, the Company continues to maintain a healthy mix of 1:1 between software products and IT services. 

Commenting on the results, Mr. V. Srinivasan, Managing Director & CEO, 3i Infotech Limited said, “Our first quarter results marks the beginning of yet another strong financial year for us. Our strong order book position and a healthy pipeline  gives us the confidence of being able to achieve the targets we have set for ourselves for the year ahead. As stated in the past, our business model, diversified over geographies and segments, is able to deliver good growth, despite economic factors such as general  business slowdown and currency fluctuations.”

Business Highlights

During the Quarter, 

A) 3i Infotech acquired:

• 26% strategic stake in Locuz Enterprise Solutions Ltd. , acquired for being a specialist in IT Infrastructure solutions and services, with acknowledged expertise in High Performance Computing, Tiered Storage, Information Security and IP Convergence solutions.  
• 51% stake in FinEng Solutions Pvt. Ltd. FinEng is known for creating and selling software products and developing software solutions. It caters to the financial sector, including mutual funds, wealth management and credit risk space.  
• Completed acquiring 100% stake in the US-based Regulus Group LLC (Regulus), the largest independent remittance provider and one of the leading providers of document (bills) processing services in the US – addressing the full document lifecycle from print and electronic bill presentment to remittance.  

B)  Notable wins were :

o        MEARC geography has won a multi million dollar contract for implementation of Premia in Russia.  

o        MEARC geography has received a Kastle Factoring order from one of the largest private banks in the United Arab Emirates. The Bank is also an existing customer of our MFund product.  

o        A national bank in Malaysia with a nationwide presence of more than 400 plus branches has decided to implement our Kastle ALM solution.  

o        A global company and world leader in the agricultural and construction equipment business selected our TMS system in US to manage their payment processing requirements with their dealer offices. The deal is valued at over half a million dollars. 

o        A prominent state department in the US has selected our intelligent document recognition software in over a US$ 1.5 million deal. We have partnered with a leading financial institution to provide the State with a complete integrated solution that will be handling their daily tax processing requirements.  

o        We have been selected by a leading organization providing information & communication technology in Karnataka for computerizing its Social Welfare Department. The project valued at Rs.15 crore involves networking and integration of more than 200 offices.   

o        Our MFUND product won an order in a neighbouring country from a leading financial institution providing depository services to capital and financial markets. 

o        Our Western Europe Geography has won a new contract to implement the private equity platform for a large Private Equity company in Zurich. 

o        An order for implementation of rhymeSIGHT Reporting to Clients for a leading Investment Services Company in UK was also won by our Western Europe Geography. This is the first live use of a new offering launched last year.

Sourced From: Text 100 Public Relations Consultancy