NIIT Technologies reported a 16.7 per cent jump in revenue and 40 per cent rise in the net profit for the third quarter ended December 2011 on quarter on quarter (QoQ) basis. This was higher than the street expectation. The street expected the net profit to rise by just 18.8 per cent. Its share price rose 3 per cent.
The mid-cap IT company posted revenue of Rs 433 crore against Rs 371.1 crore in the September 2011 quarter. Its net profit stood at Rs 64 crore in Q3 as compared to Rs 45.8 crore last quarter.
The operating profit was up 41.8 per cent at Rs 78 crore.
“We have seen all round revenue growth in each geography, and a quarter with growth in every industry segment of focus” said Arvind Thakur, Chief Executive Officer, NIIT Technologies Ltd.
The company also announced a volume growth at 7.8 per cent over the previous quarter and order intake of $245 million as against $200 million QoQ.
Net Attrition, which quantifies the amount of employees exiting the company, was down to 12.5 per cent. “There has been a net addition of 245 employees during this quarter,” NIIT announced.
In terms of verticals, the banking and financing services vertical (BFSI) contributed 36 per cent to the revenues while travel and transportation vertical brought in 38 per cent of the total revenue. NIIT has also added two new customers in the BFSI segment.
“We have seen strong growth in US and EMEA markets,” the company reported.
NIIT Technologies shares have underperformed the BSE IT sector index. Over the past three months, NIIT Technologies shares fell 8 per cent while BSE IT sector index was flat.
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