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3i Infotech’s Revenue grows to Rs. 1224 crores in fiscal 2008. A growth of 82.4% over previous years revenue. Records a Profit after tax of Rs. 183 crores


 Mumbai - April 25, 2008: 3i Infotech, a global provider of IT solutions and one of India’s largest and the fastest growing software product companies*, today announced its operating results for the quarter and year ended March 2008.

FINANCIAL HIGHLIGHTS

Consolidated results for the year ended March 31, 2008

  • Revenue for the year was Rs. 1224 crores, representing a YoY growth of 82.4 %, of which organic growth is 37.9% and inorganic growth is 44.5%
  • Profit after tax and before minority interest which stood at Rs. 183 crores grew by 75.3% over the previous year and represents a net margin of 14.9%
  • Basic Earnings per share (EPS) increased to Rs. 13.40 from Rs. 8.99** in the previous year, representing a growth of 49.1%.

 

Consolidated results for the quarter ended March 31, 2008

  • Revenue for the quarter was Rs. 352 crores, representing a sequential growth over the previous quarter of 8.9% and a growth of 66.9% from the corresponding quarter of the previous year.
  • Profit after tax and before minority interest which stood at Rs. 50.2 crores grew by 56.9% over the corresponding quarter of the previous year and represents a net margin of 14.3%
  • Basic Earnings per share (EPS) increased to Rs. 3.61 from Rs. 2.86** in the same quarter of the previous year.

 

Commenting on the results, Mr. V. Srinivasan, Managing Director & CEO, 3i Infotech Limited said, “3i Infotech continued on its growth trajectory in fiscal 2008 and achieved several milestones on the way. The company registered healthy organic growth of 82 % in revenues. Notable among the milestones during the year was 3i Infotech’s entry into China through a JV with Yucheng Technologies Ltd. On the e-governance front we are partnering with several State Governments to provide BOOT and consultancy services   for the betterment of the people in these states. We also acquired companies in the areas of the payment processing and transaction services, to further strengthen our suite of offerings. Thus the year 2007-08 was a very fulfilling and satisfying one for our company and its stakeholders”.


CHANGES AT THE BOARD:

Mr. Hari Padmanabhan, Deputy Managing Director, has expressed his desire to retire from the Board to pursue personal interest. The Board has accepted this. He will continue to be on the Board till May 15, 2008. Post that, he will continue to be associated with the Company as the Chief Strategic Advisor.


Mr. Anirudh Prabhakaran, currently Chief Operating Officer of South Asia geography has been inducted on the Board as an Additional Director and is designated as Executive Director & President – South Asia.


DIVIDEND :

The Board has recommended an equity dividend of Rs.1.50 per share of face value of Rs.10 each.


OUTLOOK FOR THE YEAR 2008 – 09:
For the year 2008 – 09, the Company estimates revenues at around Rs. 1700 crores (about 40% over FY2007-08) with fully diluted EPS of between Rs. 13.00  – Rs. 13.50. (as against Rs.10.25 in FY2007-08)


BUSINESS HIGHLIGHTS FOR THE QUARTER ENDED MARCH 31, 2008

  • The Company signed a memorandum of understanding with China’s Yucheng Technologies Ltd., a leading provider of IT solutions and services to Chinese banks and financial services companies, to set up a 51:49 Joint Venture in the Peoples Republic of China. Synergies between the two companies will be leveraged to provide 3i Infotech’s award winning BFSI products and related services to BFSI entities in China.
  • The Company partnered with Union Bank of India to implement Anti Money Laundering initiative.
  • Kastle Lending Solution is being deployed by one of the oldest and 3rd largest Bank in Singapore with assets exceeding USD 125 billion.
  • Three leading Banks in South Asia have gone in for AML products and Kastle suite.
  • J&B Software secured new business wins for providing enterprise wide payment processing solution to a major media and television company and check and accounts payable transaction processing solution to a transportation company.
  • Premia won a multi million dollar order from a company specializing in internet based alternate delivery channels for distribution of its wide range of Insurance Products.
  • A Washington DC based leading provider of insurance for expatriates, international schools, multinational businesses & relief organizations selected 3i Infotech’s Premia product.
  • A Utah based Managing General Underwriter company focused on providing specialized insurance solutions for physicians and employer groups also selected Premia product.
  • One of the oldest and most prestigious investment banks in Kenya selected 3i Infotech’s MFUND suite solution integrated with iBOSS and Orion for their brokerage, investment banking, portfolio management and back office operations
  • A leading Financial Services company has acquired Rhyme’s product on a service model for a 5 year period.
  • The Company won significant deals in the South Asia region:
    • State Data Centre (SDC) Consultancy to 6 states
    • Business Intelligence implementation in a large multinational IT Company
    • A large transaction services deal covering areas like account origination & contact point verification.

 

  • The Company acquired Accounting Frameworks Limited (AFL), in London. AFL is an independent provider of accounting, portfolio management and front office systems to the private equity sector.

 

 

AWARDS AND RECOGNITIONS

3i Infotech received the following awards and recognition in the fiscal:

  • Was adjudged the winner of Top Contributor in Financial Services & Insurance (FSI) Sector Award from Oracle for Independent Software Vendor (ISV) – 2006
  • Winner of Oracle’s UK Technology Partner of the Year at the Oracle’s Annual  Business Partner Awards  – 2007
  • Oracle Corporation awarded 3i Infotech - APAC geography the “Most Significant Deal in FY07”
  • Malaysian unit of Asia Pacific geography won “FY07 Outstanding Performer – ISV” Award from the Oracle Corporation
  •  Winner of IBM Strategic Partner 2007 Award to our APAC geography – 2007
  • Received the ‘Best Software Product’ award from the Hyderabad Software Exporters Association (HYSEA) for its Anti-Money Laundering (AML) and Fraud Detection software – AMLOCK™
  • Won the prestigious Independent Software Vendor 2007 Award from Oracle Corporation, Asia Pacific. The award is Oracle’s highest honor accorded to a partner in the Independent Software Vendor (ISV) category and is based on the quantum of net revenue that the company realizes from the partner
  • Won the Australian Banking & Finance - Insurance Awards 2007 for Service  Provider of the Year
  • Won the prestigious “Growth Strategy Leadership Award for Mid-Market Enterprise Application” from Frost & Sullivan, India & South Asia. This is the third time that 3i Infotech has been recognized by F&S for its contribution to the Indian ICT industry.
  • Was ranked as the third biggest Enterprise Application Software (EAS) vendor in the MENA region by International Data Corporation (IDC) – a global provider of market intelligence and advisory services after Oracle and SAP.
  • Was conferred Frost & Sullivan’s “Growth Strategy Leadership Award for Mid-Market Enterprise Application”
  • Was awarded STQC’s Capability Approval Certification, the first of its kind for an IT company in the e-Governance space.
  • Was awarded winner of Best e-Gov System Integrator 2008 at the 4th Dataquest e-Gov Summit 2008

 


About 3i Infotech

3i Infotech is one of the top 4 Indian Software Products Companies.* The company provides software products and IT services (Managed IT Services, Application Software Development & Maintenance, Payment Services, Business Intelligence, IT Consulting, BPO, Document Imaging & Digitization and Data Warehousing) for the Insurance, Banking, Capital Markets, Mutual Funds and Government verticals. The company services customers in over 50 countries across 5 continents.


3i Infotech is SEI CMMI Level 5 compliant for its Software services and ISO 9001:2000 certified for its IT Infrastructure and BPO services.


* Dataquest July 2007 issue
* *Adjusted for the Bonus issue



For more information, please contact:
M.B. Battliwala
Senior General Manager
3i Infotech Limited
Akruti Centre Point, 6th Floor
M.I.D.C Central Road
Next to Marol Telephone Exchange
Andheri (East), Mumbai - 400 093
INDIA.
Tel: + 91.22-39145560
Fax: +91.22-39145520
Email: corporate@3i-infotech.com


Disclaimer:
Except for the historical information contained herein, statements in this release, which contain words or phrases such as "will", "would", "expect", "believe", and similar expressions or variations of such expressions may constitute "forward-looking statements". These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the forward-looking statements. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of our principal international markets, the performance of the industry sectors in which our clients are based, the performance of the information technology industry sector world-wide, competition, our ability to obtain statutory and regulatory approvals and to successfully implement our strategy, future levels of our growth and expansion in business, technological implementation, changes, advancements, and redundancies, the actual demand for software products and services, or the future potential or feasibility thereof, changes in revenue, income or cash flows, our market preferences and our exposure to market risks, as well as other risks. 3i Infotech undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date thereof.