BFL (formerly BFL Software) has completed FY01 on a rather handsome
note, posting an impressive 21.5 per cent rise in sales and a 70
per cent jump in earnings in its fourth quarter (Q4) compared to
the previous quarter ended December 2000. Further, the company's
improvement in operating margins is impressive - from under 20 per
cent in third quarter (Q3) to almost 26 per cent this quarter. Significantly,
software development expenses went down from 67 per cent of sales
in Q3 to just 60 per cent in Q4.
to think of it, MphasiS' good show has come at a time when many
second-rung Indian software companies have faltered; BFL Software
had faltered in the previous year, when most other companies had
done exceedingly well.
that the above-mentioned figures consist of only the financials
of the erstwhile BFL Software - the performance of MphasiS is still
not reflected in the results. In fact, MphasiS has been doing well
recently, considering that the consolidated results of the company
reflect a much better picture. Consolidated revenues for the year
grew at an impressive 82 per cent, which is close to two-times BFL
Software's annual growth rate.
The company's call centre operations has done well
to grow at around 90 per cent to a $ 1.12 million business. Employees
engaged in call centre operations, under MphasiS BPO - MphasiS'
call centre subsidiary, saw a five-fold jump this year.
the consolidated figures show a sequential growth of only 5 per
cent in revenues, against the 21.5 per cent growth shown by BFL.
Yet, better capacity utilisation (up from a yearly average of 55
per cent last year to 66 per cent this year) has meant that EBITDA
margins have improved considerably. The company also boasts of significant
additions to its list of clients, from 45 to 64.
too have taken a liking to the results - after having hit its yearly
low of Rs 160 just prior to the results, the scrip has recovered
smartly by around 25 per cent and now trades around Rs 200. Emcee
(With contribution by Satyan Nair and Mobis Philipose)