MphasiS Profit Leaps 189% -
Times Of India

Mumbai, India - June 9, 2002

MphasiS BFL Group has reported a 189 per cent rise in consolidated net profit to Rs 13.85 crore for the quarter ended June 30, 2002 from Rs 4.80 crore in the same period of the previous year.

However, all eyes are now focussed on Infosys Technologies Ltd, which willannounce its first quarter results on Wednesday. Analysts expect the Bangalore-based company to marginally better its performance this year.

MphasiS said the net profit for the current quarter also represents an increase of 4.5 per cent over the Rs 13.26 crore posted in the previous sequential quarter ended March 31, 2002 despite an increase of more than Rs 1.5 crore in tax provision.

Consolidated revenues at Rs 89.52 crore in the current year, increased by 23 per cent over the same quarter last year. On a sequential quarter on quarter basis, revenues grew by 6.6 per cent.

The improvement in net profit over last year, the group said, is due to improved gross margins and the reduction in selling, general and administrative expenses. During the quarter, the group added 15 new clients including one on MphasiS BPO, the groupís call centre subsidiary. These include a large international financial institution, Emirates Bank, Sony Corporation and a large insurance company in India. Nine of the clients added are in the financial services vertical.

The group, however, said that manpower utilisation rates in the quarter remained flat compared with the quarter ended March 31, 2002 at 72 per cent.