New Delhi, July 14th 2015, Tuesday: Coforge Limited (NSE: Coforge), a leading global IT solutions organization, today announced its financial results for the quarter ended in June 30, 2015 with a revenue increase of 11% over the same period last year to Rs. 641.1 Crores. Operating Profits grew 34.5% over same period last year to Rs. 104.2 Crores and Profit after Tax expanded 35.5% to Rs. 58.5 Crores.
- Revenues up 4.9% QoQ
- Operating Profit up 4.5% QoQ
- Operating margins steady at 16.3%
- Digital revenues 14% of mix
- Incessant Technologies margin and EPS accretive
|APR-JUN FY’16 Quarter Performance at a glance|
|Profit After Tax||43.2||58.5||35.5%|
“The quarter witnessed robust 8.9% sequential growth in international geographies which helped maintain operating margins at 16.3% despite wage hikes” said Mr. Arvind Thakur, CEO and Joint MD, Coforge Ltd.
Business in the US grew 7.7% sequentially contributing to 45% of overall revenues during the quarter. EMEA grew by 4.7% contributing to 35% of the mix, and the revenue share from APAC and India stood at 20%.
Among industry segments, BFSI grew 15.2% sequentially due to growth in new insurance accounts and integration of Incessant. BFSI now contributes to 36% of total revenues, Travel and Transportation to 37%, Manufacturing/Distribution to 6% and Government to 5% of the revenue mix.
Order intake during the quarter was USD 97m resulting in USD 300m of order book executable over the next 12 months.
“With the integration of Incessant, the company acquired 15 new significant clients”, said Mr. Sudhir Chaturvedi, COO, Coforge Ltd. “In all 17 new logos were added during the quarter”, he added.
The company’s strategic investment in Incessant Technologies provides it with the ability to be a leader in the Digital Integration space. The opportunity being exploited is where Digital front ends have to be integrated with complex legacy systems which most large corporations have to provide for their customers to get a seamless experience. Processes that earlier required manual intervention can be done in a straight through manner through these services, and complex processes are orchestrated automatically through intelligent business process management services.
“Coforge has leapfrogged into the emerging Digital Integration space”, said Mr. Rajendra Pawar, Chairman Coforge Ltd. “14% of the company’s global revenue is now around Digital Services”.
734 people were added during the quarter taking the total headcount to 9,228 at the end of the period under review. Rate of attrition declined to 14.30%.
- Coforge ranked #5 on overall satisfaction amongst outsourcing providers and their services in 2015 United Kingdom IT Outsourcing Study by PA Consulting Group and Whitelane Research.
- Coforge positioned amongst top vendors under the Innovation category in 2015 Enterprise Mobility Services Blueprint Report by HfS Research.
Coforge is a leading global IT solutions organization, servicing customers in Americas, Europe, Middle East, Asia and Australia. It offers services in Application Development and Maintenance, Infrastructure Management, IP Asset or Platform Solutions, Business Process Management, and Digital Services to organisations in the Financial Services, Travel & Transportation, Manufacturing/Distribution, and Government sectors. The Company adheres to major global benchmarks and standards, having secured the ISO 9001:2000 certifications and the ISO: 27001 Information Security Management accreditation. Coforge also follows global standards of development. It has been assessed at Level 5 of SEI CMMi version 1.2. Coforge Business Process Management conforms to the highest quality standards such as COPC. Its data centre operations are assessed at the international ISO 20000 IT management standards.
For further information, please visit www.coforgetech.com
Certain statements in this release are forward-looking statements. The business involves various risks, and uncertainties that could result in the actual results to differ materially from those indicated here. All forward looking statements made herein are based on information presently available to the management of the Company and the Company does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the Company.