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IT Newsletter – May 14 to May 18, 2012

India Infoline News Service/ 09:00 , May 19, 2012

Infosys has paid its top management a total remuneration of $10.7 mn (over Rs 500mn) during the last financial year, registering a 52% increase over the previous year, according to reports.

Top Stories 

Infosys top honchos' salaries jump in FY12: reports

Infosys has paid its top management a total remuneration of $10.7 mn (over Rs 500mn) during the last financial year, registering a 52% increase over the previous year, according to reports.

Reports stated that the  remuneration paid to its key management personnel had remained almost unchanged at about $7 mn for the last two fiscals (2009-10 and 2010-11 ).

There are reports that Shibulal's package was reduced by about $80,000 to $1,62,990 in 2011-12, while Gopalakrishnan's remuneration fell by about $85,000 to $1,64,543 in the same period.

K V Kamath's compensation rose to $2,05,000 from $1,25,600, a 63% increase in the total package over the 2011 fiscal, says report.


Read Below

V. Balakrishnan, Member of the Board and CFO, Infosys Limited

Facebook prices IPO at US$38/share

Facebook has priced its much-anticipated IPO at US$38 per share, raising a whopping US$16bn and making the social network giant the largest debut ever for a technology firm.

The IPO values Facebook at US$104bn - making it among the 25 most valuable public groups in the US.

In just eight years, Facebook has gone from a college start-up to the third-largest public offering in the history of the US, behind General Motors (GM) and Visa.

Facebook's shares will begin trading on the Nasdaq Stock Market, under the ticker symbol “FB.”
The pricing of the IPO is at the high end of the company’s previously expected range of US$34 to US$38 per share.

Wipro likely to bag Rs. 9.6bn contract from IAF: reports

Wipro is likely to bag a contract worth Rs 9.60bn from the Indian Air Force (IAF) to automate its maintenance management system, according to reports.

Reports stated that around 14 Indian and global IT companies, including Tata Consultancy Services (TCS), Infosys, Wipro and HCL, were said to be in the fray.

Wipro had bid for the contract as a system integrator for the project, with IBM as the original equipment manufacturer, reports said.

There are reports that the company will be responsible for the supply, installation, integration and maintenance of servers, and storage for the project, while IBM will supply the necessary hardware, says report.


In Focus

IIFL recommends 'Buy' on KPIT Cummins Infosystems

IIFL Institutional Equities, a part of the IIFL Group, one of the leading players in the Indian financial services space, recommends “Buy’’ KPIT Cummins Infosystems.

IIFL said, “We had organised investor meetings for KPIT’s management in Mumbai. The management reiterated that over the past three years, it focused on strengthening presence in select verticals (auto, discrete manufacturing and utilities) through acquisitions and R&D.”

Given strong demand tailwinds in these verticals and an early-mover advantage, KPIT will likely continue delivering robust revenue growth. In the near term, cash flows will continue to be poor due to earnouts related to acquisitions. However, the company recently increased dividend, which gives us confidence that cash generation is being monitored closely and is unlikely to slip, report stated.

“We upgraded our FY13/14 earnings estimates by 6-10% on higher revenue growth. Valuations (1-year forward P/E) are relatively more expensive (15% premium to Mindtree and Infotech) than other mid-caps in our coverage,” brokerage added.

The report was published by IIFL’s Institutional Equities Research desk.


Domestic News

Mahindra Satyam Q4 net profit at Rs5.34bn

Mahindra Satyam announced its audited consolidated financial results under Indian GAAP for the fourth quarter and year ended March 31, 2012.

Consolidated Revenues stood at Rs. 16.66bn up 21% YoY, while EBITDA was at Rs. 292 crs, margins at 17.5%, up 132 bps QoQ

The PAT was at Rs. 5.34bn as compared to Rs. 3.08bn in the previous quarter, while EPS was Rs. 4.5 per share in Q4.


Indian IT Infra market to reach $2.05bn in 2012: Gartner

The Indian IT infrastructure market comprising of servers, storage and networking equipment will reach U.S. $2.05 billion in 2012, a 10.3 percent increase over 2011, according to Gartner, Inc. The IT infrastructure market is expected to reach $3.01 billion by 2016.

Gartner analysts are providing the latest outlook on the Indian data center market during the inaugural Gartner Infrastructure, Operations and Data Center Summit, which is taking place here through May 15th.

“Technology’s role in the enterprise is increasing and IT’s closer alignment with business, and vice versa, is a topic of much focus within Indian enterprises today,” said Aman Munglani, research director at Gartner.” Soon there will be a time when there is no IT strategy, only a business strategy, as leading CIO’s are seeing technology as a business enabler and a engine for innovation.”


L&T Infotech goes Social with Microsoft SharePoint

L&T Infotech, a global IT services company, used Microsoft SharePoint Server 2010 to create CliquePointTM, an enterprise social collaboration platform to foster the culture of innovation through dynamic collaboration, reducing email usage dramatically, increasing business agility and thereby, increasing active user’s productivity upto 20 percent.

L&T Infotech evaluated many commercial and open source options but eventually decided to build CliquePointTM on Microsoft SharePoint, as the ability to leverage existing social features, metadata services, integration with backend systems and out of the box communication tools were extremely beneficial. The entire solution was developed in 4 months by leveraging .NET framework.


Mahindra Satyam plans to revive Nagpur SEZ: reports

Mahindra Satyam is planning to revive a facility in Mihan (Multi-modal International Cargo Hub and Airport) SEZ at Nagpur, according to reports.

Reports stated that the company had approached the Ministry of Commerce to extend the validity of the project for two more years.

The letter of approval for the project with an initial validity of one year had expired in June 2009 and then it was extended till July this year, says report.


Omnesys announces strategic partnership with Geodesic

Yahoo! India R&D appoints Anindo Roy as VP of India Solutions

Mahindra Satyam Partners with FirstCarbon

Intertek expands Textile Industry Testing Solutions in India

Datamatics gains CMMI Level 3 V1.3 Certification

Cummins India Q4 net profit at Rs1445.70 mn

PTC named 'Leader' in IDC MarketScape on Worldwide Warranty Analytics

Indian Schools Go Hi-Tech with Microsoft Cloud

Infinite Computer cons net profit at Rs1.20bn

Lenovo India claims No.1 spot in Indian PC market

India’s CFOs most troubled by exchange-rate fluctuations

Epson Company to Mark Its 70th Anniversary

SunGard launches new Solution to help Automate Japanese securities lending

International News

Facebook sponsored ads - 44% say they would ‘never’ click on them: survey

A global survey undertaken by leading independent digital marketing agency, Greenlight, reveals 30% of people 'strongly distrust' Facebook with their personal data whilst 44% say they would ‘never’ click on Facebook sponsored ads, all of which indicates Facebook's advertising programme has an upward struggle.

Greenlight’s global “Search & Social Survey (2011-2012)” asked 500 people – from students, law enforcement professionals, medical staff, accountants, lawyers to the unemployed, how they engage with online advertising, search engines, and social networks, in order to glean insight into how consumers engage with marketers today, and to formulate views on what the future might hold.


Cognizant tops customer satisfaction and recommendation rankings in Nordics

Cognizant, a leading provider of information technology, consulting, and business process outsourcing services, announced that it has topped the customer satisfaction and recommendation rankings in the four-country region (Finland, Norway, Denmark, Sweden) in KPMG’s Outsourcing 2012 study of service provider performance in the Nordic region.

While Cognizant topped the general satisfaction ranking with a score of 80 percent (significantly above the average industry satisfaction rate of 68 percent) and client recommendation ranking with a like score of 80 percent (significantly above the average client recommendation rate of 67 percent), notably, all Cognizant clients among those surveyed were satisfied with its services. Further, the company secured high scores on all major performance indicators, including customer satisfaction, recommendation, relationship management, innovation, service quality, price, flexibility, transition, and governance.


HP plans to slash 25,000 jobs: reports

Agilent Technologies to acquire Dako for US$2.2bn

LinkedIn has 'zero interest' in buying Monster: reports

CA Technologies announces new version of CA Process Automation

VMware introduces vFabric Suite 5.1

McAfee and Intel to secure critical IT infrastructure

Dassault Systèmes announces SolidWorks Education Edition 2012-13

SMART Notebook App for iPad brings software to students

Citrix announces acquisition of Virtual Computer

Intel expands Intel Xeon processor portfolio with new products

Verizone employs Industry-Specific Mobile Tools to boost sales and service

Brocade announces Charlie Foo vice president for Asia Pacific

EXL LifePRO signs Three clients to private cloud platform

Computer Sciences Corp. swings to loss

DIGILITE H61 motherboards now support new Ivy Bridge Processor

Cigniti Technologies expands executive management team

Adobe Systems announces Adobe ColdFusion 10 software

En Masse Entertainment uses QlikView to compete and win in online gaming world

HP announces HP PartnerONE and HP ExpertONE programs

Capgemini anounces agreement with SAP AG

Marlabs to sponsor Microsoft developers conference - DevCon 2012

IDS and SMART announces Design plug-In for Autodesk Navisworks Manage

Avaya appoints Adil Doctor to head SME Business in APAC

Elliott has purchased more than 5%:BMC Software

ClickSoftware sparks evolution in business mobility with its new ClickAppStore

 



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