Geometric's Q2 operating profit doubles

Mumbai, October 20 (ANI/Business Wire India): Geometric Limited, a leading provider of Engineering Services and Product Lifecycle Management (PLM) solutions and technologies, today announced the Company's financial results for the quarter ending September 30.

The operating profits for the quarter increased from Rupees 70.77 Mn in Q1 to Rupees 136.46 Mn in Q2.

The Company recorded consolidated operating revenue of Rupees 1,525.95 Mn (USD 34.65 Mn), a sequential increase of 3.8 per cent in US Dollar terms and 8.7 per cent in Rupee terms. In YOY terms, revenues increased by 13.5 per cent and 24.6 per cent in US Dollar and Rupee terms respectively. The Company's profit after tax (PAT) before extraordinary income, also increased from Rupees 37.65 Mn in Q1 FY09 to Rupees 47.16 Mn in the current quarter.

Commenting on the results, Dr. Ravi Gopinath, Managing Director and CEO said, "Our operating profit margin improved from 5.0 per cent in the previous quarter to 8.9% in this quarter, helped by a favourable exchange rate, increase in offshoring across businesses, and a tight control on our SG andA expenses. While our direct exposure to the BFSI sector is nil, there is a noticeable associated slowdown in our key verticals. Our go to market strategy founded on driving business oriented solutions has enabled us to achieve profitable growth despite the prevailing economic conditions."

Business Highlights

The Company's geometry-based search engine algorithm that allows users to search 3D models based on shape, was granted a patent by the US Patent and Trademark Office.

Geometric signed a strategic agreement with a leading global supplier of industrial automation and information software solutions, to deliver manufacturing IT solutions to end-customers of the two companies.

Geometric added new business worth USD 6.7 million. It added 15 new customers this quarter, taking the total number of active clients to 140. Some of the significant contracts are with:

-- A leading PLM software vendor for outsourced product development. This is a significant addition in the list of existing customers in PLM space

-- A global leading provider of drilling and production systems to the Oil and Gas industry for PLM implementation

-- A US Automotive major for product design of the Powertrain on a single source basis

-- A leading European shipbuilding and marine engineering software company for their product development

-- One of the world's leading Automotive Tier I players for PLM support in China.

ANI