NIIT Technologies on Thursday reported a net profit of Rs 57.50 crore for the first quarter ended June 30, up 40 per cent from the corresponding period last year.

The company's net profit during April-June 2011 was Rs 41.20 crore.

Gains from depreciation of the rupee were offset by annual compensation increase during April-June 2012 quarter, resulting in drop in operating margins by 80 basis points sequentially to 16 per cent from 16.8 per cent in January-March quarter, the company said.

Its revenue also rose to Rs 470 crore during the April-June quarter this year, up 43 per cent, as compared to Rs 329 crore in the corresponding period last year.

Its operating profit grew by 23.4 per cent to Rs 75 crore from Rs 61 crore.

Biz growth

“Steady growth has been there in the business irrespective of what’s been happening in the environment. We are seeing continued growth in the US, Europe, West Asia and Africa through travel and transport businesses,” Mr Arvind Thakur, Chief Executive Officer, NIIT Technologies, said.

He said the environment for banking, financial services and insurance is sluggish, but challenges are more with large financial institutions. Therefore, the company is addressing and getting traction in tier-II cities.

“We are focussed on this segment because these are actually first time outsourcers and that represents an opportunity for us,” he said.

The company during the quarter secured $83 million of fresh orders, leading to $240 million executable order book for this financial year.

NIIT Technologies had 82 net additions of employees during the quarter leading to total headcounts of 7,444 as of June 30, Mr Thakur added.

Shares of the company on Bombay Stock Exchange closed at Rs 291.05 on Thursday, up 1.71 per cent from its previous close.

>ronendrasingh.s@thehindu.co.in

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