Mumbai: Education services provider Edserv Softsystems Ltd expects government orders worth Rs800 million to Rs100 crore in FY11 on the back of an increased thrust to set up skill upgradation and extension institutes, a top official said on Wednesday.
“Order pipeline this fiscal from the government side should be a minimum of 80-100 crore, it will be double of that next year,” S Giridharan, chairman and chief executive officer, told Reuters in an interview.
The company, which was accorded vocational training provider status by the government last year, had on Wednesday won a five-year training contract from the Gujarat government to set up three skill extension and upgradation centres.
It is pitching for deals to set up Industrial Training Institutes across the country, Giridharan said.
“In the next 4-5 years we are looking to pitch in for 10 states to set up ITIs.... We are looking at a revenue of 30-40 crore (300-400 million) per state,” he said.
The increased government spending on these projects is likely to more than triple the compan’s revenue in the current fiscal.
Giridharan sees the company’s profits around Rs400- Rs450 million on revenues of Rs150 crore in FY11.
“We are looking at a growth of over 200% this year due to the several government engagements which is giving growth a huge boost,” he added.
The firm posted profit of Rs180.2 million on revenues of Rs521 million in FY10.
At 1 pm, shares of Edserve were up 1.11% at Rs242 in a firm Mumbai market.