Persistent Systems has announced its first-quarter earnings. CEO Anand Deshpande explains to CNBC-TV18 the various aspects of the company's performance in the first quarter.
Below is an edited transcript of the interview on CNBC-TV18. Q: Will you be able to maintain or beat Nasscom's guidance for 11-14% in dollar revenues for FY13?A: We believe that we will meet Nasscom's guidance and beat it. If you look at our financial results, you will note that we have increased our focus on IP-led revenues which have gone up quite significantly. And though there is a bit of volatility on a quarter-on-quarter (QoQ) basis, they look good for the year.
We are still on track in terms of what we wanted to achieve and there is a little bit of the fourth quarter's effect. Q: Could you tell us why the margins have fallen on a quarter-on-quarter basis because I believe you have not implemented a wage hike?
A: There are several reasons. When the results were announced in Q4 the bonuses were completely allocated. The actual results for Q1 are a little conservative. We implemented a pay hike for onsite employees who constitute 20% of our staff and then as part of an acquisition, we had to take on rolls a group of 72 employees in Malaysia and 12 people in the US where we paid for salaries for three-month period.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
