IT firm Coforge Ltd (formerly NIIT Technologies) has reported a marginal rise in consolidated net profit to Rs 120.7 crore for the second quarter ended September 30. The company had posted a net profit of Rs 119.5 crore in the July-September quarter last year, Coforge said in a regulatory filing on Thursday evening.
The company’s consolidated gross revenue rose 11.1 percent to Rs 1,153.7 crore in the quarter under review from Rs 1,038.5 crore in the year-ago period, it added. On a sequential basis, the net profit was higher by 51.1 percent from Rs 79.9 crore in the June 2020 quarter, while gross revenue was up by 9.1 percent over Rs 1,057 crore.
”The 8.1 percent sequential growth in constant currency terms came on the back of growth across all verticals, all geos and all account-sized based cuts for the firm,” Coforge Ltd Chief Executive Officer Sudhir Singh said. The sharp sequential increase in EBITDA (earnings before interest, taxes, depreciation, and amortization), in order intake and order executable, is a testament to the tenacity of and the consistent execution delivered by Team Coforge despite the pandemic-induced headwinds, he added.
”As organisations pivot towards data, cloud and AI-led transformation the space for innovative and agile service providers in the broader tech services sandbox continues to expand,” he said. The insurance vertical expanded 13.6 percent quarter-on-quarter, contributing 34 percent to the quarter’s total revenue, the company said.
The BFS (banking and financial services) business grew 8.5 percent sequentially and contributed 17 percent to the total revenue, it added. The travel segment recorded a quarter-on-quarter growth of 6 percent and contributed 19 percent to the revenue.
Other segments collectively grew 6.7 percent quarter-on-quarter and represented 30 percent of the overall revenue. Among geographies, Americas grew by 11.9 percent sequentially, contributing 48 percent to the revenue mix, EMEA grew by 7.3 percent (contributing 36 per cent) and rest of the world grew by 5.6 per cent (contributing 16 per cent).
”The order intake during the quarter was exceptionally strong, with two large deal wins. The fresh business of USD 201 million was secured during the quarter under review, which is higher on both q-o-q and y-o-y basis,” Coforge said. A total of 12 new clients were added during the quarter.
”On the back of this continued deal signing momentum, the order book executable over the next twelve months increased to USD 489 million, representing a growth of 21 percent y-o-y,” it said. The company had a headcount of 11,162 people with the net addition of 564 people. Attrition was at 10.5 percent.