Four Soft announces Q1 results
Net profit jumps 460%; Wins nine landmark deals over the quarter
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Four Soft (4S) (NSE: "FOURSOFT", BSE: 532521), a global leader offering software solutions for Logistics and Transportation industry today released its financial results for the first quarter of FY 2010-11.
Highlights for Q1 FY11 include the following:
- PAT up 460% to Rs 2.7 crore against Rs 0.48 crore in Q1 FY10
- Revenues for Four Soft at Rs. 29.39 crore, as against Rs. 35.70 crore in Q1 FY10. This is largely impacted due to appreciation of rupee against major European currencies and US Dollar.
- EBITDA for Four Soft too recovers strongly and stands at Rs. 3.06 crore, translating into an EBITDA margin of 10 per cent
- EPS rises to 0.70 ( not annualized)
- Nine landmark deals won in the quarter, translating into earnings in upcoming quarter.
- The company now offers an extended portfolio of services by offering BPO arm to their clients.
- Employee strength rises to 614 against 569 at the end of Q1FY10
Rajshekhar Roy, Chief Executive Officer, commenting on the results, said: "There are many positives for us this quarter. As compared to previous year, where the company's bottom line was affected due to adverse market conditions, this has been an encouraging quarter for Four Soft. The global logistics industry, Market dynamics and the environment in which our business operates has improved significantly, thus contributing to our overall growth." He further added "We attribute the success of this robust pipeline, to our game - changing focus of improving process efficiencies, enabling real time delivery capabilities, re-engineering applications, enhancing productivity and improved customer management. Our near team goal is to harness sales growth through our products which represent the intellectual capital that we have built up over the years. The company is also targeting to create employment opportunities spanning to the entire year."
Biju S.Nair, Chief Financial Officer, said: "This quarter embarks us on a journey of growth. Signing newer accounts is also always a good sign. The real contributor to the operating profits this quarter can be attributed to the focused approach the company has followed over the 6 quarters, over the past few months the company has progressed into achieving frequent customer deals and has been able to sign some good contracts. With this new corporate strategy our near term goal is to maximize our shareholder value and provide an improved quality service to our customers"
Performance Indicators
As the market leader in Freight Forwarding, Four Soft is supporting 17 of the world's largest 25 Freight Forwarders. Customers are now using Four Soft systems to move more than 20% of Global Freight volumes.
The company had lately transformed itself into a new outfit, where it offers IT products and services to its customers. Alongside, this transformation, the company is expanding its geographical spread and increasing the product line by offering multiple IT solutions to meet the customized needs of its Global customers.
As long term growth strategy the company plans to grow to USD 100 Mn by FY 2013. The company will opt for a unique combination of organic and inorganic growth. At present, the company is on an organic growth and is investing to improve and include newer services in various verticals and sales force. The expansion focus during this spree would be Latin America and Europe.
Notes to Editor
About Four Soft Limited
Four Soft is a public listed and CMMI level 3 certified company which provides innovative software solutions, IT consultancy and BPO services exclusively for the logistics and supply-chain management market place. It is the market leader in the transportation and logistics segment with a large international client base including the majority of the top logistics & transportation companies in the world. With regional offices strategically located worldwide, it supports customers including DHL, Schenker, Agility, UTI and Geodis Wilson. Additional information about Four Soft is available at www.four-soft.com.
Four Soft offers a full suite of web-native products across the logistics supply chain. This includes 4S eTrans® for freight forwarding and logistics, 4S eLog® for extended warehouse management, 4S Visilog® & 4S VisiLog plus® for track & trace, visibility and supply-chain management, 4S eCustoms® for customs brokerage, 4S iShipping® for shipping line execution, 4S eConnect® for business-to-business connectivity and 4S Infotips for informed decision making.
