Investor Relations
I am delighted to share with you the financial results of
Datamatics Global Services Limited, for the first time
after its consolidation, with our other Group Companies
and divisions. The Company now offers both software
andBPOservices under one single umbrella.
Consolidated revenues for the year ended 31 March 2009 was Rs 3001.47 million, while consolidated net profit stood at Rs 275.35 million. Basic earning per share (of Rs 5.00) as on 31 March 2009 was Rs 4.32. These figures cannot be compared with the previous year when we reported the results of the erstwhile Datamatics Technologies Limited (our BPO operations). To give you a perspective of the value created for you as investors, our revenue for year ended 31 March 2008 was Rs 1443.87 million, our net profit was Rs 91.94 million and the earning per share was Rs 2.26.
The past Financial year 2008-09 has been a challenging year due to the global economic situation. Since your Company is primarily engaged in the export of Software and BPO services, and its markets are primarily U.S.A. and Europe, we have naturally been affected. There have been pricing and margin pressures. Clients have reduced IT spends and protectionism in some countries is growing. Despite these challenges, your Company has done well.
Some of the reasons for the good performance of the Company have been the merger of our Companies, which has reduced the common overhead expenses. We have rationalized our manpower. Our drive on increasing automation and increasing productivity has yielded results. Last but not the least, the weakening Rupee has helped. Our Six Sigma and Process improvement initiatives have yielded commendable financial benefits. Our Process Re-Engineering Cell continues to deliver innovative solutions, improving productivity, reducing errors and making the entire organization more efficient.
Besides our existing delivery centres in Mumbai,
Chennai and Detroit, our newest Delivery Centre of
Excellence in Nashik is maturing. The headcount as of
31 March 2009 in Nashik was 514.
Your Company has been engaged in R&D related to the design, development and marketing of Technology solutions for information and document processing for over 5 years. These solutions are based on Artificial Intelligence and have resulted in a suite of software, acronymed i-Q.
i-Q has been implemented in over 50 projects in our
BPO business and has resulted in gains of both
productivity and accuracy. These suite of programs
have been launched as both, a product and service
offering, worldwide. Our platform-based software
developed with reusable components and agile
processes used in our software export business
complement i-Q. Customers have increasingly
expressed their need to streamline the number of
their development partners. In keeping with this
need, our Company has begun developing and
marketing end-to-end solutions.
As you are aware, our Company had won the Asia Pacific Quality Award, in 2007 in the services sector, and remains the only Company in India to have won this Award. I am pleased to inform you that our customers, both existing and new, have expressed a high level of satisfaction on the quality of our services, as well as the efficiency in your Company.
Quality is a key determinant in today’s competitive world and it is quality that differentiates us from our competition.
I am certain that our initiatives in terms of technology, efficiency and quality will pay rich dividends going forward. The concerted action of all Governments around the world to overcome the world’s economic conditions will yield results soon. I am confident that both exports and the domestic market will vigorously grow once again after we surmount the present economic problems that the world is witnessing. Your Company is well equipped in terms of all resources, Human, Technical and Financial to quickly address all growth opportunities in future.
Dr. Lalit S. Kanodia
Ph.D. MIT, USA | Chairman
