Mphasis Ltd, the Indian computer-services provider controlled by Electronic Data Systems Corp., said fourth-quarter (Q4) profit rose 59% as it added new clients. Net income climbed to Rs29 crore in the three months ended 31 March, from Rs18 crore a year earlier, the Bangalore-based company said in a release on its website. Revenue rose 60% to Rs163 crore.
Electronic Data Systems, the world’s second-largest seller of computer services, last year acquired control of Mphasis to add 11,000 engineers and programmers in India, seeking to cut costs for managing clients’ computer networks and customizing software.
The Mphasis group added seven new clients in the January-March quarter, including a US-based housing finance institution it didn’t identify. Mphasis added a total of 1,960 employees in the period.
The company and its units posted a total profit of Rs45.6 crore in Q4, up 27% from Rs35.8 crore in the quarter ended 31 December 2006. Group revenue rose 10% to Rs337 crore in the same period from Rs306 crore in the quarter ended 31 December 2006.
For the year ended 31 March 2007, the group recorded a revenue of Rs1,196 crore, a 27% growth over the corresponding figure of 2005-06.
The net profit fell from Rs150 crore in 2005-06 to Rs120 crore in 2006-07, on account of foreign exchange losses and a higher tax outgo, according to a statement from the company.
A staff writer contributed to this story.