Outsourcing by global companies canbring more opportunities: Nayyar
Mahindra Satyam, on Thursday, reported consolidated revenues of Rs.1,666 crore for the fourth quarter ended March 31, 2012, a growth of 21 per cent over the corresponding period of the previous year.
The company's earnings before interest and depreciation at Rs.292 crore and margins at 17.5 per cent for the fourth quarter were said to be the highest in the past three years. Its net profit stood at Rs.534 crore compared to Rs.308 crore in the previous quarter. The company announced its audited consolidated financial results for the fourth quarter and 2011-12 here on Thursday.
The company posted an annual revenue of Rs.6,396 crore, with a growth rate of 24 per cent over that of last year with a net profit of Rs.1,306 crore. The company posted a loss of Rs.147 crore in the previous year.
Giving details, Chairman Vineet Nayyar said the company posted good results despite uncertainties in the global market and the U.S. economy also showing signs of strain. However on the future outlook, he said economic prognosis at this point was uncertain. The global companies would do more outsourcing to be competitive and it could bring more opportunities. “We will be able to continue at the present level.”
On the merger of Mahindra Satyam and Tech Mahindra, Mr. Nayyar said the decision got the company positive feed back. “We are on the track of aligning our processes for seamless integration between the two companies. The average cycle is 8-9 months. The next meeting of shareholders is on June 7 and 8.”
Even after the merger, the company would be open for mergers and acquisitions. The strategy would be to emerge leaders in the chosen verticals.
C. P. Gurnani, CEO, said the company would continue its growth trajectory. In the uncertain global economic scenario, the company would focus on nurturing employees and technology besides being customer-centric.
In the next three years, the company would develop cutting-edge technology and 33 of its patents in network, mobility, analytics and cloud computing were pending. The company combined the spirit of a start-up and the maturity of a large organisation, he said.
The company, with a headcount of 34,000, added 1,073 associates in the last quarter and 4,087 last year against the target of 5,000.
Keywords: Mahindra Satyam Q4 net profit 2012