HEADLINES
JOBS
DISCUSS
POLICY POLICE
ARCHIVES

Pentafour net jumps by 103 per cent

Net profit is at Rs 357.5 million in the third quarter ended December 31, 1998, over Rs 176.1 million in the same period in the previous year.

T O D A Y

• Tata Teleservices • Sonata does well in US • STPI ties up with CMG • Pentafour results

Gross income including other income has shot up to Rs 1.37 billion (against Rs 700.5 million in the corresponding period in the previous year).

Gross profit in the third quarter increased to Rs 475.5 million (Rs 261.6 million), recording a growth of 81 per cent.

Due to changes in the depreciation policy for computers, depreciation rose to Rs 118 million (Rs 85.5 million).

Interest charges claimed Rs 79.8 million (Rs 50.6 million). The employee strength has grown to 1,971 as on December 31, 1998.

The multimedia segment contributed 54.22 per cent to the turnover and the balance by business software segment. In the first nine months, the company's turnover increased to Rs 3.52 billion (Rs 1.97 billion) and net profit to Rs 788.9 million (Rs 490.4 million).

Of the turnover, the contribution of the multimedia segment increased by 94.6 per cent. In the 12 months ending March 31, 1998, the company reported a total income of Rs 2.92 billion and a net profit of Rs 683.7 million on a paid-up capital of Rs 170.4 million.

The company has claimed that its current order book stands at $140 million, of which the multimedia segment accounted for $75 million and the business software segment the balance.

The order will be executed in 15 months. Based on the nine-month net profit, the annualised EPS works out to Rs 61.71 as against Rs 40.12 in 1997-98.

V Chandrasekaran, chairman and managing director said, "Pentafour's business model and areas of concentration are well segmented with the ability to deliver high value added services to our customers.

Pentafour's share of end clients has increased due to the front-end marketing of the "Office of the President," USA, a clear indication of the company moving up in the value chain."

He said it is confident of posting a healthy growth of a minimum 50 per cent in the next two years. The pace of growth will create in-roads in the multimedia and the business software segments, he said, adding that this would catapult the company on a new growth trajectory in coming years.

The company has convened an extraordinary general meeting in Madras on February 1 to get approval from shareholders to raise the investment limit of FIIs from 24 per cent to 30 per cent and an additional 10 per cent limit for OCBs and NRIs. The company also proposes to invest in overseas ventures.

- Compiled from the Indian media

Tell us what you think