IT consulting and software services provider Hexaware Technologies today posted a four-fold jump in second quarter net profit to Rs 60 crore for the period ended June 30, 2011.
As per Indian accounting standards, the company had a net profit of Rs 14.4 crore in the same quarter of the previous fiscal, Hexaware Technologies said in filing to the Bombay Stock Exchange.
Reacting to the announcement, shares of Hexaware Technologies surged 5.15% to hit a one-year high of Rs 83.70 in the early trade on the BSE. Later on, the shares were quoting at Rs 81.85 apiece on the BSE, up 2.83% from their previous close, at 1043 hrs.
During the quarter, the company recorded a foreign exchange gain of Rs 16 crore, compared to a loss of Rs 19 crore in the same quarter last fiscal.
Revenue from operations rose to Rs 334 crore during the April-June quarter of 2011, as against Rs 251 crore in the same period of the corresponding fiscal.
The board of the company has proposed an interim dividend of Re 1 per share of the Rs 2 face value each.
Going forward, the company expects revenue to be in the range of USD 78 million to USD 79 million in Q3, 2011.
"Following the healthy performance in the first half of 2011 and increased business visibility on the back of the deals signed, we upgrade our revenue outlook for the second time to a minimum of USD 302 million for 2011, an annual revenue growth of at least 30 per cent compared with 2010," Hexaware Technologies Chairman Atul Nishar said.
During the quarter, Hexaware signed its largest deal to-date, an agreement potentially worth USD 177 million, with an existing US client.
"We remain confident of sustaining or improving the operating margins at the current levels over the next two quarters," Nishar added.
The company's global headcount stood at 7,419 at the end of June, 2011. Out of 755 employees added during the first half, 145 were freshers inducted during Q2, 2011.
Net cash and cash equivalents increased to Rs 4,56.6 crore at the end of Q2, 2011. The company added 14 new clients during the quarter, taking its total number of active clients to 190 at the end of the period.
"While we continue to watch the macroeconomic developments closely, the quantum of the deals signed and the quality of the current business pipeline provides us with the perfect platform to deliver above-industry performance," Hexaware Technologies CEO and Vice Chairman PR Chandrasekar said.
Meanwhile, in a separate filing to the BSE, the company informed that Alka Nishar has resigned as a director of the company, citing personal reasons.