NIIT (NIITLTD) Q4 98/99 earnings summary

Executive summary

• FY1999 global revenue rose 36% to Rs 8,800m; pre-tax profit increased 34% to Rs 1,519m, with growth across Software and Learning Solutions.

• International revenue grew 46% to Rs 4,539m, representing 52% of global revenue; web and eCommerce initiatives gained momentum through the year.

• Investment in eCommerce products, SEI-CMM Level 5 processes, global ERP and learning technologies positioned operations for continued expansion.

Financial highlights

• Global revenue reached Rs 8,800m, up 36% YoY; NIIT Ltd revenue was Rs 5,836m, up 27%.

• NIIT Ltd PBT rose 34% to Rs 1,519m; PAT was Rs 1,428m versus Rs 1,084m, and EPS increased 32% to Rs 36.95.

• Consolidated revenue increased 36% to Rs 8,800m; consolidated PBT was Rs 1,614m and PAT Rs 1,497m.

• International revenue rose 46% to Rs 4,539m; US revenue grew 53%, Europe 41% and Asia-Pacific 38%.

Outlook and guidance

• Internet/eCommerce revenue was 25% of Q4 revenue, up from 4% in Q1; target was at least 40% of total revenue by FY2001-02.

• Plans included 150 additional Learning Centres and 100 new digital multimedia titles annually, alongside online content and support.

• Software priorities: net-centric and eCommerce solutions, vertical expertise, reusable components and expanded offshore development capacity.