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Margins for the entire year has been at 40 percent. Though it is still lower than 44 percent that the company reported last year, but it is on the back of a new acquisition in the US. The company also expects to prepay or repay the Rs 2,500-crore debt that it has on its books in the next two-three years.
KK Singh, CMD, Rolta India told CNBC-TV18 that the company‘s margin are high. "It is due to change in business model," he said. The company has changed the model from service centric company to a service solution centric company.
KK Singh, CMD, Rolta India says that the 11.4-percent rise in PAT to Rs 70.39 crore and healthy order-book levels have allowed the company to increase its guidance from the earlier levels of 10-15 percent for the whole year. Going forward, Singh told CNBC-TV18, the company will focus on intellectual property.
K K Singh, CMD of Rolta India told CNBC-TV18 there is no forex loss for the company in the current quarter. Instead they had a forex gain of Rs 4 to Rs 5 crore in the quarter ended September, he said. Singh further added that Rolta has an orderbook of Rs 2300 to Rs 2400 crore and they are now looking at three to four large deals.
Kamal K Singh, CMD, Rolta, says that in this quarter the cost of FCCB burden was more and the income from other source has been low due to depreciation of rupee, which impacted on forex losses.
K K Singh, chairman and managing director, Rolta, says that the company has changed their business model and is currently only focusing on high-end business model. Both on domestic and international front, the company has good client visibility. The company expects the margins to improve with the good order book and strong growth.
KK Singh, chairman and managing director, Rolta India said, the company is hopeful of seeing a reversal of mark-to-market (M-T-M) losses of FCCBs in the third quarter
In an interview to CNBC-TV18, KK Singh, chairman and managing director of Rolta says, for this year (July 2011-June 2012), the company has given a guidance of 12-15% top-line growth.
Chairman and managing director, KK Singh gave guidance for the next year that they would do 15% for both, margins and revenues. The company had begun an Intellectual Property (IP) oriented company and saw an improvement in its margins. The company’s order book is also getting healthier now, he added.
Indian mid-cap IT companies are likely to see a modest revenue growth in April-June on stable demand, but most would see profits and margins squeezed by wage hikes and higher taxes.