May 10, 2011
Operating profit was Rs 43 crore
Infinite Computer Solutions (India) Limited (BSE: 533154, NSE: INFINITE), a global provider of IT Services, Infrastructure Management Services (IMS) and Intellectual Property (IP) Leveraged Solutions, has announced its results for the fourth quarter and full year 2010-11, as approved by its Board of Directors.
Consolidated results for the year ending March 31, 2011
Revenue - Rs 883 crore; (USD 193.5 Million*); YoY growth of 38% in USD terms
PAT - Rs 107 crore; (USD 23.5 Million); YoY growth of 40% in USD terms
EPS for the year - Rs 24.4
*Average Forex Rate: Rs 45.63 = 1 USD
Guidance for FY 2011 – 12
Revenue - Rs 11bn – 11.25bn; (USD 245 – 250 mn); growth of 27-29% in USD terms
PAT - INR 121 – 125 crore; (USD 26.9 – 27.7 mn); growth of 14-18% in USD terms
EPS for the year - Rs 27.5 – 28.5
The key highlights of the results are as follows:
FY 11 Highlights (for the year ended March 31, 2011)
Revenue of Rs 8.83bn (USD 193.5 million); growth of 38% in USD terms and 33% in INR terms
Operating profit was Rs 148 crore (USD 32.4 mn); growth of 26% in USD terms and 22% in Rupee terms
Net Profit after Tax was INR 107 crore (USD 23.5 mn); growth of 40% in USD terms and 35% in INR terms
EPS for the year was Rs 24.4; up by 21%
Q4 FY 11 Highlights (for the quarter ended March 31, 2011)
Revenue of Rs 248 crore (USD 54.8 million)
Y-o-Y Growth in USD terms at 35% and in Rupee terms it stood at 33%
Q-o-Q Growth (sequential) is 11.3% in USD terms and 11.5% in INR terms
Operating profit was Rs 43 crore (USD 9.4 million) signifying an EBITDA margin of 17.2%; an increase of 50 bps over the last quarter
Y-o-Y growth in USD terms at 29% and in Rupee terms at 28%
Q-o-Q growth 14.9% in USD terms and 15% in INR terms
Net profit after tax was Rs 300mn (USD 6.7 mn)
Y-o-Y Growth in USD terms was 39% and in Rupee terms it stood at 37%;
Q-o-Q Growth stood at 11.5% in USD terms and in INR terms the growth was 11.7%
Earnings Per Share was INR 6.88
Q-o-Q growth up by 11.8%; while Y-o-Y growth was 32%
The DSO days stood at 90 for the quarter
The company added 4 new clients in Q4 taking the total tally of clients added in FY 11 to 14
We have seen significant growth from clients acquired last year. Four new clients enter the top 10 club.
All our key strategic clients continued to show rapid growth. Our top client contributed 25% of the revenue while the top 10 clients contributed about 93%
We have 51 active clients. Out of which on an LTM basis, we have 15 USD 1 mn+ clients, six clients with USD 5 mn+; five clients with USD 10 mn+ and three clients with USD 20mn+ revenue.
We have signed an MoU with a very large Telecom OEM for a joint go-to-market in the telecom service space
Revenue sharing engagement model went up from 7% in FY 10 to almost 14.5% in FY11; the T & M model saw a dip in the contribution by about 50 bps.
Offshore revenue increased from 34% in FY 10 to 37% in FY 11
For the quarter under review, the contribution from ADM services dropped to 53.5% from 62.7% in FY 10 while for the same period IP Leveraged moved up to 20.4% from 16.8% and RIM moved up to 18.1% from 8% respectively
· The global headcount increased to 4806 employees out of which the India headcount is 3542
Global Attrition rate stood at 17%
Revenue per employee on blended terms was USD 31 per hour for the quarter. Utilization was up by a percent to 83% compared to previous quarter.
The Company has also announced the buyback of shares at a maximum price of Rs. 230 and the maximum funds allocated for the same is Rs. 27 crore.
Commenting on the results, Mr. Upinder Zutshi MD & CEO Infinite Computer Solutions (India) Limited, said, “We have had a fairly strong year in terms of revenue and profit growth and I am extremely pleased that we have been able to meet the top end of the guidance for both the parameters. The key factor contributing to this success is our successful mining of acquired clients and it reflects when 4 new clients acquired last year find themselves in the top 10 list this fiscal. We will continue to focus on this aspect as we move forward in the next fiscal.”
He also said, “Our stated approach of targeting new service offerings while moving away from the commoditized services has delivered tangible results with both the IP leveraged solutions and the RIM services ramping up significantly while at the same time the contribution from ADM has gone down. I am confident our transformation process across the service lines and the pricing engagements would gather increased momentum in the current fiscal. Under this backdrop the Company has given a guidance of revenue growth of 27-29% in USD terms and PAT growth of 14-18%.”