BackZensar net falls 3.5% as revenue increases 12.7%
Zensar net falls 3.5% as revenue increases 12.7%
Premium
Mumbai: Software firm Zensar Technologies Ltd expects its net profit to rise by nearly half and revenues by one-fourth in the year to March 2008, a top official said on Tuesday.
Zensar’s standalone net profit for the January-March quarter dipped 3.5% to Rs12.5 crore while revenues rose 12.7% to Rs73.9 crore.
Large clients giving orders worth more than half-a-million dollars a year each, and orders for the implementation of Oracle business software would be the growth drivers, deputy chairman and managing director Ganesh Natarajan said. The company, he said, expected the net profit for 2007-08 to be Rs85 crore on revenues of Rs850 crore.
Revenues from Oracle implementation business, which contributed 20% to Zensar’s revenues, grew 130% last year. “Its share of revenues by the end of this year will go up to 30-32%," Natarajan said.
In February, the company bought ThoughtDigital, which is focused on implemen-ting Oracle’s suite of business software.
For 2006-07, Zensar reported a consolidated net profit of Rs57.2 crore on revenues of Rs606 crore. The company’s performance exceeded its own guidance.
In the current year, the company would be adding around 800 employees, while wage increases would average 12%. Zensar shares closed up 0.5% at Rs273.15 after hitting an intra-day high of Rs282.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
