New Delhi, October 15th 2014, Wednesday: Coforge Limited (NSE: Coforge), a leading global IT solutions organization, today announced its financial results for the quarter ended in September 30, 2014 with a 1.9% sequential increase in revenues to Rs. 588.3 Crores. Operating Profits increased 6.1% sequentially to Rs. 82.2 Crores and Profit After Tax stood at Rs. 40.1 Crores.
- Consolidated revenues grew 1.9% sequentially to Rs. 588.3 Crores
- Operating Profits grew 6.1% sequentially to Rs. 82.2 crores
- USD 103mn of fresh orders
- 5 new customers added
- Launched +ADVANTAGEsuite, next generation platform for Commercial Insurance
- Board approved the appointment of Ms. Holly Morris as Non-Executive Additional Director
|JULY-SEPTEMBER FY’15 Quarter Performance at a glance|
|Consolidated Revenue||Rs. 587.3||Rs. 588.3||0.2%|
|Operating Profit||Rs. 88.6||Rs. 82.2||-7.2%|
|Profit After Tax||Rs. 62.4||Rs. 40.1||-35.7 %|
Following the successful implementation of the Airport Operations Control Centre (AOCC) at Chennai Airport last quarter, the Company also successfully implemented the AOCC in Kolkata in this quarter. Increased depreciation due to capitalization of assets as a result of AOCC’s at Chennai and Kolkata going live, and loss in other income due to currency fluctuations has resulted in decline in net profits.
“International business for the Company reported a sequential growth of 5.6% during the quarter”, said Mr. Arvind Thakur, CEO and Joint MD, Coforge Ltd.
Americas contributed to 44% of revenues, EMEA to 38% of revenues, APAC to 7% and India to 11%. Completion of build phase in large Government Systems Integration projects and their movement to Operations and Maintenance phase resulted in domestic business reducing by 20.7% in the quarter.
Softness in the Insurance business in the Americas resulted in reduction in BFSI mix to 33% of revenues whereas Travel and Transportation grew 9.5% sequentially to represent 42% of overall revenues. Manufacturing/Distribution contributed to 7% and Government business accounted for 3% of revenues in the quarter.
“The Company added five new clients, four in Americas, wherein three are in the Travel and Transportation segment and one in BFSI; and one in the Government vertical in India,” said Mr. Sudhir Chaturvedi, COO, Coforge Ltd. “USD 103mn of new orders were secured during the quarter”, he added.
USD 298mn worth of fresh business is executable over the next 12 months.
On October 1 2014, the Company launched +ADVANTAGEsuite, the next generation commercial insurance platform designed to drive underwriting profitability. +ADVANTAGEsuite’s highly configurable business user led platform readily adapts to the needs of specific classes of business, allowing new lines to be brought to market quickly.
The board approved the appointment of Ms. Holly Morris as a non-executive additional director of Coforge Ltd.
Ms. Morris has a reputation for developing enterprise level strategies and implementing transformative process improvements in support of business growth. For the last 25 years, Ms. Morris’s career has spanned corporate boards, Fortune 500 and global financial services organizations. In her last corporate role she was the CIO at Thrivent Financial, a Fortune 500 financial services organization. Prior to Thrivent she served as Sr. VP of Technologies at American Express Global Financial Services. She also held CIO and CTO positions at ING.
“We are pleased to induct Holly to the Coforge board. Her long experience particularly in the Insurance & Financial Services sector and U.S. will provide valuable guidance to support our growth”, said Mr. Rajendra S. Pawar, Chairman, Coforge Ltd.
Total headcount stood at 8288 at the end of the quarter under review.
Acknowledgements during the quarter
- Coforge felicitated for outstanding contribution in infrastructure development at The Economic Times Infra Focus Summit 2014.
- Won an award for the “Best US and India Business Collaboration” at the 5th annual USA India Business Summit, Atlanta.
- Conferred with the ‘Award for Excellence in HR Through Technology’ at the 5th Asia Best Employer Brand Awards 2014.
- Recognised for “Best in Training and Organization Development” at the Asian HR Leadership Awards 2014.
- Pratibha Advani, CFO Coforge, conferred with ‘Best Woman CFO award’ at Business Today Best CFO Awards 2014.
Coforge is a leading global IT solutions organization, servicing customers in Americas, Europe, Middle East, Asia and Australia. It offers services in Application Development and Maintenance, Infrastructure Management Services, IP Asset or Platform Solutions, and Business Process Management to organisations in the Financial Services, Travel & Transportation, Manufacturing/Distribution, and Government sectors. The Company adheres to major global benchmarks and standards, having secured the ISO 9001:2000 certifications and the ISO: 27001 Information Security Management accreditation. Coforge also follows global standards of development. It has been assessed at Level 5 of SEI CMMi version 1.2. Coforge Business Process Management conforms to the highest quality standards such as COPC and Six Sigma. Its data centre operations are assessed at the international ISO 20000 IT management standards.
For further information, please visit www.coforgetech.com
Certain statements in this release are forward-looking statements. The business involves various risks, and uncertainties that could result in the actual results to differ materially from those indicated here. All forward looking statements made herein are based on information presently available to the management of the Company and the Company does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the Company.