Zensar Reports 31.4% year-on-year Revenue Growth, in Quarter 2, FY 13 : Pune, India

Highlights Zensar Technologies Ltd has reported excellent working results for the quarter ended September 30, 2012. The company’s revenue was Rs 537.31 Crore, showing a Y-o-Y growth of 31.4 %. The earnings before interest, depreciation, tax and amortisation was Rs 73.31 Crore, showing Y-o-Y growth of 40.7%. However, due to unprecedented appreciation of the rupee in all regions the reported profits after tax of the quarter have declined to Rs 32.17 Crore. Dr. Ganesh Natarajan CEO and Vice Chairman, Zensar Technologies said, “The Second Quarter has produced steady growth in all our focus verticals. Zensar has grown its revenues 34% in the first half of the financial year, and we are confident that we will report full year growth that will be substantially above Industry average. Our pipeline of new business in all verticals and in the core enterprise software as well our new focus area of infrastructure management is excellent.” S Balasubramaniam, Chief Financial Officer, Zensar Technologies said, “The rapid rupee appreciation in the Quarter impacted us on the spot realizations and currency translations at the Quarter end. Given that we are hedged on our forex exposures, the gains on our forward covers would flow to us in the subsequent quarters, if the rupee continues its current upward momentum”. Zensar has entered the NASSCOM top 15 Software Services companies’ rankings. Zensar has also moved 20 notches up in the recently published Dataquest list of IT companies and has been acknowledged as amongst the fastest growing organizations in the industry. Zensar recently won the Porter Prize for the Best Strategic Management practices in the Information, Media and Telecom sectors.

Other Highlights

• In this quarter Zensar has reported 25 wins across its focus verticals, some of which are large annuity contracts in core areas of enterprise solutions, and in the hi-tech manufacturing space.
• In the Manufacturing vertical the company has bagged a deal in the application maintenance support and enhancement with one of the world leaders in the manufacture, distribution and service of electronic test tools, biomedical equipment and networking solutions based in the US. Zensar has also been selected by one of the leading Japanese multinational electronics, electrical equipment and information technology corporation for an Oracle R12 implementation project. The Company will now be an extended IT arm to one of UK’s favorite food and drink brands. The Company will support two of the leading healthcare organizations based in the US in the areas of IT support and enhancement. It has also signed up with one of the leading logistics and supply chain Solutions Company based in Australia for an SAP implementation and support project. It has also signed a new deal for a project on IT support and integration with one of the leading banks in South Africa.