Satyam plans USD 100m CAPEX and recruit 15,000 in Y 2007-2008

Hyderabad, Apr 20 (UNI) Beating its own guidance, India's fourth largest software company Satyam posted a net profit of Rs 394 crore, up by 16.7 per cent QoQ, from a revenue of Rs 1,778 crore in last quarter of 2006-2007, a 7.1 per cent increase over the previous quarter.

In the Q4 FY 07, the revenue of Rs 1,779 crore marked a YoY increase of 35.4 per cent and a sequential increase of 7.1 per cent.

Total income was Rs 1,850 crore, a YoY increase of 37.8 per cent and a sequential increase of 10.7 per cent. Net Profit after Tax was Rs 394 crore; a YoY increase of 38.3 per cent and a sequential increase of 16.7 per cent. EPS was Rs 5.98; a YOY increase of 36.0 per cent and a sequential increase of 16.2 per cent. EBITDA margin for the quarter was 23.1 per cent.

"Revenue for the year grew by 35 per cent, while profits grew by 43 per cent over fiscal 2006", Company Chairman B Ramalinga Raju said after its Board meeting here which today approved the company results for the fourth quarter and fiscal year ended 2007.

The company said for fiscal 2008, under US GAAP, revenue was expected to be between USD 1.87 Billion and USD 1.9 Billion, implying a growth rate of 28 per cent to 30 per cent over fiscal 2007. Basic earning per ADS for fiscal 2008 was expected to be between USD 1.16 and USD 1.18, implying a growth rate of 27 to 29 per cent over fiscal 2007.

Corresponding revenue growth under Indian GAAP consolidated was expected to be between 20 per cent (in USD terms 28 to 30 per cent) EPS for the full year was expected to be between Rs 25.32 and Rs 25.73; a growth of 18-20 per cent, the company said in its guidance for 2007-2008.

The Company said it plans a USD 100 million CAPEX, mainly for locating five SEZs in Hyderabad, Chennai and Nagpur, to avail the tax benefit after expiry of STPI incentive ending June 2008. It also plans to increase headcount by about 15,000 in the coming year and was working with NASSCOM to improve the computer skills of graduates also whom it plans to utilise for BPO and ITES operations.

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