NIIT Technologies shares rallied as much as 7.4 per cent to hit a fresh 52-week high of Rs 506.50, after the IT company reported its standalone net profit in January-March quarter nearly tripled to Rs 86.56 crore from Rs 30 crore in the corresponding period a year ago. Total income from operations rose 26 per cent on a year-on-year basis to Rs 458.50 crore from Rs 364.86 crore. However, for the full financial year, NIIT Technologies' net profit declined to Rs 165 crore from Rs 191.65 crore in FY16.
In a press release post-market hours on Friday, NIIT Technologies said, "During the quarter under review, the company received payment against settlement of government contract which was put on hold resulting in revenue recognition of Rs 27.1 crore for services contracted and reversed provisions amounting to Rs 13.15 crore provided in Q1FY17."
During the March quarter NIIT Technologies' revenue in dollar terms came in at $112 million. Of which, the US contributed $40 million, $47 million revenue came from Europe, the Middle East and Africa, and $25 million from the rest of the world.
"Revenues excluding the settlement impact reflects a reported sequential growth of 3.4 per cent during the quarter with operating margins expanding 82 basis points to 17.6 per cent," it added.
As of 12:19 pm, NIIT Technologies traded 5 per cent higher at Rs 494, outperforming the Nifty which was up 0.3 per cent.
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