Feb 23, 2010
Bangalore-based Infinite Computer Solutions has recorded a sequential growth of 22.3 per cent in net profit for the third quarter, despite a 2.8 per cent revenue dip, thanks to its focus on high margin business.
The company’s net profit for the third quarter ending December 31 stood at Rs 20.44 crore, up from Rs 16.71 crore in the previous quarter. Revenue for the same period stood at Rs 160.90 crore, down from Rs 165.45 crore in the previous quarter, due to the forex movement.
Upinder Zutshi, CEO of Infinite Computer Solutions said, “I am pleased with the growth we have achieved in the last quarter and also by the fact that we managed to up our margins in a challenging environment.”
Infinite has 42 active clients, of which the top client contributed 41.5 per cent to the revenue.
For the full year on a consolidated basis, the company expects revenue to be in the range of Rs 640 crore to Rs 650 crore, a YoY growth of 29 per cent to 31 per cent. Net profit is seen to be between Rs 77 crore and Rs 79 crore, representing YoY growth of 68.4 per cent to 72.8 per cent.
Meanwhile, Infinite Convergence Solutions, the company’s wholly owned subsidiary, has signed a strategic alliance with Motorola to develop and support its software enabled SMS and MMS solutions.
As per the deal, both the companies will share the revenue from the provision of messaging platform service to Motorola’s current clients and new clients of both Motorola and Infinite. The revenue to be shared consists of annual support fee and capacity licenses.
Infinite expects its share of revenue per year in FY2010-11 to be around $20 million.