India's Mahindra Satyam swings into net profit

May 17, 2012

India's software outsourcer Mahindra Satyam on Thursday said it had swung into net profit for the three months to March, from a net loss a year earlier.

Satyam posted a of 5.34 billion rupees ($98 million) for the quarter. It had posted a net loss of 3.27 billion in the same period a year earlier, hit by the cost of a one-off US lawsuit.

The Hyderabad-based stunned corporate India in 2009 when its founder B. Ramalinga Raju admitted he had for years overstated profits and inflated the balance sheet by more than $1 billion.

The scandal nearly pushed Satyam into bankruptcy but its new owner Tech Mahindra, part of Indian auto and farm equipment manufacturer Mahindra and Mahindra, has managed to turn things around.

Mahindra Satyam and have said that they will merge soon.

"We continue to make steady progress in our transformational journey," Vineet Nayyar, chairman of Mahindra Satyam, said in a press statement.

"Our results for the past three years and the quarter are a vindication of our and the fighting spirit in the company."

Satyam added a net 1,073 employees in the quarter, to bring total staff numbers to 33,353.

The company, like most of India's leading IT firms, said that the global business environment remained uncertain.

In the quarter, the firm bagged a deal from a large state-run Middle-Eastern organisation for its infrastructure services.

Raju, once a star of India's software boom, is now on bail awaiting trial for conspiracy, cheating and forgery.

Explore further: Larry Ellison steps down as Oracle chief executive

add to favorites email to friend print save as pdf

Related Stories

India's Mahindra Satyam posts strong profit growth

Feb 01, 2012

India's software outsourcer Mahindra Satyam on Wednesday posted a near five-fold jump in its third quarter net profit, beating market forecasts, as margins were boosted by a fall in the rupee.

India's Satyam posts strong profit growth

Nov 10, 2011

Indian software outsourcer Mahindra Satyam on Thursday said its quarterly net profit soared more than ten-fold, beating market estimates, as demand for outsourcing grew.

India's Tech Mahindra announces Satyam merger

Mar 21, 2012

India's Tech Mahindra announced its long-awaited buyout of IT outsourcer Satyam Computer on Wednesday, creating a new force in the sector with annual revenue of $2.26 billion.

India's Satyam posts unexpected quarterly loss

May 23, 2011

India's fraud-hit software outsourcer Mahindra Satyam on Monday swung to an unexpected quarterly loss from a profit the previous quarter, hit by the cost of a one-off US lawsuit.

Recommended for you

Alibaba's plan: Today, China. Tomorrow, the world.

6 hours ago

Amazon and eBay should watch their backs. As Chinese e-commerce powerhouse Alibaba readies what could be the biggest initial public offering ever on the New York Stock Exchange, it is quietly hinting at plans ...

News Corp opposes Google in EU antitrust case

9 hours ago

The media conglomerate controlled by Rupert Murdoch is joining the fray in Google's protracted European antitrust case, saying the technology company unfairly distorts competition.

Apple iPhone lacks 'key' licence in China

11 hours ago

Apple's iPhone 6 still lacks a key network access licence in China, state media confirmed Thursday on the eve of its global launch, breaking official silence on why sales of the smartphone will be delayed.

User comments : 0