Persistent Systems Q3 net profit up 37%, revenue rises 16%

Persistent Systems Q3 net profit up 37%, revenue rises 16%
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29 Jan, 2021

Pune based information technology (IT) services firm Persistent Systems on Thursday reported a 37.5% rise in net profit at Rs 120.9 crore for its quarter ending December 31, 2020.

Net profit in the corresponding quarter last year was at Rs 87.9 crore.

Revenue from operations was up 16.5% at Rs 1,075.3 crore in the latest quarter compared to Rs 922.7 crore a year ago. 

“We continue to deliver engineering solution expertise in our key industry segments and service lines, helping our customers imagine their new digital future. As a result, we see growth in our average deal size and once again this quarter we closed several large deals,” Sandeep Kalra, CEO and executive director, said in a statement. 

In dollar terms, Persistent recorded a revenue rise of 12.9% at $146.15 million as compared to $129.43 million in Q3 FY2020. New deal wins were at $302 million for the quarter. 

The board of directors also announced an interim dividend of Rs 14, against the face value of Rs 10 for FY 2020-21.

At 2:52 pm the stock of Persistent was trading at 1532.50, up by 2.3% from the close yesterday, even as the Sensex was down by 0.9% or around 470 points.

For the last quarter ending September 30, the company reported a 18.5% net profit on a year on year basis, while the revenues were at Rs 1,000.7 crore, which was a 13.9% increase.

In October 2020, Persistent announced that it elevated Kalra as the new CEO. Harman International executive Charles Owen  was appointed as its chief corporate development officer in mid-December last year.