NIIT Technologies on Wednesday reported 66.3% jump in net profit to Rs 111.8 crore for the quarter ended September 30, 2018, driven by strong demand across sectors like BFSI and travel and transportation.
The company had registered a net profit of Rs 67.2 crore in the year-ago period, it said in a regulatory filing. The company’s revenues grew 23.1% to Rs 907.4 crore in the reported quarter from Rs 737.2 crore in the year-ago period.
On sequential basis, net profit was up 30.3%, while revenue was higher 10%. Digital revenues grew 11.6%sequentially contributing to 28% of the total revenues.
NIIT Technologies CEO Sudhir Singh said the growth had been driven by the restructured leadership team, differentiated strategy and focussed execution by the team. “The extremely robust 10% sequential revenue growth and the 217 basis points sequential improvement in operating margin is a reflection of the new normal as we target predictable and fast scaling profitable growth,” he said.
Singh noted that the recent rupee fall has not had a major impact on the numbers as on a constant currency basis, the company saw 7.6% sequential growth. He added that “broad-based de-risked growth” across all verticals and significant investments in building differentiated capability, while simultaneously improving margin profile were factors contributing to the strong set of numbers.
Singh said the deal pipeline remained strong across geographies with acceleration in demand for digital services.
The company booked fresh business of USD 160 million during the quarter, which included 10 new logos. Of this, USD 86 million was from the US, USD 39 million from EMEA and USD 35 million from Rest of the World (RoW). Order book executable over the next 12 months has expanded to USD 363 million, the company said.
“Significant increase in new logo acquisition, accelerating order book generation and new leadership firmly in position have materially improved the business profile of the company,” said Arvind Thakur, vice-chairman and managing director at NIIT Technologies.
