Raminfo (530951) Q4 03/04 earnings summary

Executive summary

• FY04 revenue fell 9.6% YoY to Rs 660.33 lakh; standalone net loss widened to Rs 379.49 lakh from Rs 343.69 lakh. No dividend was recommended.

• Consolidated revenue was Rs 1,077.92 lakh versus Rs 1,132.09 lakh; consolidated net loss narrowed to Rs 393.67 lakh from Rs 405.57 lakh.

Financial highlights

• Standalone PBT loss was Rs 443.99 lakh versus Rs 350.43 lakh; PAT loss was Rs 379.49 lakh versus Rs 343.69 lakh.

• Standalone export revenue declined 46% YoY, while domestic revenue increased 22%; total turnover was Rs 660.33 lakh versus Rs 730.56 lakh.

• Standalone manpower costs fell 19.85% to Rs 451.19 lakh; operating and administrative expenses rose 21.2% to Rs 371.05 lakh, mainly due to higher doubtful-debt provisions.

Outlook and guidance

• Focus remains on government e-governance projects and banking solutions; alliances and corporate and technology partners are intended to expand sales reach.

• Directors expected improvement as the US market recovered and contract negotiations advanced; government-sector sales cycles were described as long.

• The US subsidiary forecast FY04 as a consolidation year with marginal growth, prioritizing a return to profitability over lower-margin revenue.