Geometric FY10 net increases 578% to INR 466.6 Mn

MUMBAI : Geometric Ltd today announced its Q4 and annual results for FY 2009-2010. The company recorded operating revenues of INR 1,271.71 Mn (USD 27.84 Mn) for the quarter ended March 31, 2010, compared to revenues of INR 1,268.75 Mn (USD 27.13 Mn) in Q3FY10. Revenues remained flat on a Q-o-Q basis in rupee terms on account of appreciation of the rupee; but increased by 2.6% Q-o-Q in dollar terms over the previous quarter. The profit after tax was INR 118.36 Mn for the quarter, compared to INR 162.41 Mn in the previous quarter. Offshore leverage (in revenues terms) was maintained at 65%, same as the previous quarter.

On a yearly basis, the company has registered significant improvements in operational efficiencies with offshore leverage (in revenue terms) increasing from 56.3% in FY09 to 64.6% in FY10; and increased utilization from 87.2% in FY09 to 90.3% in FY10. The company had total employee strength of 2956 employees as of March 31, 2010, including its subsidiaries.

On declaring the results, Mr. Ravishankar G., Managing Director & CEO said, “During the last one year, we’ve focused on streamlining the operations of the company, consolidating businesses, exiting non-profitable projects, driving operational efficiencies through increased offshore leverage and higher utilization, and creating a leaner, more customer oriented organization, resulting in an improved bottom-line for the company. I believe we are now well placed to leverage opportunities that are expected to open up in the market, over the next two years.”

Business Highlights for financial year ended March 31, 2010
FY10 EPS of Rs.7.51 against Rs. 0.55 in FY09
Recommended dividend of 55% (including a special dividend @ 15% to mark of 15 years of incorporation), by the board of directors
Debt free position on a consolidated basis FY10 net profits increased exponentially by 578% to INR 466.61 Mn from INR 68.83 Mn in FY09
FY10 operating profits increased 11.9% to INR 586.17 Mn from INR 524.04 Mn in FY09
FY10 revenues declined 14.5% to INR 5115.62 Mn (USD 108.12 Mn) from INR 5980.79 Mn (USD 129.47 Mn) in FY09

Key Wins and additional business highlights for Q4 FY10

The Company added 7 new customers during Q4, and 37 new customers during the year; taking the total number of active customers to 100. Some of the significant wins in this quarter are: A multi-million dollar engagement with a global agricultural and equipment major for a new business offering in engineering services A multi-million dollar deal with a global auto OEM for product data management A multi-million dollar project with a global Tier 1 auto OEM for product design and analysis services An engagement with a global oil & gas equipment manufacturer, for a PLM application upgrade A deal with a global aerospace systems manufacturer for PLM application maintenance and support An engagement with a European aerospace systems manufacturer for upgrading their PLM applications An engagement with a global agricultural and equipment manufacturer for providing services in the area of supplier collaboration A project with a global industrial major for product design services.

Other important business highlights for the quarter include: NASSCOM IT Innovators 2009 recognition for our orthodontics solution; received this accolade for the third consecutive year DFMPro recognized as a top innovation at Innovations 2010 CAMWorks®, our intuitive CAM product was recognized for increasing productivity and speeding up milling operations at Magnus Hi-Tech Release of DFMPro version 2.1 for SolidWorks and Pro/Engineer, CAMWorks 2010, NestLib® 2010 R1, and eDrawings Professional version 7.1