Oracle Financial Services Software Ltd has posted a virtual flat growth in income from operations in the fourth quarter of 2012-13 compared to the same period previous year on a standalone basis.
However, in the absence of exceptional income (net) by way of dividend from wholly owned subsidiaries that it had received in the same quarter in 2011-12, the net profit dropped almost by half.
According to the audited results, the total income from operations in the quarter ended March 31, 2013 was Rs 739.46 crore against Rs 725.60 crore in the same quarter in 2011-12. But the total expenses was higher at Rs 466.94 crore (Rs 417.40 crore).
Profit from ordinary activities before exceptional items and tax was nearly flat at Rs 376.53 crore (Rs 364. 46 crore). However, in the absence of exceptional item, the profit before tax dropped sharply to Rs 376.53 crore (Rs 675.29 crore).
Total tax expenses fell to Rs 110.27 crore (Rs 175.79 crore) and the net profit was down at Rs 266.26 crore (Rs 499.50 crore).
Exceptional item
What was responsible for the difference in net profit in the two comparable quarters was the hefty exceptional item by way of dividend received from its two subsidiaries amounting to Rs 310.83 crore in Q4 of 2011-12, which was absent in Q4 of last fiscal.
Basic EPS also declined to Rs 31.68 from Rs 59.50.
For the full year, the company’s net income was Rs 2,937.70 crore (Rs 2,605.85 crore) and the net profit was Rs 1,029.26 crore, which was marginally lower than Rs 1,089.23 crore in 2011-12 fiscal.