CMC's net profit up 9%
Business Standard, October 16, 2006

TCS subsidiary CMC's revenues (including other income) have gone up 12.83 per cent to Rs 222.92 crore for the quarter ended September compared with Rs 197.57 crore in the corresponding period last year.

However, the figures have slipped sequentially - total income for the quarter ended June stood at Rs 232.35 crore. CMC's consolidated revenues (including that of CMC Americas) rose 16 per cent to Rs 242.25 crore compared with Rs 210.01 crore in the corresponding period last year.

The group's total income though was higher at Rs 252.05 crore in the first quarter of this financial year. The company's profit after tax (PAT) rose 9 per cent to Rs 10.35 crore (Rs 9.46 crore).

However, the PAT dipped sequentially - it stood at Rs 14.95 crore in the June ended quarter. Similarly, while the consolidated PAT registered an increase of 13 per cent for the period ended September 30 with revenues of Rs 11.94 crore as against Rs 10.55 crore for the corresponding quarter in 2005, the consolidated PAT took a dip sequentially - consolidated PAT for the quarter ended June 2006 was Rs 16.16 crore.

Incidentally, CMC's ITeS (IT-enabled services), customer services, systems integration segments have either marginally dipped or remained steady.

Only the education and training segment has almost doubled in this quarter compared with the June-ended quarter, posting a revenue of Rs 10.75 crore.

However, the company has registered a 186 per cent increase in ITeS when one looks at the YoY figures. Meanwhile, staff costs have risen by 14 per cent YoY.