NIIT posts Q2 net profit of Rs 26 crore, revenue up 8% QoQ
During the quarter, the company recorded net Revenue of Rs 218.9 crore, which was up 8 percent sequentially.
October 30, 2020 / 05:23 PM IST
Education technology firm NIIT posted a consolidated net profit of Rs 26 crore in the July-September quarter of FY21.
While the firm posted a net profit of Rs 209.3 crore in the year-ago period, the same is not comparable because in Q2 FY20 the company was impacted by a partial reversal of tax provisions related to divestment of holding in Coforge (erstwhile NIIT Technologies). This had contributed to a higher net profit in that period.
During the quarter under review, the company recorded a net revenue of Rs 218.9 crore, up 8 percent sequentially.
Earnings before interest, tax, depreciation and amortisation (EBITDA) was up 18 percent YoY at Rs 34.4 crore. EBITDA margin rose 322 basis points to 16 percent.
Sapnesh Lalla, CEO, NIIT said, "The Corporate Learning Group (CLG) continues to see momentum in attracting new customers and retaining and expanding existing relationships."
Corporate Learning Group (CLG) recorded a net revenue of Rs 194.1 crore, up 9 percent quarter-on-quarter and 12 percent year-on-year. NIIT said that this segment added two new managed training services customers (one customer in telecom and another in the FMCG) and expanded its relationship with two existing clients while renewing contracts with two additional customers.
The Skills & Careers Group (SNC) recorded a net revenue of Rs 24.7 crore. The India business is starting to see recovery driven by StackRoute and TPaaS (Talent Pipeline as a Service), which grew 77 percent sequentially.