Replying to Yash Ved of IIFL, “We will continue to invest in building new age solutions which are crucial to tap the evolving digital space, 2-4% of our revenue will be invested in Research & Development.”
What were the business highlights for the quarter?
We made significant inroads into some of our large existing accounts which includes –
We doubled our existing workforce with a leading US based technology customer. We are providing the client a wide range of services to help them in a major divestiture.
We entered into a million dollar contract with a leading payroll service company to provide them Business Intelligence/Analytics, Product Development and Testing solutions.
A US based leading global clinical trial management solutions provider, an existing client has awarded us Business Intelligence and Data Warehousing services. This engagement is an outcome of the BI strategy roadmap created for them earlier
Some of the major new logos won during the quarter are – with one of the largest Banking and Financial groups in Malaysia to provide them with Advanced Analytics solutions and providing SAP Business Warehouse services to a leading global technology company.
What are your geographical expansion plans?
We are present in all strategic global locations - US, UK, Singapore, Malaysia and India. We would like to focus on these key markets.
What were the major drivers for growth?
Major expansion in strategic large accounts - we are happy that the clients valued our services and has provided us further business opportunities.
We consolidated our Applications Development and Product Engineering Services last year under a single umbrella as Outsource Product Development (OPD+) to cross-leverage our capabilities for enterprise and technology customers. This strategy has really worked well for us. OPD+ added 8 new clients last year, 6 of its accounts crossed the million dollar mark.
We also witnessed some high-profile wins in T&H space, we are helping a leading travel service provider to transform their services digitally.
How is the deal pipeline looking now?
The deal pipeline looks positive – particularly with existing customers bestowing their trust in us, further involving us in high-value critical projects. With positive sentiments both in US and Europe and a stable government in India, we are affirmative of the future growth.
Are you looking at any acquisitions?
We don’t have any immediate acquisition plans. We are in look out for suitable partner in digital space, if it matches our capabilities and requirements, we will surely take that forward.
What are your Capex plans? How much do you spend on R&D.
We will continue to invest in building new age solutions which are crucial to tap the evolving digital space, 2-4% of our revenue will be invested in Research & Development.
At the same time, we have to invest in our resources through various trainings, skill building and learning & development programs to hone their skills for the digital era.
What is your outlook on margins?
We are strongly focused on bottom line growth. As a conscious decision we closed on some un-remunerative business last year. Our focus is not only to increase the revenue, but a steady growth in profit is essential for sustainable growth of the organization. Moving forward, we will focus on quality accounts and quality customers.
Comment on your your revenue mix?
Telecom, Media & Technology contributed 31%, Travel & Hospitality continues to be our key focus contributing 30% of the revenue. Manufacturing & Healthcare contributed 13% and 12% respectively.